Taxes Management Act 1970

30 [Recovery of overpayment of tax, etc. U.K.

(1) Where an amount of tax has been repaid to any person which ought not to have been repaid to him, that amount of tax may be assessed and recovered as if it were unpaid tax F1 .

[(1A) Subsection (1) above shall not apply where the amount of tax which has been repaid is assessable under section 29 of this Act F2 .]

(2) In any case where—

(a) a repayment of tax has been increased in accordance with section [824 or 825 of the principal Act or section F3 ] [F4 283 of the 1992 Act] (supplements added to repayments of tax, etc.); and

(b) the whole or any part of that repayment has been paid to any person but ought not to have been paid to him; and

(c) that repayment ought not to have been increased either at all or to any extent;

then the amount of the repayment assessed under subsection (1) above may include an amount equal to the amount by which the repayment ought not to have been increased.

(2A) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F5

(3) In any case where—

(a) a payment, other than a repayment of tax to which subsection (2) above applies, is increased in accordance with section [824 or 825 of the principal Act or section F3 ] [F4 283 of the 1992 Act]; and

(b) that payment ought not to have been increased either at all or to any extent;

then an amount equal to the amount by which the payment ought not to have been increased may be assessed and recovered as if it were unpaid income tax or corporation tax.

(3A) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F5

(4) An assessment to income tax or corporation tax under this section shall be made under Case VI of Schedule D F5 .

(4A) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F5

(5) An assessment under this section shall not be out of time under section 34 of this Act if it is made before the end of the chargeable period following that in which the amount so assessed was repaid or paid as the case may be.

(6) Subsection (5) above is without prejudice to [section 36 F6 ] of this Act.

(7) In this section any reference to an amount repaid or paid includes a reference to an amount allowed by way of set-off F7 .] F8

Textual Amendments

F1 See—Income and Corporation Taxes Act 1988 s. 812 to 813—appliction of s.30 to the recovery of tax credits incorrectly paid.S.I. 1987 No. 1749 (in Part III Vol 5) regn. 11—s. 30to apply to payments by the Board of amounts paid under S.I. 1987 No. 1749to which scheme administrators were not entitled or recoverable from scheme administrators under S.I. 1987 No. 1749 regns. 7(5), 8(4)or (6)or 10as if they were income tax repaid to scheme administrators to which they were not entitled.

F2 Finance Act 1990 s. 105in relation to amounts of tax repaid on or after 26July 1990.

F3 Income and Corporation Taxes Act 1988 (c. 1, SIF 63:1) Sch. 29 para 32.

F4 Words in s. 30(2)(a)(3)(a) substituted (6.3.1992 with effect as mentioned in s. 289(1)(2) of the amending Act) by Taxation of Chargeable Gains Act 1992 (c. 12), ss. 289, 290, Sch. 10 para 2(6) (with ss. 60, 101(1), 171, 201(3))

F5 See Finance (No. 2) Act 1987 s. 88(1)and Income and Corporation Taxes Act 1988 (c. 1, SIF 63:1) Sch. 29 Para. 10(3)for the wording to be inserted in respect of accounting periods ending after a day to be appointed.

F6 Finance Act 1989 s. 149(3)(a)but not to affect the making of assessments before 1983-84or for accounting periods before 1April 1983.Previously

“sections 36, 37 and 39”.

F7 Finance Act 1982 s.149in relation to any amount repaid or paid on or after6April1982.

F8 See—Income and Corporation Taxes Act 1988 (c. 1, SIF 63:1) Sch. 14 para 7(3)(b)—application of s. 30to sums claimed under s. 266(5)(b)to which the claimant was not entitled.Finance Act 1989 s. 57(3)—application of s. 30to medical insurance relief.Personal Pension Schemes (Relief at Source) Regns. 1988 (S.I. 1988 No. 1013)in Part III Vol. 5)— s. 30to apply to payments under regn. 13.Personal Pension Schemes (Min. Contributions under the Social Security Act 1986) Regns. 1988 (S.I. 1988 No. 1012) (in Part III Vol. 5)—s. 30to apply to payments under regn. 6.Private Medical Insurance (Disentitlement to Tax Relief and Approved Benefits) Regns. 1989 (S.I. 1989 No. 2389) regn. 5 (in Part III Vol. 5)—application of s. 30to recovery of tax from person who ceases to be entitled to relief.

Modifications etc. (not altering text)

C1 S. 30 extended by Finance Act 1991 (c. 31, SIF 63:1), s. 33(3)(b)

C2 S. 30 modified (6.4.1992) by S.I. 1992/734, reg. 6(1)