Finance Act 2014

[F1 241A Defeat notices U.K.

(1) This section applies in relation to a person (“P”) only if P is carrying on a business as a promoter.

(2) An authorised officer, or an officer of Revenue and Customs with the approval of an authorised officer, may give P a notice if the officer concerned has become aware of one (and only one) relevant defeat which has occurred in relation to P in the period of 3 years ending with the day on which the notice is given.

(3) An authorised officer, or an officer of Revenue and Customs with the approval of an authorised officer, may give P a notice if the officer concerned has become aware of two (but not more than two) relevant defeats which have occurred in relation to P in the period of 3 years ending with the day on which the notice is given.

(4) A notice under this section must be given by the end of the 90 days beginning with the day on which the matters mentioned in subsection (2) or (as the case may be) (3) [F2 first come to the attention of an authorised officer].

(5) Subsection (6) applies if—

(a) a single defeat notice which had been given to P (under subsection (2) or (6)) ceases to have effect as a result of section 241B(1), and

(b) in the period when the defeat notice had effect a relevant defeat (“the further relevant defeat”) occurred in relation to P.

(6) An authorised officer or an officer of Revenue and Customs with the approval of an authorised officer may give P a notice in respect of the further relevant defeat (regardless of whether or not it occurred in the period of 3 years ending with the day on which the notice is given).

(7) In this Part—

(a) “single defeat notice” means a notice under subsection (2) or (6);

(b) “double defeat notice” means a notice under subsection (3);

(c) “defeat notice” means a single defeat notice or a double defeat notice.

(8) A defeat notice must—

(a) set out the dates on which the look-forward period for the notice begins and ends;

(b) in the case of a single defeat notice, explain the effect of section 237A(12);

(c) in the case of a double defeat notice, explain the effect of section 237A(13).

(9) HMRC may specify what further information must be included in a defeat notice.

(10) “Look-forward period”—

(a) in relation to a defeat notice under subsection (2) or (3), means the period of 5 years beginning with the day after the day on which the notice is given;

(b) in relation to a defeat notice under subsection (6), means the period beginning with the day after the day on which the notice is given and ending at the end of the period of 5 years beginning with the day on which the further relevant defeat mentioned in subsection (6) occurred in relation to P.

(11) A defeat notice has effect throughout its look-forward period unless it ceases to have effect earlier in accordance with section 241B(1) or (4).]

Textual Amendments

F1 Ss. 241A, 241B and cross-heading inserted (15.9.2016) by Finance Act 2016 (c. 24), s. 160(3)

F2 Words in s. 241A(4) substituted (with effect in accordance with s. 121(6) of the amending Act) by Finance Act 2021 (c. 26), Sch. 30 para. 26

Modifications etc. (not altering text)

C1 S. 241A modified (15.9.2016) by Finance Act 2016 (c. 24), s. 160(20)(21)