Taxes Management Act 1970

62 Priority of claim for tax. [1952 s.75; 1965 Sch.X 1(1); 1966 Sch.VI 13.] U.K.

(1) [If at any time at which any goods or chattels belonging to any person (in this section referred to as “the person in default”) are F1 ] liable to be taken by virtue of any execution or other process, warrant, or authority whatever, or by virtue of any assignment, on any account or pretence whatever, except at the suit of the landlord for rent, [the person in default is in arrears in respect of any such claims as are referred to in subsection (1A) below, the goods or chattels may not be so taken unless on demand made by the collector F1 ] the person at whose suit the execution or seizure is made, or to whom the assignment was made, pays or causes to be paid to the collector, before the sale or removal of the goods or chattels, all [such sums as have fallen due at or before the date of seizure F1 ].

[(1A) The sums referred to in subsection (1) above are—

(a) sums due from the person in default on account of deductions of income tax from emoluments paid during the period of twelve months next before the date of seizure, being deductions which the person in default was liable to make under section 203 of the principal Act (pay as you earn) less the amount of the repayments of income tax which he was liable to make during that period; and

(b) sums due from the person in default in respect of deductions required to be made by him for that period under section 559 of the principal Act (sub-contractors in the construction industry) F2 .]

(2) [If the sums referred to in subsection (1) above are not paid within ten days of the date of the demand referred to in that subsection, the collector may F3 ] distrain the goods and chattels notwithstanding the seizure or assignment, and [may proceed F3 ] to the sale thereof, as prescribed by this Act, for the purpose of obtaining payment of the whole of [those sums F3 ], and the reasonable costs and charges attending such distress and sale, and every collector so doing shall be indemnified by virtue of this Act.

(3) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F4

Textual Amendments

F1 Words in s. 62(1) substituted by Finance Act 1989 (c. 26), s. 153(2).

F2 S. 62(1A) inserted by Finance Act 1989 (c. 26), s. 153(3).

F3 Words in s. 62(2) substituted by Finance Act 1989 (c. 26), s. 153(4).

F4 A development land tax provision added byDevelopment Land Tax Act 1976 (c. 24) Sch.8 para.17. Development Land Tax Act 1976repealed byFinance Act 1985 s.98(6)andSch.27 Part X.