Taxes Management Act 1970

55 Recovery of tax not in dispute

(1) This section applies to an appeal to the Commissioners against—

(a) an assessment under Schedule A or Schedule D,

(b) an assessment to surtax,

(c) an assessment to capital gains tax,

(d) an assessment to corporation tax,

(e) an assessment made by virtue of Schedule 9 to the principal Act (income tax on company distributions, etc.).

(2) Notwithstanding that the appeal is pending—

(a) such part of the tax assessed as appears to the Commissioners not to be in dispute shall be collected and paid in all respects as if it were tax charged by an assessment in respect of which no appeal was pending, and

(b) on the determination of the appeal, any balance of tax chargeable in accordance with the determination shall be paid, or any tax overpaid shall be repaid, as the case may require.

(3) If the appellant and the inspector or other officer of the Board come to an agreement, whether in writing or otherwise, as to the amount of tax charged by the assessment which should be paid as if it were tax charged by an assessment in respect of which no appeal is pending, the like consequences shall ensue as would have ensued if the Commissioners had come to a decision to that effect under subsection (2) above on the date when the agreement was come to, but without prejudice to the making of a further agreement, or of a decision or further decision under subsection (2) above.

(4) Subsection (3) above shall not apply where within thirty days from the date when the agreement was come to, the appellant gives notice in writing to the inspector or other officer of the Board that he desires to repudiate or resile from the agreement.

(5) Where an agreement is not in writing—

(a) the preceding provisions of this section shall not apply unless the fact that an agreement was come to, and the terms agreed, are confirmed by notice in writing given by the inspector or other officer of the Board to the appellant, or by the appellant to the inspector or other officer, and

(b) references in the preceding provisions of this section to the time when the agreement was come to shall be construed as references to the time of the giving of the said notice of confirmation.

(6) References in this section to an agreement being come to with an appellant and the giving of notice to or by an appellant include references to an agreement being come to with, and the giving of notice to or by, a person acting on behalf of the appellant in relation to the appeal.

(7) The transfer of proceedings under this Act from one body of Commissioners to another body of Commissioners shall not affect the validity of a decision by the Commissioners under subsection (2) above.