PART IV ASSESSMENT AND CLAIMS

F1Corporation tax determinations

41ADetermination procedure

(1)

If an inspector is satisfied that a return under section 11 of this Act affords correct and complete information concerning an amount which is—

(a)

required to be given in the return, and

(b)

determinable under this section,

  • he shall determine the amount accordingly.

(2)

If an inspector is not satisfied that a return under section 11 of this Act affords correct and complete information concerning an amount which is—

(a)

required to be given in the return, and

(b)

determinable under this section,

  • he may determine the amount to the best of his judgment.

(3)

If a company is required to deliver a return under section 11 of this Act and fails to deliver the return within the time limited by that section, an inspector may determine any amount which is—

(a)

required to be given in the return, and

(b)

determinable under this section,

to the best of his judgment.

(4)

An amount shall be treated as determined under this section when the inspector gives notice in writing of the determination to the company which makes, or is required to make, the return.

(5)

After an amount has been determined under this section, the determination shall not be altered except in accordance with the express provisions of the Taxes Acts.

(6)

Section 31 of this Act (except subsection (3)) shall apply in relation to a determination under this section as it applies in relation to an assessment to tax.

(7)

A determination under this section which has become final shall be conclusive for the purposes of the Corporation Tax Acts, except sections 36(3), 41B and 43A of this Act.

(8)

The power conferred by subsection (2) or (3) above includes power to determine that an amount is nil.

(9)

In this section references to an amount which is determinable under this section are references to—

(a)

the amount of losses incurred in a trade in an accounting period, computed in accordance with section 393(7) of the principal Act; or

(b)

the amount for an accounting period which is available for surrender by way of group relief under section 403(3) (capital allowances), (4) (expenses of management) or (7) (charges on income) of the principal Act.