PART XIX SUPPLEMENTAL
Miscellaneous
821 Under-deductions from payments made before passing of annual Act.
M11
Where, in any year of assessment, any half-yearly or quarterly payments have been made on account of any interest, dividends or other annual profits or gains, previously to the passing of the Act imposing income tax for that year, and tax has not been charged thereon or deducted therefrom or has not been charged thereon or deducted therefrom at the rate ultimately imposed for that year—
a
the amount not so charged or deducted shall be charged F1under Case III of Schedule D in respect of those payments; and
b
the agents entrusted with the payment of the interest, dividends or other annual profits or gains shall furnish to the Board a list containing the names and addresses of the persons to whom payments have been made and the amount of those payments, upon a requisition made by the Board in that behalf.
2
Any person liable to pay any rent, interest or annuity, or to make any other annual payment—
a
shall be authorised—
i
to make any deduction on account of income tax for any year of assessment which he has failed to make previously to the passing of the Act imposing the tax for that year, or
ii
to make up any deficiency in any such deduction which has been so made,
on the occasion of the next payment of the rent, interest or annuity or making of the other annual payment after the passing of the Act so imposing the tax, in addition to any other deduction which he may be by law authorised to make; and
b
shall also be entitled, if there is no future payment from which the deduction may be made, to recover the sum which might have been deducted as if it were a debt due from the person as against whom the deduction could originally have been made if the Act imposing the tax for the year had been in force.
3
Subsection (2) above shall apply with respect to—
a
any payment for or in respect of copyright to which section 536 applies or of public lending right to which that section applies by virtue of section 537; and
F2aa
any payment for or in respect of a right in a design to which section 537B applies; and;
b
any royalty or other sum paid in respect of the user of a patent; F3. . .
F3c
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
as it applies with respect to any rent, interest, annuity or other annual payment.
4
In this section “interest” and “dividends” do not include any interest or dividend which is a distribution.