5(1)This paragraph applies where regulations under paragraph 4 above are in force for a chargeable financial year [F1and has effect subject to any provision made by virtue of paragraph 6(2A) below].
(2)By such time before the year begins as the Secretary of State may direct, a charging authority shall calculate the amount of its non-domestic rating contribution for the year and shall notify the amount to the Secretary of State.
(3)If the authority fails to comply with sub-paragraph (2) above or if the Secretary of State believes the amount notified is not likely to have been calculated in accordance with the regulations he may make his own calculation of the amount; and where he makes such a calculation he shall inform the authority why he has done so and shall inform it of the amount calculated.
(4)The authority shall be liable to pay to the Secretary of State an amount (the provisional amount) equal to—
(a)that calculated and notified under sub-paragraph (2) above, or
(b)if sub-paragraph (3) above applies, that calculated by the Secretary of State under it.
(5)The authority shall pay the provisional amount during the course of the year, in such instalments and at such times as the Secretary of State may direct.
(6)After the year ends the authority shall—
(a)calculate the amount of its non-domestic rating contribution for the year,
(b)arrange for the calculation and the amount to be certified under arrangements made by the Audit Commission for Local Authorities in England and Wales, and
(c)notify the amount to the Secretary of State, and send to him a copy of the certification of the calculation and the amount.
(7)If the authority fails to comply with sub-paragraph (6) above by such time as the Secretary of State directs, he may suspend payments which would otherwise fall to be made to the authority under the relevant provisions (within the meaning given by paragraph 6(7) below); but if the authority then complies with the sub-paragraph he shall resume payments falling to be made to the authority under the relevant provisions and make payments to it equal to those suspended.
(8)If, at any time after the year ends, the Secretary of State receives notification from an authority under sub-paragraph (6)(c) above he shall—
(a)calculate the amount of the difference (if any) between the amount notified and the provisional amount, and
(b)if there is a difference, inform the authority of the amount of the difference.
(9)If the amount notified under sub-paragraph (6)(c) above exceeds the provisional amount the authority shall pay an amount equal to the difference to the Secretary of State at such time as he may direct.
(10)If the amount notified under sub-paragraph (6)(c) above is less than the provisional amount the Secretary of State shall pay an amount equal to the difference to the authority; and the amount shall be paid at such time as he decides with the Treasury’s approval.
Textual Amendments
F1Words added by Local Government and Housing Act 1989 (c. 42, SIF 81:1), s. 139, Sch. 5 para. 42(2)
Modifications etc. (not altering text)
C1Sch. 8 para. 5(4)(5)(7)(9)(10) modified by S.I. 1990/493, reg. 8(1) and by S.I. 1990/609, reg. 5(1)