Taxes Management Act 1970

Companies U.K.

108 Responsibility of company officers. U.K.

(1) Everything to be done by a company under the Taxes Acts shall be done by the company acting through the proper officer of the company [F1 or, except where a liquidator has been appointed for the company, through such other person as may for the time being have the express, implied or apparent authority of the company to act on its behalf for the purpose], and service on a company of any document under or in pursuance of the Taxes Acts may be effected by serving it on the proper officer.

This subsection is without prejudice to Part VIII of this Act (charges on non-residents) as it applies to corporation tax.

(2) Corporation tax or other tax chargeable under the Corporation Tax Acts on a company which is not a body corporate, or which is a body corporate not incorporated under the [F2 Companies Act 1985] or any other enactment forming part of the law of the United Kingdom, or by Charter, may, at any time after the tax becomes due, and without prejudice to any other method of recovery, be recovered from the proper officer of the company, and that officer may retain out of any money coming into his hands on behalf of the company sufficient sums to pay that tax, and, so far as he is not so reimbursed, shall be entitled to be indemnified by the company in respect of the liability so imposed on him.

(3) For the purposes of this section—

(a) the proper officer of a company which is a body corporate shall be the secretary or person acting as secretary of the company, except that if a liquidator has been appointed for the company the liquidator shall be the proper officer,

(b) the proper officer of a company which is not a body corporate or for which there is no proper officer within paragraph (a) above, shall be the treasurer or the person acting as treasurer, of the company .

F3 (4) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Textual Amendments

F1 Words in s. 108(1) inserted (27.7.1993) by 1993 c. 34, s. 120, Sch. 14 para.7

F2 Companies Consolidation (Consequential Provisions) Act 1985 (c. 9), s. 30, Sch. 2 with effect from 1 July 1985.

F3 A development land tax provision added by Development Land Tax Act 1976 Sch. 8 para. 29. Development Land Tax Act 1976 repealed by Finance Act 1985 (c. 54), s.98(6), Sch.27 Part X.

Modifications etc. (not altering text)

C1 S. 108 applied (with modifications) (31.7.1997) by Finance (No. 2) Act 1997 (c. 58), Sch. 2 para. 18

C2 S. 108 applied (with modifications) (with effect in accordance with reg. 1(2) of the amending S.I.) by The Stamp Duty (Collection and Recovery of Penalties) Regulations 1999 (S.I. 1999/2537), regs. 1(1), 3(1), Sch. Pt. I

C3 S. 108(1) applied (12.5.2001) by The Social Security Contributions (Share Options) Regulations 2001 (S.I. 2001/1817), regs. 1, 4(3)

C4 S. 108 applied (with modifications) by the Oil Taxation Act 1975 (c. 22), s. 1, Sch. 2 para. 1(1)

C5 S. 108 applied (with modifications) by Finance Act 1981 (c. 35), s. 134, Sch.17 para.18 (special tax on banking deposits).

[F4 109 Corporation tax on close company in connection with loans to participators etc. U.K.

(1) The provisions of [F5 sections 419 and 420] of the principal Act (charge of tax in connection with loans by close companies to participators etc.) directing that tax be assessed and recoverable as if it were an amount of corporation tax shall be taken as applying, subject to the provisions of the Taxes Acts, and to any necessary modifications, all enactments applying generally to corporation tax, including those relating to the assessing, collecting and receiving of corporation tax, those conferring or regulating a right of appeal and those concerning administration, penalties, interest on unpaid tax and priority of tax in cases of insolvency under the law of any part of the United Kingdom.

(2) Section 86 of this Act shall apply in relation to tax under the said [F5 sections 419 and 420] as if [F6 the date given by the Table in subsection (4) of the said section 86 were the last day of the three months following the end of the financial year in which the loan or advance was made].

(3) For the purposes of section [F7 87A] of this Act as applied by subsection (1) above, the date when tax [F8 under the said section [F9 419] became due and payable shall be that determined in accordance with subsection [F9 (3)]of that section].

[F10 (3A) If

[F11 (a)] there is such a repayment of the whole or any part of a loan or advance as is referred to in subsection [F12 (4)] of section [F12 419] of the principal Act, [F13 or

(b) there is such a release or writing off of the whole or any part of the debt in respect of a loan or advance as is referred to in that subsection,]

interest under section 87A of this Act on so much of the tax under the said section [F12 419] as is referable to the amount repaid[F14 , released or written off] shall not be payable in respect of any period after the date on which the repayment was made [F15 or the release or writing off occurred].]

(4) Section 91 of this Act shall not apply in consequence of any discharge or repayment of tax under section F5 [419(4)] of the principal Act.

(5) For the purposes of the said section 91, a relief from tax under the said F5 [sections 419 and 420] shall not be treated as affecting tax charged by any assessment unless the assessment is to tax under that section.]

Textual Amendments

F4 Finance Act 1972 (c. 41), s.111, Sch.24 para.13 in relation to times after 5 April 1973 (subject to s.111(3)).

F5 Income and Corporation Taxes Act 1988 (c. 1), Sch. 29 para. 32.

F6 Words substituted by Finance (No.2) Act 1975 (c. 45), s.46(5) in relation to tax charged by assessments where notices issued after 31 July 1975.

F7 Word in s. 109(3) substituted (with effect with respect to loans or advances made (or treated as made) in any accounting period ending after 30.9.1993) by Finance (No. 2) Act 1987 (c. 51), s. 91(2) (with s. 91(4)); S.I. 1992/3066, art. 2(2)(a)

F8 Words in s. 109(3) substituted (with effect with respect to loans or advances made (or treated as made) in any accounting period ending after 30.9.1993) by Finance (No. 2) Act 1987 (c. 51), s. 91(2) (with s. 91(4)); S.I. 1992/3066, art. 2(2)(a)

F9 Words substituted by Income and Corporation Taxes Act 1988 (c. 1), Sch. 29 para. 10(8)(a)

F10 S. 109(3A) inserted (with effect with respect to loans or advances made (or treated as made) in any accounting period ending after 30.9.1993) by Finance (No. 2) Act 1987 (c. 51), s. 91(3) (with s. 91(4)); S.I. 1992/3066, art. 2(2)(a)

F11 Word in s. 109(3A) inserted (with effect in accordance with Sch. 3 para. 6(3) of the amending Act) by Finance Act 1998 (c. 36), Sch. 3 para. 6(2)(a)

F12 Words substituted by Income and Corporation Taxes Act 1988 (c. 1), Sch. 29 para. 10(8)(b)

F13 Words in s. 109(3A) inserted (with effect in accordance with Sch. 3 para. 6(3) of the amending Act) by Finance Act 1998 (c. 36), Sch. 3 para. 6(2)(b)

F14 Words in s. 109(3A) inserted (with effect in accordance with Sch. 3 para. 6(3) of the amending Act) by Finance Act 1998 (c. 36), Sch. 3 para. 6(2)(c)

F15 Words in s. 109(3A) inserted (with effect in accordance with Sch. 3 para. 6(3) of the amending Act) by Finance Act 1998 (c. 36), Sch. 3 para. 6(2)(d)