Taxes Management Act 1970

[F1 28B Amendment of partnership statement where enquiries made. U.K.

(1) This section applies where an officer of the Board gives notice under section 12AC(1) of this Act to any person (the taxpayer) of his intention to enquire into—

(a) the return on the basis of which the taxpayer’s partnership statement was made, or

(b) any amendment of that return on the basis of which an amendment (the taxpayer’s amendment) of that statement has been made by the taxpayer [F2 or

(c) any claim or election included in the return (by amendment or otherwise)].

(2) At any time in the period of 30 days beginning with the day on which the officer’s enquiries are completed, the taxpayer may so amend his partnership statement—

(a) as to make good any deficiency or eliminate any excess which, on the basis of the conclusions stated in the officer’s notice under subsection (5) below, is a deficiency or excess which could be made good or eliminated under subsection (3) below; or

(b) in a case falling within subsection (1)(a) above where the return made before the end of the period of twelve months beginning with the filing date, as to give effect to any amendments to the return which he has notified to the officer.

(3) If, at any time in the period of 30 days beginning immediately after the period mentioned in subsection (2) above, the officer is of opinion that—

(a) any amount contained in the taxpayer’s partnership statement is insufficient or excessive, and

(b) in a case falling within [F3 subsection (1)(b) or (c) above], the deficiency or excess is attributable (wholly or partly) to the taxpayer’s amendment,

he may by notice to the taxpayer so amend the statement as to make good or eliminate the deficiency or excess or, where paragraph (b) above applies, so much of the deficiency or excess as is so attributable.

(4) Where a partnership statement is amended under this section, the officer shall by notice to each of the partners so amend his self-assessment under section 9 or 11AA of this Act as to give effect to the amendments of the partnership statement.

(5) Subject to subsection (6) below, the officer’s enquiries shall be treated as completed at such time as he by notice—

(a) informs the taxpayer that he has completed his enquiries, and

(b) states his conclusions as to the amounts which should be contained in the taxpayer’s partnership statement [F4 and as to any claims or elections into which he has enquired].

(6) Subsections (6) and (7) of section 28A of this Act apply for the purposes of subsection (5) above as they apply for the purposes of subsection (5) of that section.

[F5 (6A) Where, in the case of any return made in relation to any period of account—

(a) alternative methods are allowed by the Tax Acts for bringing amounts into account in that return,

(b) the return is made or amended using one of those methods,

(c) a return could have been made in that case using an alternative method, and

(d) an officer of the Board determines which of the alternative methods is to be used by the Board in relation to the partnership for that period,

any enquiry into that return or into an amendment of it shall be conducted, and this section shall have effect, as if the only method allowed for the purposes of the Tax Acts were the method determined by the officer.

(6B) In subsection (6A) above “period of account” has the same meaning as in section 12AB of this Act; and subsection (7B) of section 28A of this Act applies for the purposes of subsection (6A) above as it applies for the purposes of subsection (7A) of that section.]

(7) In this section “filing date” means the day specified in the notice under subsection (2) or, as the case may be, subsection (3) of section 12AA of this Act.

(8) Any reference in this section to the taxpayer includes a reference to any predecessor or successor of his.]

Textual Amendments

F1 S. 28B inserted (with effect in accordance with s. 199(2)(3) of the amending Act) by Finance Act 1994 (c. 9), s. 189; S.I. 1998/3173, art. 2

F2 S. 28B(1)(c) and preceding word inserted (with effect in accordance with Sch. 19 para. 1 of the amending Act) by Finance Act 1996 (c. 8), Sch. 19 para. 2

F3 Words in s. 28B(3)(b) substituted (with effect in accordance with Sch. 19 para. 1 of the amending Act) by Finance Act 1996 (c. 8), Sch. 19 para. 5(1)(a)

F4 Words in s. 28B(5)(b) inserted (with effect in accordance with Sch. 19 para. 1 of the amending Act) by Finance Act 1996 (c. 8), Sch. 19 para. 5(1)(b)

F5 S. 28B(6A)(6B) inserted (with effect in accordance with Sch. 19 para. 1 of the amending Act) by Finance Act 1996 (c. 8), Sch. 19 para. 5(2)