SCHEDULES
F1SCHEDULE 1B Claims for relief involving two or more years
Relief claimed by virtue of F4section 224(4) of ITTOIA 2005
Words in Sch. 1B para. 4 cross-heading substituted (with effect in accordance with s. 883(1) of the amending Act) by Income Tax (Trading and Other Income) Act 2005 (c. 5), s. 883(1), Sch. 1 para. 382(5) (with Sch. 2)
4
1
This paragraph applies where—
a
b
the making or amendment of the claim would be out of time but for F3section 224(4) of that Act .
2
The claim or amendment shall relate to F8the last of the two or five years.
3
Subject to sub-paragraph (4) below, in so far as the claim or amendment relates to income of F9an earlier year, the amount claimed, or (as the case may be) the increase or reduction in the amount claimed, shall be equal to the difference between—
a
the amount in which the person is chargeable to tax for the earlier year (“amount A”); and
b
the amount in which he would be so chargeable on the assumption that effect could be, and were, given to the claim or amendment in relation to that year (“amount B”).
4
Where effect has been given to one or more associated claims, amounts A and B above shall each be determined on the assumption that effect could have been, and had been, given to the associated claim or claims in relation to the earlier year.
5
In so far as the claim or amendment relates to income of F10an earlier year, effect shall be given to the claim or amendment in relation to F11the last of the two or five years by an increase in the amount of tax payable or, as the case may require, in the aggregate amount given by section 59B(1)(b) of this Act.
6
In this paragraph “amendment” shall be construed accordingly.
Sch. 1B inserted (with effect in accordance with s. 128(11) of the amending Act) by Finance Act 1996 (c. 8), s. 128(2), Sch. 17