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Section 117(1).
Modifications etc. (not altering text)
C1Sch. 18 restricted (31.7.1998) by 1988 c. 1, s. 754B(10) (as inserted (31.7.1998 with effect as mentioned in Sch. 17 para. 37 of 1998 c. 36) by 1998 c. 36, s. 113, Sch. 17 para. 11)
C2Sch. 18 modified (18.4.2005) by Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(c); S.I. 2005/1126, art. 2(2)(h)
C3Sch. 18 applied (20.7.2005) by Finance (No. 2) Act 2005 (c. 22), s. 61
C4Sch. 18 applied (with modifications) (6.4.2006) by The Registered Pension Schemes (Accounting and Assessment) Regulations 2005 (S.I. 2005/3454), regs. 1, 13
C5Sch. 18 excluded (17.7.2013) by Finance Act 2013 (c. 29), s. 210(6)(b)
1U.K.In this Schedule “tax” means corporation tax including, except as otherwise indicated, any amount assessable or chargeable as if it was corporation tax.
Amounts are assessable or chargeable as if they were corporation tax under—
[F1section 455 of the Corporation Tax Act 2010] (tax on loan or advance made by close company to a participator),
[F2section 464A of that Act (tax on other benefit conferred on participator),]
[F3[F4section 330(1)] of that Act (supplementary charge in respect of ring fence trades), and]
[F5step 5 in section 371BC(1) of the Taxation (International and Other Provisions) Act 2010 (controlled foreign companies)][F6, and
paragraphs 50 and 51 of Schedule 19 to the Finance Act 2011 (the bank levy)].
Textual Amendments
F1Words in Sch. 18 para. 1 substituted (with effect in accordance with s. 1184(1) of the amending Act) by Corporation Tax Act 2010 (c. 4), s. 1184(1), Sch. 1 para. 297(2)(a) (with Sch. 2)
F2Words in Sch. 18 para. 1 inserted (retrospective to 20.3.2013) by Finance Act 2013 (c. 29), Sch. 30 para. 13(2)(5)
F3Words in Sch. 18 para. 1 substituted (24.7.2002) by 2002 c. 23, s. 92(3)
F4Words in Sch. 18 para. 1 substituted (with effect in accordance with s. 1184(1) of the amending Act) by Corporation Tax Act 2010 (c. 4), s. 1184(1), Sch. 1 para. 297(2)(b) (with Sch. 2)
F5Words in Sch. 18 para. 1 substituted (17.7.2012) by Finance Act 2012 (c. 14), Sch. 20 para. 17(2) (with Sch. 20 para. 50(9))
F6Words in Sch. 18 para. 1 inserted (19.7.2011) by Finance Act 2011 (c. 11), Sch. 19 para. 61
2(1)A company which—U.K.
(a)is chargeable to tax for an accounting period, and
(b)has not received a notice requiring a company tax return,
must give notice to [F7an officer of Revenue and Customs] that it is so chargeable.
(2)The notice must be given within twelve months from the end of the accounting period.
F8(3). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
F9(4). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Textual Amendments
F7Words in Sch. 18 substituted (18.4.2005) by Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(a); S.I. 2005/1126, art. 2(2)(h)
F8Sch. 18 para. 2(3) omitted (with effect in accordance with art. 3 of the commencing S.I.) by virtue of Finance Act 2008 (c. 9), s. 123(2), Sch. 41 para. 25(j); S.I. 2009/511, art. 2 (with art. 4)
F9Sch. 18 para. 2(4) omitted (with effect in accordance with art. 3 of the commencing S.I.) by virtue of Finance Act 2008 (c. 9), s. 123(2), Sch. 41 para. 25(j); S.I. 2009/511, art. 2 (with art. 4)
3(1)[F7An officer of Revenue and Customs] may by notice require a company to deliver a return (a “company tax return") of such information, accounts, statements and reports—U.K.
(a)relevant to the tax liability of the company, or
(b)otherwise relevant to the application of the Corporation Tax Acts to the company,
as may reasonably be required by the notice.
(2)Different information, accounts, statements and reports may be required from different descriptions of company.
(3)A company tax return must include a declaration by the person making the return that the return is to the best of his knowledge correct and complete.
(4)The return must be delivered to the officer of the Board by whom the notice was issued not later than the filing date.
[F10(5)Sub-paragraph (1)(b) has effect as if the reference to the Corporation Tax Acts included a reference to sections 911, 912, 914 and 915 of the Income Tax Act 2007.]
Textual Amendments
F7Words in Sch. 18 substituted (18.4.2005) by Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(a); S.I. 2005/1126, art. 2(2)(h)
F10Sch. 18 para. 3(5) inserted (6.4.2007) by Income Tax Act 2007 (c. 3), s. 1034(1), Sch. 1 para. 385(2) (with Sch. 2)
Modifications etc. (not altering text)
C6Sch. 18 para. 3 extended (31.7.1998) by 1988 c. 1, s. 488(12)(a) (as inserted (31.7.1998) by 1998 c. 36, s. 117, Sch. 19 para. 48(3))
C7Sch. 18 para. 3(1) modified (with effect in accordance with s. 97(5)(6) of the amending Act) by Finance Act 2004 (c. 12), s. 101(6) (with s. 106)
[F113A(1)Her Majesty's Revenue and Customs may from time to time publish requirements as to the information, accounts, statements and reports which a company must deliver as part of its company tax return where the company has a tax liability by virtue of paragraph 50 or 51 of Schedule 19 to the Finance Act 2011 (the bank levy); and such information, accounts, statements and reports must be delivered as if the notice to the company under paragraph 3(1) had required them to be delivered (and paragraph 4 is to be read accordingly).U.K.
(2)The publication of any requirements under sub-paragraph (1) does not stop a notice under paragraph 3(1) requiring the delivery of any additional information, accounts, statements and reports as part of a company tax return.]
Textual Amendments
F11Sch. 18 para. 3A inserted (19.7.2011) by Finance Act 2011 (c. 11), Sch. 19 para. 62
4U.K.References in this Schedule to the delivery of a company tax return are to the delivery of all the information, accounts, statements and reports required to comply with the notice requiring the return.
5(1)A notice requiring a company tax return must specify the period to which the notice relates.U.K.
(2)If an accounting period of the company ended during (or at the end of) the specified period, a return is required for that accounting period.
If there is more than one, a separate company tax return is required for each of them.
(3)If sub-paragraph (2) does not apply but an accounting period of the company began during the specified period, a company tax return is required for the part of the specified period before the accounting period began.
(4)If the company was outside the charge to corporation tax for the whole of the specified period, a company tax return is required for the whole of the specified period.
(5)If none of the above provisions applies, no company tax return is required in response to the notice.
6(1)A notice requiring a company tax return may be given on or after the self-assessment appointed day in relation to a period beginning before that day.U.K.
(2)Where the effect of such a notice is to require a return for an accounting period ending before that day, the provisions of the Tax Acts apply as if it were a notice under section 11 of the M1Taxes Management Act 1970.
(3)The provisions of this Act relating to company tax returns, or amending other provisions of the Tax Acts so as to refer to such returns, do not affect the operation of those Acts in relation to such a notice.
7(1)Every company tax return for an accounting period must include an assessment (a “self-assessment") of the amount of tax which is payable by the company for that period—U.K.
(a)on the basis of the information contained in the return, and
(b)taking into account any relief or allowance for which a claim is included in the return or which is required to be given in relation to that accounting period.
(2)For this purpose a company tax return is regarded as a return for an accounting period if the period is treated in the return as an accounting period and is not longer than twelve months, even though it is not, or may not be, an accounting period.
8(1)The amount of tax payable for an accounting period is calculated as follows.U.K.
First step
Calculate the corporation tax chargeable on the company’s profits:
Take the amount of the company’s profits for that period on which corporation tax is chargeable [F12(see section 4(1) and (2) of the Corporation Tax Act 2010)].
Apply the rate or rates of corporation tax applicable to the company.
Second step
Then give effect to any reliefs or set-offs available against corporation tax chargeable on profits:
Any reduction under [F13section 19, 20 or 21 of the Corporation Tax Act 2010 (marginal relief for companies with small profits)].
[F14Any relief under Part V of Schedule 15 to the Finance Act 2000 (corporate venturing scheme: investment relief).]
[F15Any relief under [F16Part 7 of the Corporation Tax Act 2010] (community investment tax relief).]
Any double taxation relief under [F17under sections 2 and 6 of TIOPA 2010 or under section 18(1)(b) and (2) of that Act].
Any set off for advance corporation tax under section 239 of [F18the Taxes Act 1988] or under regulations made under section 32 of this Act.
Third step
Then add any amounts assessable or chargeable as if they were corporation tax (reduced by any reliefs specific to those amounts):
Any amount due under [F19section 455 [F20or 464A] of the Corporation Tax Act 2010] (tax on a loan[F21, advance or benefit] to a participator).
[F22Any sum chargeable under [F23section 330(1)] of that Act (supplementary charge in respect of ring fence trades).]
[F24Any sum charged at step 5 in section 371BC(1) of the Taxation (International and Other Provisions) Act 2010 (controlled foreign companies).]
[F25Any amount of the bank levy chargeable by virtue of paragraph 50 or 51 of Schedule 19 to the Finance Act 2011 (the bank levy).]
Fourth step
Then deduct any amounts to be set off against the company’s overall tax liability for that period:
[F28(1A)Sub-paragraph (1B) applies if an amount of the bank levy chargeable by virtue of paragraph 50 or 51 of Schedule 19 to the Finance Act 2011 (the bank levy) is added at the third step.
(1B)Any deductions made at the fourth step are to be treated as made from all other amounts before being made from the amount of the bank levy.]
(2)Except as otherwise provided, references in this Schedule to the amount of tax payable by a company for an accounting period are to the amount shown in the company’s self-assessment as the amount payable.
Textual Amendments
F12Words in Sch. 18 para. 8(1) inserted (with effect in accordance with s. 1184(1) of the amending Act) by Corporation Tax Act 2010 (c. 4), s. 1184(1), Sch. 1 para. 297(4)(a) (with Sch. 2)
F13Words in Sch. 18 para. 8(1) substituted (with effect in accordance with s. 1184(1) of the amending Act) by Corporation Tax Act 2010 (c. 4), s. 1184(1), Sch. 1 para. 297(4)(b) (with Sch. 2)
F14Words in Sch. 18 para. 8(1) inserted (28.7.2000 with application as mentioned in s. 63(4) of the amending Act) by 2000 c. 17, s. 63(2), Sch. 16 para. 5(2)
F15Words in Sch. 18 para. 8(1) inserted (24.7.2002 with effect as mentioned in s. 57(4)(c) of the amending Act) by 2002 c. 23, s. 57, Sch. 17 para. 5
F16Words in Sch. 18 para. 8(1) substituted (with effect in accordance with s. 1184(1) of the amending Act) by Corporation Tax Act 2010 (c. 4), s. 1184(1), Sch. 1 para. 297(4)(c) (with Sch. 2)
F17Words in Sch. 18 para. 8(1) substituted (with effect in accordance with s. 381(1) of the amending Act) by Taxation (International and Other Provisions) Act 2010 (c. 8), s. 381(1), Sch. 8 para. 54(2)(a) (with Sch. 9 paras. 1-9, 22)
F18Words in Sch. 18 para. 8(1) substituted (with effect in accordance with s. 381(1) of the amending Act) by Taxation (International and Other Provisions) Act 2010 (c. 8), s. 381(1), Sch. 8 para. 54(2)(b) (with Sch. 9 paras. 1-9, 22)
F19Words in Sch. 18 para. 8(1) substituted (with effect in accordance with s. 1184(1) of the amending Act) by Corporation Tax Act 2010 (c. 4), s. 1184(1), Sch. 1 para. 297(4)(d) (with Sch. 2)
F20Words in Sch. 18 para. 8(1) inserted (retrospective to 20.3.2013) by Finance Act 2013 (c. 29), Sch. 30 para. 13(3)(a)(5)
F21Words in Sch. 18 para. 8(1) substituted (retrospective to 20.3.2013) by Finance Act 2013 (c. 29), Sch. 30 para. 13(3)(b)(5)
F22Words in Sch. 18 para. 8(1) inserted (24.7.2002) by 2002 c. 23, s. 92(4)
F23Words in Sch. 18 para. 8(1) substituted (with effect in accordance with s. 1184(1) of the amending Act) by Corporation Tax Act 2010 (c. 4), s. 1184(1), Sch. 1 para. 297(4)(e) (with Sch. 2)
F24Words in Sch. 18 para. 8(1) substituted (17.7.2012) by Finance Act 2012 (c. 14), Sch. 20 para. 17(3) (with Sch. 20 para. 50(9))
F25Words in Sch. 18 para. 8(1) inserted (19.7.2011) by Finance Act 2011 (c. 11), Sch. 19 para. 63(2)
F26Words in Sch. 18 para. 8(1) substituted (with effect in accordance with s. 1184(1) of the amending Act) by Corporation Tax Act 2010 (c. 4), s. 1184(1), Sch. 1 para. 297(4)(g) (with Sch. 2)
F27Words in Sch. 18 para. 8(1) substituted (with effect in accordance with s. 1184(1) of the amending Act) by Corporation Tax Act 2010 (c. 4), s. 1184(1), Sch. 1 para. 297(4)(h) (with Sch. 2)
F28Sch. 18 para. 8(1A)(1B) inserted (19.7.2011) by Finance Act 2011 (c. 11), Sch. 19 para. 63(3)
9(1)No claim to which this paragraph applies may be made by a company before it delivers a company tax return for the period to which the claim relates.U.K.
(2)This paragraph applies to a claim by a company for any repayment of income tax called for by virtue of—
(a)[F29section 3 of the Corporation Tax Act 2009] (exclusion of income tax charge in case of UK resident company or income within chargeable profits for corporation tax), or
(b)exemptions from income tax conferred by the Corporation Tax Acts.
[F30This is subject to sub-paragraphs (2A) and (2B).]
[F31(2A)This paragraph does not apply to a claim by a company for repayment of income tax treated as having been paid by virtue of—
(a)section 471 of the Corporation Tax Act 2010 (gifts qualifying for gift aid relief: charitable companies),
(b)section 475 of that Act (gifts qualifying for gift aid relief: eligible bodies), or
(c)section 661D of that Act (gifts qualifying for gift aid relief: community amateur sports clubs).
(2B)This paragraph also does not apply to a claim by a company for repayment of income tax deducted at source from income which is exempt from tax by virtue of—
(a)section 486 of the Corporation Tax Act 2010 (investment income and non-trading profits from loan relationships),
(b)section 487 of that Act (public revenue dividends),
(c)section 488 of that Act (certain miscellaneous income),
(d)section 489 of that Act (income from estates in administration), or
(e)section 664 of that Act (interest and gift aid income: community amateur sports clubs).]
(3)This paragraph applies to a claim by a company for payment of a tax credit, unless—
(a)the company is wholly exempt from corporation tax or is only not so exempt in respect of trading income, and
(b)the tax credit is not one in respect of which a payment on account may be claimed by the company under Schedule 19AB to the Taxes Act 1988 (pension business).
[F32(4)This paragraph applies to a claim by a company for relief under Part V of Schedule 15 to the Finance Act 2000 (corporate venturing scheme: investment relief).]
Textual Amendments
F29Words in Sch. 18 para. 9(2) substituted (with effect in accordance with s. 1329(1) of the amending Act) by Corporation Tax Act 2009 (c. 4), s. 1329(1), Sch. 1 para. 454(2) (with Sch. 2 Pts. 1, 2)
F30Words in Sch. 18 para. 9(2) inserted (with effect in accordance with Sch. 15 para. 17(6) of the amending Act) by Finance Act 2012 (c. 14), Sch. 15 para. 14(2)
F31Sch. 18 para. 9(2A)(2B) substituted for Sch. 18 para. 9(2A) (with effect in accordance with Sch. 15 para. 17(6) of the amending Act) by Finance Act 2012 (c. 14), Sch. 15 para. 14(3)
F32Sch. 18 para. 9(4) inserted (28.7.2000 with application as mentioned in s. 63(4) of the amending Act) by 2000 c. 17, s. 63(2), Sch. 16 para. 5(3)
10(1)In Part VII of this Schedule (general provisions as to claims and elections) paragraphs 57 to 59 contain provisions as to the circumstances in which a claim or election may or must be made, or is to be treated as having been made, in a company tax return.U.K.
[F33(2)A claim to which Part VIII, IX or IXA of this Schedule applies (claims for group relief, capital allowances[F34, first-year tax credits][F35, R&D expenditure credits] or [F36R&D tax relief]) can only be made by being included in a company tax return (see paragraphs 67, 79[F37, 83ZA] and 83B).]
[F38(2A)A claim to which Part 9B of this Schedule applies (claims for land remediation tax credit and life assurance company tax credit) can only be made by being included in a company tax return (see paragraph 83H).]
F39(2B). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
F40(3). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
[F41(4)A claim to which Part 9D of this Schedule applies (claims for film tax relief) can only be made by being included in a company tax return (see paragraph 83T).]
[F42(5)An election under [F43section 1182(7) of the Corporation Tax Act 2009] (election not to be a film production company) can only be made by being included in a company tax return (see [F44section 1182(8)(a)] of that Act).]
Textual Amendments
F33Sch. 18 para. 10(2) substituted (28.7.2000 with effect as mentioned in s. 69(1) of the amending Act) by 2000 c. 17, s. 69(2), Sch. 21 para. 2
F34Words in Sch. 18 para. 10(2) inserted (with effect in accordance with Sch. 25 para. 9 of the amending Act) by Finance Act 2008 (c. 9), Sch. 25 para. 8(2)(a)
F35Words in Sch. 18 para. 10(2) inserted (with effect in accordance with Sch. 15 para. 27 of the amending Act) by Finance Act 2013 (c. 29), Sch. 15 para. 5
F36Words in Sch. 18 para. 10(2) substituted (with effect in accordance with Sch. 3 para. 10 of the amending Act) by Finance Act 2006 (c. 25), Sch. 3 para. 2(2)
F37Word in Sch. 18 para. 10(2) inserted (with effect in accordance with Sch. 25 para. 9 of the amending Act) by Finance Act 2008 (c. 9), Sch. 25 para. 8(2)(b)
F38Sch. 18 para. 10(2A) inserted (11.5.2001 with effect as mentioned in s. 70 of the amending Act) by 2001 c. 9, s.70, Sch. 23 para. 4
F39Sch. 18 para. 10(2B) repealed (with effect in accordance with s. 1329(1) of the amending Act) by Corporation Tax Act 2009 (c. 4), s. 1329(1), Sch. 1 para. 454(3)(a), Sch. 3 Pt. 1 (with Sch. 2 Pts. 1, 2)
F40Sch. 18 para. 10(3) repealed (with effect in accordance with s. 1329(1) of the amending Act) by Corporation Tax Act 2009 (c. 4), s. 1329(1), Sch. 1 para. 454(3)(a), Sch. 3 Pt. 1 (with Sch. 2 Pts. 1, 2)
F41Sch. 18 para. 10(4) inserted (1.1.2007) by Finance Act 2006 (c. 25), s. 53(1), Sch. 5 para. 27; S.I. 2006/3399, art. 2
F42Sch. 18 para. 10(5) inserted (19.7.2007) by Finance Act 2007 (c. 11), s. 58(2)
F43Words in Sch. 18 para. 10(5) substituted (with effect in accordance with s. 1329(1) of the amending Act) by Corporation Tax Act 2009 (c. 4), s. 1329(1), Sch. 1 para. 454(3)(b)(i) (with Sch. 2 Pts. 1, 2)
F44Words in Sch. 18 para. 10(5) substituted (with effect in accordance with s. 1329(1) of the amending Act) by Corporation Tax Act 2009 (c. 4), s. 1329(1), Sch. 1 para. 454(3)(b)(ii) (with Sch. 2 Pts. 1, 2)
Modifications etc. (not altering text)
C8Sch. 18 para. 10 excluded by Taxation (International and Other Provisions) Act 2010 (c. 8), s. 371UB(5)(a) (as inserted (17.7.2012) by Finance Act 2012 (c. 14), Sch. 20 para. 1)
Textual Amendments
F45Sch. 18 para. 11 and cross-heading substituted (6.4.2008) by The Companies Act 2006 (Consequential Amendments) (Taxes and National Insurance) Order 2008 (S.I. 2008/954), arts. 1(1), 25(2) (with art. 4)
11[F46(1)]In the case of a company which—U.K.
(a)is required to deliver a company tax return for a period,
(b)is resident in the United Kingdom throughout that period, and
(c)is required under the Companies Act 2006 to prepare accounts for a period consisting of or including the whole of that period,
the power to require the delivery of accounts as part of the return is limited to such accounts, containing such information and having annexed to them such documents, as are required to be prepared under that Act.
[F47(2)Sub-paragraph (1) does not affect—
(a)the power to require the delivery of accounts, information or documents in relation to a company's tax liability by virtue of paragraph 50 or 51 of Schedule 19 to the Finance Act 2011 (the bank levy), or
(b)the requirements which may be imposed under paragraph 3A.]]
Textual Amendments
F46Sch. 18 para. 11 renumbered (19.7.2011) as Sch. 18 para. 11(1) by Finance Act 2011 (c. 11), Sch. 19 para. 64(2)
F47Sch. 18 para. 11(2) inserted (19.7.2011) by Finance Act 2011 (c. 11), Sch. 19 para. 64(3)
12(1)A company tax return of a company which carries on a trade, profession or business in partnership must include any amount which in a relevant partnership statement is stated to be its share of any income, loss, consideration, tax, credit or charge.U.K.
(2)A “relevant partnership statement” means a statement under section 12AB of the M2Taxes Management Act 1970 for the period for which the return is made or a period which includes that period or any part of it.
F4813U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Textual Amendments
F48Sch. 18 para. 13 omitted (13.8.2009) by virtue of The Finance Act 2009, Schedule 47 (Consequential Amendments) Order 2009 (S.I. 2009/2035), art. 1, Sch. para. 37
14(1)The filing date for a company tax return is the last day of whichever of the following periods is the last to end—U.K.
(a)twelve months from the end of the period for which the return is made;
(b)if the company’s relevant period of account is not longer than 18 months, twelve months from the end of that period;
(c)if the company’s relevant period of account is longer than 18 months, 30 months from the beginning of that period;
(d)three months from the date on which the notice requiring the return was served.
(2)In sub-paragraph (1) “relevant period of account” means, in relation to a return for an accounting period, the period of account of the company in which the last day of that accounting period falls.
F49. . .
Textual Amendments
F49Words in Sch. 18 Pt. II para. 14(2) repealed (24.7.2002) by 2002 c. 23, s. 141, Sch. 40 Pt. 3(16)
15(1)A company may amend its company tax return by notice to [F7an officer of Revenue and Customs].U.K.
(2)The notice must be in such form as [F7an officer of Revenue and Customs] may require.
(3)The notice must contain such information and be accompanied by such statements as [F7an officer of Revenue and Customs] may reasonably require.
(4)Except as otherwise provided, an amendment may not be made more than twelve months after—
(a)the filing date, or
(b)in the case of a return for the wrong period, what would be the filing date if the period for which the return was made were an accounting period.
Textual Amendments
F7Words in Sch. 18 substituted (18.4.2005) by Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(a); S.I. 2005/1126, art. 2(2)(h)
Modifications etc. (not altering text)
C9Sch. 18 para. 15 applied (with modifications) (with effect in accordance with reg. 1(2) of the amending S.I.) by The Lloyds Underwriters (Tax) Regulations 2005 (S.I. 2005/3338), regs. 1(1), 5
C10Sch. 18 para. 15 applied (with modifications) (15.11.2011 for specified purposes, 30.3.2012 for E.W.) by Localism Act 2011 (c. 20), s. 240(5)(o), Sch. 24 para. 8(2); S.I. 2012/628, art. 3(b)
16(1)[F7An officer of Revenue and Customs] may amend a company tax return so as to correct[F50—U.K.
(a)]obvious errors or omissions in the return (whether errors of principle, arithmetical mistakes or otherwise)[F51, and
(b)anything else in the return that the officer has reason to believe is incorrect in the light of information available to the officer].
(2)A correction under this paragraph is made by notice to the company concerned.
(3)No such correction may be made more than nine months after—
(a)the day on which the return was delivered, or
(b)if the correction is required in consequence of an amendment by the company under paragraph 15, the day on which that amendment was made.
(4)A correction under this paragraph is of no effect if the company—
(a)amends its return so as to reject the correction, or
(b)after the end of the period within which it may amend its return, but within three months from the date of issue of the notice of correction, gives notice rejecting the correction.
(5)Notice under sub-paragraph (4)(b) must be given—
(a)in writing,
(b)to the officer of the Board by whom notice of the correction was given.
Textual Amendments
F7Words in Sch. 18 substituted (18.4.2005) by Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(a); S.I. 2005/1126, art. 2(2)(h)
F50Word in Sch. 18 para. 16(1) inserted (1.4.2010) by Finance Act 2008 (c. 9), s. 119(4)(a)(13); S.I. 2009/405, art. 2
F51Words in Sch. 18 para. 16(1) inserted (1.4.2010) by Finance Act 2008 (c. 9), s. 119(4)(b)(13); S.I. 2009/405, art. 2
Modifications etc. (not altering text)
C11Sch. 18 para. 16 applied (with modifications) (with effect in accordance with reg. 1(2) of the amending S.I.) by The Lloyds Underwriters (Tax) Regulations 2005 (S.I. 2005/3338), regs. 1(1), 5
17(1)A company which is required to deliver a company tax return and fails to do so by the filing date is liable to a flat-rate penalty under this paragraph.U.K.
It may also be liable to a tax-related penalty under paragraph 18.
(2)The penalty is—
(a)£100, if the return is delivered within three months after the filing date, and
(b)£200, in any other case.
(3)The amounts are increased to £500 and £1000 for a third successive failure, that is, where—
(a)the company is within the charge to corporation tax for three consecutive accounting periods (and at no time between the beginning of the first of those periods and the end of the last is it outside the charge to corporation tax),
(b)a company tax return is required for each of those accounting periods,
(c)the company was liable to a penalty under this paragraph in respect of each of the first two of those periods, and
(d)the company is again liable to a penalty under this paragraph in respect of the third period.
(4)The first or second period mentioned in sub-paragraph (3) may be a period ending before the self-assessment appointed day, in relation to which—
(a)the reference in paragraph (b) to a company tax return shall be construed as a reference to a return under section 11 of the M3Taxes Management Act 1970, and
(b)the references in paragraphs (c) and (d) to a penalty under this paragraph shall be construed as a reference to a penalty under section 94 of that Act.
18(1)A company which is required to deliver a company tax return for an accounting period and fails to do so—U.K.
(a)within 18 months after the end of that period, or
(b)if the filing date is later than that, by the filing date,
is liable to a tax-related penalty under this paragraph.
This is in addition to any flat-rate penalty under paragraph 17.
(2)The penalty is—
(a)10 per cent. of the unpaid tax, if the return is delivered within two years after the end of the period for which the return is required, and
(b)20 per cent. of the unpaid tax, in any other case.
(3)The “unpaid tax” means the amount of tax payable by the company for the accounting period for which the return was required which remains unpaid on the date when the liability to the penalty arises under sub-paragraph (1).
[F52(4)In determining that amount no account is to be taken of—
(a)any relief under section 458 of the Corporation Tax Act 2010 (relief in respect of repayment, etc of loan) which is deferred under subsection (5) of that section, or
(b)any relief under section 464B of that Act (relief in respect of return payment) which is deferred under subsection (5) of that section.]
Textual Amendments
F52Sch. 18 para. 18(4) substituted (retrospective to 20.3.2013) by Finance Act 2013 (c. 29), Sch. 30 para. 13(4)(5)
Textual Amendments
F53Sch. 18 para. 19 and cross-heading substituted (6.4.2008) by The Companies Act 2006 (Consequential Amendments) (Taxes and National Insurance) Order 2008 (S.I. 2008/954), arts. 1(1), 25(3) (with art. 4)
19U.K.A company is not liable to a penalty under paragraph 17 (flat rate penalty) if—
(a)the period for which the return is required is one for which the company is required to deliver accounts under the Companies Act 2006, and
(b)the return is delivered no later than the last day for the delivery of those accounts to the registrar of companies.]
F5420U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Textual Amendments
F54Sch. 18 para. 20 repealed (1.4.2008 for specified purposes, 1.7.2008 for specified purposes, 1.1.2009 for specified purposes, 1.4.2009 in so far as not already in force) by Finance Act 2007 (c. 11), s. 97(2), Sch. 24 para. 29(c), Sch. 27 Pt. 5(5); S.I. 2008/568, art. 2(a)(b)(c)(d)(e)(f) (with art. 3)
Textual Amendments
F55Sch. 18 para. 20A and cross-heading inserted (retrospectively) by Finance Act 2019 (c. 1), s. 87(2)(3) (with s. 87(4))
20A(1)This paragraph applies where—U.K.
(a)a company delivers a purported return (“the relevant return”) for a period (“the relevant period”),
(b)no notice under paragraph 3 has been given to the company in respect of the relevant period, and
(c)Her Majesty’s Revenue and Customs treats the relevant return as a return made and delivered in pursuance of such a notice.
(2)For the purposes of the Taxes Acts—
(a)treat a relevant notice as having been given to the company on the day the relevant return was delivered, and
(b)treat the relevant return as having been made and delivered in pursuance of that notice (and, accordingly, treat it as if it were a company tax return under paragraph 3).
(3)“Relevant notice” means a notice under paragraph 3 requiring the company to deliver a return for the relevant period.
(4)In sub-paragraph (1)(a) “purported return” means anything that—
(a)is in a form, and is delivered in a way, that a corresponding return could have been made and delivered had a relevant notice been given, and
(b)purports to be a company tax return.
(5)Nothing in this paragraph affects paragraph 46 or any other provisions of the Taxes Acts specifying a time limit for the making of an assessment.]
21(1)A company which may be required to deliver a company tax return for any period must—U.K.
(a)keep such records as may be needed to enable it to deliver a correct and complete return for the period, and
(b)preserve those records in accordance with this paragraph.
(2)The records must be preserved [F56until the end of the relevant day.]
[F57(2A)In this paragraph “relevant day” means—
(a)the sixth anniversary of the end of the period for which the company may be required to deliver a company tax return, or
(b)such earlier day as may be specified in writing by the Commissioners for Her Majesty's Revenue and Customs (and different days may be specified for different cases).]
(3)If the company is required to deliver a company tax return by notice given before the end of [F58the relevant day], the records must be preserved until any later date on which—
(a)any enquiry into the return is completed, or
(b)if there is no enquiry, [F7an officer of Revenue and Customs] no longer [F59has] power to enquire into the return.
(4)If the company is required to deliver a company tax return by notice given after the end of [F60the relevant day] and has in its possession at that time any records that may be needed to enable it to deliver a correct and complete return, it is under a duty to preserve those records until the date on which—
(a)any enquiry into the return is completed, or
(b)if there is no enquiry, [F7an officer of Revenue and Customs] no longer [F59has] power to enquire into the return.
(5)The records required to be kept and preserved under this paragraph include records of—
(a)all receipts and expenses in the course of the company’s activities, and the matters in respect of which the receipts and expenses arise, and
(b)in the case of a trade involving dealing in goods, all sales and purchases made in the course of the trade.
[F61(5A)The Commissioners for Her Majesty's Revenue and Customs may by regulations—
(a)provide that the records required to be kept and preserved under this paragraph include, or do not include, records specified in the regulations, and
(b)provide that those records include supporting documents so specified.
(5B)Regulations under this paragraph may—
(a)make different provision for different cases, and
(b)make provision by reference to things specified in a notice published by the Commissioners for Her Majesty's Revenue and Customs in accordance with the regulations (and not withdrawn by a subsequent notice).]
(6)F62...
“Supporting documents” includes accounts, books, deeds, contracts, vouchers and receipts.
Textual Amendments
F7Words in Sch. 18 substituted (18.4.2005) by Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(a); S.I. 2005/1126, art. 2(2)(h)
F56Words in Sch. 18 para. 21(2) substituted (1.4.2009) by Finance Act 2008 (c. 9), s. 115(2), Sch. 37 para. 8(2); S.I. 2009/402, art. 2
F57Sch. 18 para. 21(2A) inserted (1.4.2009) by Finance Act 2008 (c. 9), s. 115(2), Sch. 37 para. 8(3); S.I. 2009/402, art. 2
F58Words in Sch. 18 para. 21(3) substituted (1.4.2009) by Finance Act 2008 (c. 9), s. 115(2), Sch. 37 para. 8(4); S.I. 2009/402, art. 2
F59Words in Sch. 18 substituted (18.4.2005) by virtue of Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(c); S.I. 2005/1126, art. 2(2)(h)
F60Words in Sch. 18 para. 21(4) substituted (1.4.2009) by Finance Act 2008 (c. 9), s. 115(2), Sch. 37 para. 8(5); S.I. 2009/402, art. 2
F61Sch. 18 para. 21(5A)(5B) inserted (1.4.2009) by Finance Act 2008 (c. 9), s. 115(2), Sch. 37 para. 8(6); S.I. 2009/402, art. 2
F62Words in Sch. 18 para. 21(6) omitted (1.4.2009) by virtue of Finance Act 2008 (c. 9), s. 115(2), Sch. 37 para. 8(7); S.I. 2009/402, art. 2
Textual Amendments
F63Word in Sch. 18 para. 22 cross-heading substituted (1.4.2009) by Finance Act 2008 (c. 9), s. 115(2), Sch. 37 para. 9(5); S.I. 2009/402, art. 2
22[F64(1)The duty under paragraph 21 to preserve records may be discharged—U.K.
(a)by preserving them in any form and by any means, or
(b)by preserving the information contained in them in any form and by any means,
subject to sub-paragraph (3) and any conditions or exceptions specified in writing by the Commissioners for Her Majesty's Revenue and Customs.]
F65(2). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(3)[F66Sub-paragraph (1)(b) does not apply in the case of the following kinds of records]—
(a)any statement in writing such as is mentioned in—
(i)[F67section 1100(1) of the Corporation Tax Act 2010] (amount of qualifying distribution and tax credit), or
[F68(ii)section 495(1) or 975(2) or (4) of the Income Tax Act 2007 (statements about deduction of income tax),]
provided by the company or person there mentioned whether after the making of a request or otherwise;
[F69(b)any record (however described) which is required by regulations under section 70(1)(c) of the Finance Act 2004 to be given to a sub-contractor (within the meaning of section 58 of that Act) on the making of a payment to which section 61 of that Act (deductions on account of tax) applies;]
(c)any record relating to an amount of tax—
(i)paid under the law of a territory outside the United Kingdom, or
[F70(ii)which would have been payable under the law of a territory outside the United Kingdom (“territory F”) but for a development relief.]
[F71(4)In sub-paragraph (3)(c) “development relief” means a relief—
(a)given under the law of territory F with a view to promoting industrial, commercial, scientific, educational or other development in a territory outside the United Kingdom, and
(b)about which provision is made in arrangements which have effect under section 2(1) of TIOPA 2010 (double taxation relief by agreement with territories outside the United Kingdom).]
Textual Amendments
F64Sch. 18 para. 22(1) substituted (1.4.2009) by Finance Act 2008 (c. 9), s. 115(2), Sch. 37 para. 9(2); S.I. 2009/402, art. 2
F65Sch. 18 para. 22(2) omitted (1.4.2009) by virtue of Finance Act 2008 (c. 9), s. 115(2), Sch. 37 para. 9(3); S.I. 2009/402, art. 2
F66Words in Sch. 18 para. 22(3) substituted (1.4.2009) by Finance Act 2008 (c. 9), s. 115(2), Sch. 37 para. 9(4); S.I. 2009/402, art. 2
F67Words in Sch. 18 para. 22(3)(a)(i) substituted (with effect in accordance with s. 1184(1) of the amending Act) by Corporation Tax Act 2010 (c. 4), s. 1184(1), Sch. 1 para. 297(6) (with Sch. 2)
F68Sch. 18 para. 22(3)(a)(ii) substituted (6.4.2007) by Income Tax Act 2007 (c. 3), s. 1034(1), Sch. 1 para. 385(4) (with Sch. 2)
F69Sch. 18 para. 22(3)(b) substituted (with effect in accordance with s. 77 of the amending Act) by Finance Act 2004 (c. 12), Sch. 12 para. 16(2)
F70Sch. 18 para. 22(3)(c)(ii) substituted (with effect in accordance with s. 381(1) of the amending Act) by Taxation (International and Other Provisions) Act 2010 (c. 8), s. 381(1), Sch. 8 para. 54(3) (with Sch. 9 paras. 1-9, 22)
F71Sch. 18 para. 22(4) inserted (with effect in accordance with s. 381(1) of the amending Act) by Taxation (International and Other Provisions) Act 2010 (c. 8), s. 381(1), Sch. 8 para. 54(4) (with Sch. 9 paras. 1-9, 22)
23(1)A company which fails to comply with paragraph 21 in relation to an accounting period is liable to a penalty not exceeding £3,000, subject to the following exceptions.U.K.
(2)No penalty is incurred if the records which the company fails to keep or preserve are records which might have been needed only for the purposes of claims, elections or notices not included in the return.
(3)No penalty is incurred if—
(a)the records which the company fails to keep or preserve are statements in writing such as are mentioned in—
(i)[F72section 1100(1) of the Corporation Tax Act 2010] (amount of qualifying distribution and tax credit), or
[F73(ii)section 495(1) or 975(2) or (4) of the Income Tax Act 2007 (statements about deduction of income tax),]
provided by the company or person there mentioned whether after the making of a request or otherwise, and
(b)[F7an officer of Revenue and Customs] [F59is] satisfied that any facts which [F59he] reasonably [F59requires] to be proved, and which would have been proved by the records, are proved by other documentary evidence furnished to [F59him].
Textual Amendments
F7Words in Sch. 18 substituted (18.4.2005) by Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(a); S.I. 2005/1126, art. 2(2)(h)
F59Words in Sch. 18 substituted (18.4.2005) by virtue of Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(c); S.I. 2005/1126, art. 2(2)(h)
F72Words in Sch. 18 para. 23(3)(a)(i) substituted (with effect in accordance with s. 1184(1) of the amending Act) by Corporation Tax Act 2010 (c. 4), s. 1184(1), Sch. 1 para. 297(7) (with Sch. 2)
F73Sch. 18 para. 23(3)(a)(ii) substituted (6.4.2007) by Income Tax Act 2007 (c. 3), s. 1034(1), Sch. 1 para. 385(4) (with Sch. 2)
Modifications etc. (not altering text)
C12Sch. 18 para. 23 excluded (with effect in accordance with s. 33(1) of the amending Act) by Finance Act 2004 (c. 12), s. 33(3)(b)
24(1)[F7An officer of Revenue and Customs] may enquire into a company tax return if [F59he gives] notice to the company of [F59his] intention to do so (“notice of enquiry") within the time allowed.U.K.
(2)If the return was delivered on or before the filing date, notice of enquiry may be given at any time up to twelve months [F74from the day on which the return was delivered (subject to sub-paragraph (6)).]
(3)If the return was delivered after the filing date, notice of enquiry may be given at any time up to and including the 31st January, 30th April, 31st July or 31st October next following the first anniversary of the day on which the return was delivered.
(4)If the company amends its return, notice of enquiry may be given at any time up to and including the 31st January, 30th April, 31st July or 31st October next following the first anniversary of the day on which the amendment was made.
(5)A return which has been the subject of one notice of enquiry may not be the subject of another, except one given in consequence of an amendment (or another amendment) by the company of its return.
[F75(6)In the case of a company which is a member of a group other than a small group, the 12-month period in sub-paragraph (2) shall start not from the day on which the return was delivered but from the filing date.]
[F76(7)In sub-paragraph (6) “group” and “small group” have the same meaning as in sections 474(1) and 383 of the Companies Act 2006.]
Textual Amendments
F7Words in Sch. 18 substituted (18.4.2005) by Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(a); S.I. 2005/1126, art. 2(2)(h)
F59Words in Sch. 18 substituted (18.4.2005) by virtue of Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(c); S.I. 2005/1126, art. 2(2)(h)
F74Words in Sch. 18 para. 24(2) substituted (19.7.2007) by Finance Act 2007 (c. 11), s. 96(3) (with s. 96(6))
F75Sch. 18 para. 24(6)(7) inserted (19.7.2007) by Finance Act 2007 (c. 11), s. 96(4) (with s. 96(6))
F76Sch. 18 para. 24(7) substituted (6.4.2008) by The Companies Act 2006 (Consequential Amendments) (Taxes and National Insurance) Order 2008 (S.I. 2008/954), arts. 1(1), 25(4) (with art. 4)
Modifications etc. (not altering text)
C13Sch. 18 para. 24 applied (with modifications) (with effect in accordance with reg. 1(2) of the amending S.I.) by The Lloyds Underwriters (Tax) Regulations 2005 (S.I. 2005/3338), regs. 1(1), 5
C14Sch. 18 para. 24(4)-(5) applied (8.4.2010) by Finance Act 2010 (c. 13), Sch. 1 para. 23(5)(a)
25(1)An enquiry into a company tax return extends to anything contained in the return, or required to be contained in the return, including—U.K.
(a)any claim or election included in the return,
(b)any amount that affects or may affect—
(i)the tax payable by that company for another accounting period, or
(ii)the tax liability of another company for any accounting period,
[F77and also extends to consideration of whether to give the company [F78a notice within sub-paragraph (3)]. But this is subject to the following limitation.]
(2)If the notice of enquiry is given—
(a)as a result of an amendment by the company of its return, and
(b)at a time when it is no longer possible to give notice of enquiry under paragraph 24(2) or (3),
the enquiry into the return is limited to matters to which the amendment relates or which are affected by the amendment.
[F79(3)A notice is within this sub-paragraph if it is—
(a)a notice under section 184G or 184H of the Taxation of Chargeable Gains Act 1992 (avoidance involving capital losses),
(b)a notice under section 81(2) of TIOPA 2010 (schemes and arrangements designed to increase relief),
(c)a transfer pricing notice under section 168(1) of TIOPA 2010 (provision not at arm's length: medium-sized enterprise), or
(d)a notice under section 232 or 249 of TIOPA 2010 (avoidance involving tax arbitrage).]
Textual Amendments
F77Words in Sch. 18 para. 25(1) substituted (with effect in accordance with s. 37 of the amending Act) by Finance Act 2004 (c. 12), Sch. 5 para. 10
F78Words in Sch. 18 para. 25(1) substituted (with effect in accordance with s. 381(1) of the amending Act) by Taxation (International and Other Provisions) Act 2010 (c. 8), s. 381(1), Sch. 8 para. 321(2) (with Sch. 9 paras. 1-9, 22)
F79Sch. 18 para. 25(3) inserted (with effect in accordance with s. 381(1) of the amending Act) by Taxation (International and Other Provisions) Act 2010 (c. 8), s. 381(1), Sch. 8 para. 321(3) (with Sch. 9 paras. 1-9, 22)
Modifications etc. (not altering text)
C15Sch. 18 para. 25 applied (with modifications) (with effect in accordance with reg. 1(2) of the amending S.I.) by The Lloyds Underwriters (Tax) Regulations 2005 (S.I. 2005/3338), regs. 1(1), 5
C16Sch. 18 para. 25(2) applied (8.4.2010) by Finance Act 2010 (c. 13), Sch. 1 para. 23(5)(b)
26(1)In the case of a company tax return which it appears to [F7an officer of Revenue and Customs] —U.K.
(a)is or may be a return for the wrong period, or
(b)has become a return for the wrong period as a result of a direction under [F80section 11(3) of the Corporation Tax Act 2009 (power of officer of Revenue and Customs] to direct which accounting date to be used where company carries on several trades),
the power to enquire into the return includes power to enquire into the period for which the return ought to have been made.
(2)A return is a “return for the wrong period” in the following cases.
(3)The first case is where the return is made for a period which is treated in the return as an accounting period, but which is not an accounting period of the company.
(4)The second case is where the return is made on the basis that there is no accounting period ending in or at the end of the specified period, but there is such an accounting period.
(5)In relation to a return for the wrong period the references to the filing date in paragraph 24(2) and (3) (period within which notice of enquiry may be given) are to the date that would be the filing date if the period for which the return was made were a period of the kind it is treated as in the return.
(6)In this paragraph “the specified period” means the period specified in the notice requiring a company tax return.
Textual Amendments
F7Words in Sch. 18 substituted (18.4.2005) by Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(a); S.I. 2005/1126, art. 2(2)(h)
F80Words in Sch. 18 para. 26(1)(b) substituted (with effect in accordance with s. 1329(1) of the amending Act) by Corporation Tax Act 2009 (c. 4), s. 1329(1), Sch. 1 para. 454(5) (with Sch. 2 Pts. 1, 2)
F8127U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Textual Amendments
F81Sch. 18 para. 27 omitted (1.4.2009) by virtue of Finance Act 2008 (c. 9), s. 113(2), Sch. 36 para. 88 (with Sch. 36 para. 38); S.I. 2009/404, art. 2 (with arts. 7, 8)
F8228U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Textual Amendments
F82Sch. 18 para. 28 omitted (1.4.2009) by virtue of Finance Act 2008 (c. 9), s. 113(2), Sch. 36 para. 88 (with Sch. 36 para. 38); S.I. 2009/404, art. 2 (with arts. 7, 8)
F8329U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Textual Amendments
F83Sch. 18 para. 29 omitted (1.4.2009) by virtue of Finance Act 2008 (c. 9), s. 113(2), Sch. 36 para. 88 (with Sch. 36 para. 38); S.I. 2009/404, art. 2 (with arts. 7, 8)
30(1)If after notice of enquiry has been given and before the enquiry is completed [F7an officer of Revenue and Customs] [F59forms] the opinion—U.K.
(a)that the amount stated in the company’s self-assessment as the amount of tax payable is insufficient, and
(b)that unless the assessment is immediately amended there is likely to be a loss of tax to the Crown,
[F59he] may by notice to the company amend its self-assessment to make good the deficiency.
(2)In the case of an enquiry which under paragraph 25(2) is limited to matters arising from an amendment of the return, sub-paragraph (1) above only applies so far as the deficiency is attributable to the amendment.
(3)An appeal may be brought against an amendment of a company’s self-assessment by [F7an officer of Revenue and Customs] under this paragraph.
(4)Notice of appeal must be given—
(a)in writing,
(b)within 30 days after the amendment was notified to the company,
(c)to the officer of the Board by whom the notice of amendment was given.
[F84(5)None of the steps mentioned in section 49A(2)(a) to (c) of the Taxes Management Act 1970 may be taken in relation to the appeal before the completion of the enquiry.]
Textual Amendments
F7Words in Sch. 18 substituted (18.4.2005) by Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(a); S.I. 2005/1126, art. 2(2)(h)
F59Words in Sch. 18 substituted (18.4.2005) by virtue of Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(c); S.I. 2005/1126, art. 2(2)(h)
F84Sch. 18 para. 30(5) substituted (1.4.2009) by The Transfer of Tribunal Functions and Revenue and Customs Appeals Order 2009 (S.I. 2009/56), art. 1(2), Sch. 1 para. 257
31(1)This paragraph applies if a company amends its company tax return at a time when an enquiry is in progress into the return.U.K.
(2)The amendment does not restrict the scope of the enquiry but may be taken into account (together with any matters arising) in the enquiry.
(3)So far as the amendment affects—
(a)the amount stated in the company’s self-assessment as the amount of tax payable, or
(b)any amount that affects or may affect—
(i)the tax payable by the company for another accounting period, or
(ii)the tax liability of another company for any accounting period,
it does not take effect until after the enquiry is completed.
This does not affect any claim by the company under section 59DA of the M4Taxes Management Act 1970 (claim for repayment in advance of liability being established).
(4)An amendment whose effect is deferred under sub-paragraph (3) takes effect as follows—
(a)if the conclusions in the closure notice state either—
(i)that the amendment was not taken into account in the enquiry, or
(ii)that no amendment of the return is required arising from the enquiry,
the amendment takes effect on the completion of the enquiry;
[F85(b)in any other case, the amendment takes effect as part of the amendments made by the closure notice.]
(5)For the purposes of this paragraph the period during which an enquiry is in progress is the whole of the period—
(a)beginning with the day on which [F7an officer of Revenue and Customs] [F59gives] notice of enquiry into the return, and
(b)ending with the day on which the enquiry is completed.
Textual Amendments
F7Words in Sch. 18 substituted (18.4.2005) by Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(a); S.I. 2005/1126, art. 2(2)(h)
F59Words in Sch. 18 substituted (18.4.2005) by virtue of Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(c); S.I. 2005/1126, art. 2(2)(h)
F85Sch. 18 para. 31(4)(b) substituted (1.4.2010) by Finance Act 2008 (c. 9), s. 119(5)(13); S.I. 2009/405, art. 2
Modifications etc. (not altering text)
C17Sch. 18 paras. 31-34 applied (with modifications) (with effect in accordance with reg. 1(2) of the amending S.I.) by The Lloyds Underwriters (Tax) Regulations 2005 (S.I. 2005/3338), regs. 1(1), 5
C18Sch. 18 para. 31 applied (8.4.2010) by Finance Act 2010 (c. 13), Sch. 1 para. 23(5)(c)
Marginal Citations
Textual Amendments
F86Sch. 18 Pt. IV para. 31A-31D inserted (11.5.2001 with application as mentioned in Sch. 29 para. 7(2) of the amending Act) by 2001 c. 9, s. 88, Sch. 29 para. 7
F87Words in Sch. 18 para. 31A cross-heading substituted (1.4.2009) by The Transfer of Tribunal Functions and Revenue and Customs Appeals Order 2009 (S.I. 2009/56), art. 1(2), Sch. 1 para. 258(2)
31A(1)At any time when an enquiry is in progress into a company’s tax return any question arising in connection with the subject-matter of the enquiry may be referred to the [F88tribunal] for F89... determination.U.K.
(2)Notice of referral must be given—
(a)jointly by the company and [F7an officer of Revenue and Customs],
F90(b). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(c)to the [F91tribunal].
F92(3). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(4)More than one notice of referral may be given under this paragraph in relation to an enquiry.
(5)For the purposes of this paragraph the period during which an enquiry is in progress is the whole of the period—
(a)beginning with the day on which [F7an officer of Revenue and Customs] [F59gives] notice of enquiry into the return, and
(b)ending with the day on which the enquiry is completed.
Textual Amendments
F7Words in Sch. 18 substituted (18.4.2005) by Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(a); S.I. 2005/1126, art. 2(2)(h)
F59Words in Sch. 18 substituted (18.4.2005) by virtue of Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(c); S.I. 2005/1126, art. 2(2)(h)
F88Word in Sch. 18 para. 31A(1) substituted (1.4.2009) by The Transfer of Tribunal Functions and Revenue and Customs Appeals Order 2009 (S.I. 2009/56), art. 1(2), Sch. 1 para. 258(3)
F89Word in Sch. 18 para. 31A(1) omitted (1.4.2009) by virtue of The Transfer of Tribunal Functions and Revenue and Customs Appeals Order 2009 (S.I. 2009/56), art. 1(2), Sch. 1 para. 258(3)
F90Sch. 18 para. 31A(2)(b) omitted (1.4.2009) by virtue of The Transfer of Tribunal Functions and Revenue and Customs Appeals Order 2009 (S.I. 2009/56), art. 1(2), Sch. 1 para. 258(4)(a)
F91Word in Sch. 18 para. 31A(2)(c) substituted (1.4.2009) by The Transfer of Tribunal Functions and Revenue and Customs Appeals Order 2009 (S.I. 2009/56), art. 1(2), Sch. 1 para. 258(4)(b)
F92Sch. 18 para. 31A(3) omitted (1.4.2009) by virtue of The Transfer of Tribunal Functions and Revenue and Customs Appeals Order 2009 (S.I. 2009/56), art. 1(2), Sch. 1 para. 258(5)
Modifications etc. (not altering text)
C17Sch. 18 paras. 31-34 applied (with modifications) (with effect in accordance with reg. 1(2) of the amending S.I.) by The Lloyds Underwriters (Tax) Regulations 2005 (S.I. 2005/3338), regs. 1(1), 5
C19Sch. 18 paras. 31A-31D applied (8.4.2010) by Finance Act 2010 (c. 13), Sch. 1 para. 23(5)(d)
31B(1)[F7An officer of Revenue and Customs] or the company may withdraw a notice of referral under paragraph 31A F93...U.K.
F94(2). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Textual Amendments
F7Words in Sch. 18 substituted (18.4.2005) by Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(a); S.I. 2005/1126, art. 2(2)(h)
F93Words in Sch. 18 para. 31B(1) omitted (1.4.2009) by virtue of The Transfer of Tribunal Functions and Revenue and Customs Appeals Order 2009 (S.I. 2009/56), art. 1(2), Sch. 1 para. 259(2)
F94Sch. 18 para. 31B(2) omitted (1.4.2009) by virtue of The Transfer of Tribunal Functions and Revenue and Customs Appeals Order 2009 (S.I. 2009/56), art. 1(2), Sch. 1 para. 259(3)
Modifications etc. (not altering text)
C17Sch. 18 paras. 31-34 applied (with modifications) (with effect in accordance with reg. 1(2) of the amending S.I.) by The Lloyds Underwriters (Tax) Regulations 2005 (S.I. 2005/3338), regs. 1(1), 5
C19Sch. 18 paras. 31A-31D applied (8.4.2010) by Finance Act 2010 (c. 13), Sch. 1 para. 23(5)(d)
31C(1)While proceedings on a referral under paragraph 31A are in progress in relation to an enquiry—U.K.
(a)no closure notice shall be given in relation to the enquiry, and
(b)no application may be made for a direction to give such a notice.
(2)For the purposes of this paragraph proceedings on a referral are in progress where—
(a)notice of referral has been given,
(b)the notice has not been withdrawn, and
(c)the questions referred have not been finally determined.
(3)For the purposes of sub-paragraph (2)(c) a question referred is finally determined when—
(a)it has been determined by the [F95tribunal], and
(b)there is no further possibility of that determination being varied or set aside (disregarding any power to grant permission to appeal out of time).
Textual Amendments
F95Word in Sch. 18 para. 31C(3)(a) substituted (1.4.2009) by The Transfer of Tribunal Functions and Revenue and Customs Appeals Order 2009 (S.I. 2009/56), art. 1(2), Sch. 1 para. 260
Modifications etc. (not altering text)
C17Sch. 18 paras. 31-34 applied (with modifications) (with effect in accordance with reg. 1(2) of the amending S.I.) by The Lloyds Underwriters (Tax) Regulations 2005 (S.I. 2005/3338), regs. 1(1), 5
C19Sch. 18 paras. 31A-31D applied (8.4.2010) by Finance Act 2010 (c. 13), Sch. 1 para. 23(5)(d)
31D(1)The determination of a question referred to the [F96tribunal] under paragraph 31A is binding on the parties to the referral in the same way, and to the same extent, as a decision on a preliminary issue in an appeal.U.K.
(2)The determination shall be taken into account by [F7an officer of Revenue and Customs] in reaching [F59his] conclusions on the enquiry.
(3)Any right of appeal under paragraph 30 or 34(3) may not be exercised so as to reopen the question determined except to the extent (if any) that it could be reopened if it had been determined as a preliminary issue in that appeal.]
Textual Amendments
F7Words in Sch. 18 substituted (18.4.2005) by Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(a); S.I. 2005/1126, art. 2(2)(h)
F59Words in Sch. 18 substituted (18.4.2005) by virtue of Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(c); S.I. 2005/1126, art. 2(2)(h)
F96Word in Sch. 18 para. 31D(1) substituted (1.4.2009) by The Transfer of Tribunal Functions and Revenue and Customs Appeals Order 2009 (S.I. 2009/56), art. 1(2), Sch. 1 para. 261
Modifications etc. (not altering text)
C17Sch. 18 paras. 31-34 applied (with modifications) (with effect in accordance with reg. 1(2) of the amending S.I.) by The Lloyds Underwriters (Tax) Regulations 2005 (S.I. 2005/3338), regs. 1(1), 5
C19Sch. 18 paras. 31A-31D applied (8.4.2010) by Finance Act 2010 (c. 13), Sch. 1 para. 23(5)(d)
32(1)An enquiry is completed when [F7an officer of Revenue and Customs] by notice (a “closure notice") [F59informs] the company [F59he has] completed [F59his] enquiry and [F59states his] conclusions.U.K.
The notice takes effect when it is issued.
(2)If [F7an officer of Revenue and Customs] [F59concludes] that the return was a return for the wrong period, the closure notice must designate the accounting period for which a return should have been made (specifying the dates on which the period begins and ends).
(3)If there is more than one accounting period ending in or at the end of the period specified in the notice requiring a return, the closure notice shall only designate the first of those accounting periods for which no return has been delivered.
Paragraph 35 provides for a return to be delivered for any other outstanding accounting period.
Textual Amendments
F7Words in Sch. 18 substituted (18.4.2005) by Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(a); S.I. 2005/1126, art. 2(2)(h)
F59Words in Sch. 18 substituted (18.4.2005) by virtue of Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(c); S.I. 2005/1126, art. 2(2)(h)
Modifications etc. (not altering text)
C17Sch. 18 paras. 31-34 applied (with modifications) (with effect in accordance with reg. 1(2) of the amending S.I.) by The Lloyds Underwriters (Tax) Regulations 2005 (S.I. 2005/3338), regs. 1(1), 5
C20Sch. 18 para. 32(1) applied (8.4.2010) by Finance Act 2010 (c. 13), Sch. 1 para. 23(5)(e)
33(1)The company may apply to the [F97tribunal] for a direction that [F7an officer of Revenue and Customs] give a closure notice within a specified period.U.K.
[F98(2)Any such application is to be subject to the relevant provisions of Part 5 of the Taxes Management Act 1970 (see, in particular, section 48(2)(b) of that Act).]
(3)The [F99tribunal] shall give a direction unless F100... satisfied that [F7an officer of Revenue and Customs] [F59has] reasonable grounds for not giving a closure notice within a specified period.
Textual Amendments
F7Words in Sch. 18 substituted (18.4.2005) by Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(a); S.I. 2005/1126, art. 2(2)(h)
F59Words in Sch. 18 substituted (18.4.2005) by virtue of Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(c); S.I. 2005/1126, art. 2(2)(h)
F97Word in Sch. 18 para. 33(1) substituted (1.4.2009) by The Transfer of Tribunal Functions and Revenue and Customs Appeals Order 2009 (S.I. 2009/56), art. 1(2), Sch. 1 para. 262(2)
F98Sch. 18 para. 33(2) substituted (1.4.2009) by The Transfer of Tribunal Functions and Revenue and Customs Appeals Order 2009 (S.I. 2009/56), art. 1(2), Sch. 1 para. 262(3)
F99Word in Sch. 18 para. 33(3) substituted (1.4.2009) by The Transfer of Tribunal Functions and Revenue and Customs Appeals Order 2009 (S.I. 2009/56), art. 1(2), Sch. 1 para. 262(4)(a)
F100Words in Sch. 18 para. 33(3) omitted (1.4.2009) by virtue of The Transfer of Tribunal Functions and Revenue and Customs Appeals Order 2009 (S.I. 2009/56), art. 1(2), Sch. 1 para. 262(4)(b)
Modifications etc. (not altering text)
C17Sch. 18 paras. 31-34 applied (with modifications) (with effect in accordance with reg. 1(2) of the amending S.I.) by The Lloyds Underwriters (Tax) Regulations 2005 (S.I. 2005/3338), regs. 1(1), 5
C21Sch. 18 para. 33 applied (8.4.2010) by Finance Act 2010 (c. 13), Sch. 1 para. 23(5)(f)
34[F101(1)This paragraph applies where a closure notice is given to a company by an officer.U.K.
(2)The closure notice must—
(a)state that, in the officer's opinion, no amendment is required of the return that was the subject of the enquiry, or
(b)make the amendments of that return that are required—
(i)to give effect to the conclusions stated in the notice, and
(ii)in the case of a return for the wrong period, to make it a return appropriate to the designated period.
(2A)The officer may by further notice to the company make any amendments of other company tax returns delivered by the company that are required to give effect to the conclusions stated in the closure notice.]
(3)An appeal may be brought against [F102an amendment of a company's return under sub-paragraph (2) or (2A)].
(4)Notice of appeal must be given—
(a)in writing,
(b)within 30 days after the amendment was notified to the company,
(c)to the officer of the Board by whom the [F103closure notice] was given.
(5)In this paragraph “the designated period” means the period designated in the closure notice.
Textual Amendments
F101Sch. 18 para. 34(1)-(2A) substituted for Sch. 18 para. 34(1)(2) (1.4.2010) by Finance Act 2008 (c. 9), s. 119(6)(13); S.I. 2009/405, art. 2
F102Words in Sch. 18 para. 34(3) substituted (1.4.2010) by Finance Act 2008 (c. 9), s. 119(7)(13); S.I. 2009/405, art. 2
F103Words in Sch. 18 para. 34(4)(c) substituted (1.4.2010) by Finance Act 2008 (c. 9), s. 119(8)(13); S.I. 2009/405, art. 2
Modifications etc. (not altering text)
C17Sch. 18 paras. 31-34 applied (with modifications) (with effect in accordance with reg. 1(2) of the amending S.I.) by The Lloyds Underwriters (Tax) Regulations 2005 (S.I. 2005/3338), regs. 1(1), 5
C22Sch. 18 para. 34 applied (8.4.2010) by Finance Act 2010 (c. 13), Sch. 1 para. 23(5)(g)
35(1)Where, following an enquiry into a company tax return—U.K.
(a)it is finally determined—
(i)that the return is a return for the wrong period, and
(ii)what the period is for which the return should have been made, and
(b)the effect of the determination is that there is a further period (“the outstanding period") for which a company tax return should have been made under the original notice requiring a return,
then, if there is no such return delivered by the company which can be amended so as to become a return for the outstanding period, the original notice shall be taken to require the company to deliver a return in respect of that period.
(2)The filing date for such a return for an outstanding period is whichever is the later of—
(a)the original filing date, and
(b)the last day of the period of 30 days beginning with the day on which the matters mentioned in sub-paragraph (1)(a) are finally determined.
36(1)If no return is delivered in response to a notice requiring a company tax return, [F7an officer of Revenue and Customs] may determine to the best of [F59his] information and belief the amount of tax payable by the company.U.K.
(2)The power to make a determination under this paragraph becomes exercisable if no return is delivered on or before the following date—
(a)if the filing date for any return required by the notice can be ascertained, that date;
(b)if no such date can be ascertained, the later of—
(i)18 months from the end of the period specified in the notice, or
(ii)three months from the day on which the notice was served.
(3)The accounting period or periods for which a determination may be made are—
(a)if there is only one accounting period ending in or at the end of the period specified in the notice, that period;
(b)if there is more than one accounting period ending in or at the end of the period specified in the notice, each of those periods;
(c)if [F7an officer of Revenue and Customs] [F59has] insufficient information to identify the accounting periods of the company, such period or periods ending in or at the end of the period specified in the notice as [F59he] may determine.
(4)Notice of a determination under this paragraph must be served on the company, stating the date on which the determination is issued.
(5)No determination under this paragraph may be made more than [F1043 years] after the day on which the power becomes exercisable.
(6)If the company shows—
(a)that there is no accounting period of the company ending in or at the end of the period specified in the notice, or
(b)that it has delivered a return for the accounting period, or each accounting period, ending in or at the end of the period specified in the notice, or
(c)that no return is yet due for any such period,
any determination under this paragraph is of no effect.
Textual Amendments
F7Words in Sch. 18 substituted (18.4.2005) by Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(a); S.I. 2005/1126, art. 2(2)(h)
F59Words in Sch. 18 substituted (18.4.2005) by virtue of Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(c); S.I. 2005/1126, art. 2(2)(h)
F104Words in Sch. 18 para. 36(5) substituted (1.4.2010) by Finance Act 2008 (c. 9), s. 118(2), Sch. 39 para. 38; S.I. 2009/403, art. 2(2) (with art. 10)
Modifications etc. (not altering text)
C23Sch. 18 para. 36 applied (with modifications) (with effect in accordance with reg. 1(2) of the amending S.I.) by The Lloyds Underwriters (Tax) Regulations 2005 (S.I. 2005/3338), regs. 1(1), 6
37(1)If a notice requiring a company tax return is served on a company and—U.K.
(a)a return is delivered for an accounting period ending in or at the end of the period specified in the notice, but
(b)there is another period so ending (the “outstanding period") which appears to [F7an officer of Revenue and Customs] is or may be an accounting period,
[F7an officer of Revenue and Customs] may determine to the best of [F59his] information and belief the amount of corporation tax payable by the company for the outstanding period.
(2)The power to make a determination under this paragraph becomes exercisable—
(a)if the filing date for the outstanding period can be ascertained and no return is delivered on or before that date;
(b)if no such date can be ascertained and no return for that period is delivered by the later of—
(i)30 months from the end of the period specified in the notice, or
(ii)three months from the day on which the notice was served.
(3)Notice of a determination under this paragraph must be served on the company, stating the date on which the determination is issued.
(4)No determination under this paragraph may be made more than [F1053 years] after the day on which the power first became exercisable.
(5)If the company shows—
(a)that the outstanding period is not an accounting period, or
(b)that it has delivered a return for that period,
any determination under this paragraph is of no effect.
Textual Amendments
F7Words in Sch. 18 substituted (18.4.2005) by Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(a); S.I. 2005/1126, art. 2(2)(h)
F59Words in Sch. 18 substituted (18.4.2005) by virtue of Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(c); S.I. 2005/1126, art. 2(2)(h)
F105Words in Sch. 18 para. 37(4) substituted (1.4.2010) by Finance Act 2008 (c. 9), s. 118(2), Sch. 39 para. 39; S.I. 2009/403, art. 2(2) (with art. 10)
38(1)The power to make a determination under paragraph 36 or 37 includes power to determine—U.K.
(a)any of the amounts mentioned in paragraph 8(1) (calculation of amount of tax payable), and
(b)any amount forming part of the calculation of any of those amounts.
(2)Notice of a determination under either of those paragraphs may be accompanied by notice of any determination by [F7an officer of Revenue and Customs] relating to the dates on which amounts of tax become due and payable under section 59D or 59E of the M5Taxes Management Act 1970.
Textual Amendments
F7Words in Sch. 18 substituted (18.4.2005) by Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(a); S.I. 2005/1126, art. 2(2)(h)
Marginal Citations
39(1)A determination under paragraph 36 or 37 has effect for enforcement purposes as if it were a self-assessment by the company.U.K.
(2)In sub-paragraph (1) “for enforcement purposes” means for the purposes of —
(a)the following Parts of the M6Taxes Management Act 1970—
Part VA (payment),
Part VI (collection and recovery),
Part IX (interest on overdue tax), and
Part XI (miscellaneous and supplementary provisions);
(b)the provisions of this Schedule imposing tax-related penalties; and
(c) the provisions of the Corporation Tax Acts enabling unpaid tax assessed on a company to be assessed on other persons.
(3) For those purposes the period for which the determination is made shall be treated as an accounting period of the company, even though—
(a) in the case of a determination under paragraph 36, [F7an officer of Revenue and Customs] [F59has] insufficient information to determine the accounting periods of the company and [F59exercises his] power under sub-paragraph (3)(c) of that paragraph, or
(b) in the case of a determination under paragraph 37, [F7an officer of Revenue and Customs] [F59has] insufficient information to determine whether the outstanding period is an accounting period.
Textual Amendments
F7Words in Sch. 18 substituted (18.4.2005) by Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(a); S.I. 2005/1126, art. 2(2)(h)
F59Words in Sch. 18 substituted (18.4.2005) by virtue of Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(c); S.I. 2005/1126, art. 2(2)(h)
Marginal Citations
40(1)If after a determination has been made under paragraph 36—U.K.
(a)the company delivers a company tax return for a period ending in or at the end of the period specified in the notice requiring a company tax return, and
(b)the period is, or is treated in the return as, an accounting period,
the self-assessment included in that return supersedes the determination or, if there is more than one, the determination for the period which is, or most closely approximates to, the period for which the return is made.
(2)If after a determination has been made under paragraph 37—
(a)the company delivers a further company tax return for a period ending in or at the end of the period specified in the notice requiring a company tax return, and
(b)the period is, or is treated in the return as, an accounting period,
the self-assessment included in that return supersedes the determination.
(3)Sub-paragraphs (1) and (2) do not apply to a return made—
(a)more than [F1063 years] after the day on which the power to make the determination first became exercisable (see paragraph 36(2) or 37(2)), or
(b)more than twelve months after the date of the determination,
whichever is the later.
(4)Where—
(a)[F107proceedings have been begun] for the recovery of any tax charged by a determination under paragraph 36 or 37, and
(b)before the proceedings are concluded the determination is superseded by a self-assessment,
the proceedings may be continued as if they were proceedings for the recovery of so much of the tax charged by the self-assessment as is due and payable and has not been paid.
Textual Amendments
F106Words in Sch. 18 para. 40(3) substituted (1.4.2010) by Finance Act 2008 (c. 9), s. 118(2), Sch. 39 para. 40; S.I. 2009/403, art. 2(2) (with art. 10)
F107Words in Sch. 18 para. 40(4) substituted (11.5.2001 with application as mentioned in Sch. 29 para 17(3) of the amending Act) by 2001 c. 9, s. 88, Sch. 29 para. 17(2)
Modifications etc. (not altering text)
C24Sch. 18 para. 40 applied (with modifications) (with effect in accordance with reg. 1(2) of the amending S.I.) by The Lloyds Underwriters (Tax) Regulations 2005 (S.I. 2005/3338), regs. 1(1), 6
41(1)If [F7an officer of Revenue and Customs] [F59discovers] as regards an accounting period of a company that—U.K.
(a)an amount which ought to have been assessed to tax has not been assessed, or
(b)an assessment to tax is or has become insufficient, or
(c)relief has been given which is or has become excessive,
[F59he] may make an assessment (a “discovery assessment") in the amount or further amount which ought in [F59his] opinion to be charged in order to make good to the Crown the loss of tax.
(2)If [F7an officer of Revenue and Customs] [F59discovers] that a company tax return delivered by a company for an accounting period incorrectly states—
(a)an amount that affects, or may affect, the tax payable by that company for another accounting period, or
(b)an amount that affects, or may affect, the tax liability of another company,
[F59he] may make a determination (a “discovery determination") of the amount which in [F59his] opinion ought to have been stated in the return.
Textual Amendments
F7Words in Sch. 18 substituted (18.4.2005) by Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(a); S.I. 2005/1126, art. 2(2)(h)
F59Words in Sch. 18 substituted (18.4.2005) by virtue of Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(c); S.I. 2005/1126, art. 2(2)(h)
Modifications etc. (not altering text)
C25Sch. 18 para. 41(2)-44 applied (with modifications) (with effect in accordance with reg. 1(2) of the amending S.I.) by The Lloyds Underwriters (Tax) Regulations 2005 (S.I. 2005/3338), regs. 1(1), 7
42(1)The power to make—U.K.
(a)a discovery assessment for an accounting period for which the company has delivered a company tax return, or
(b)a discovery determination,
is only exercisable in the circumstances specified in paragraph 43 or 44 and subject to paragraph 45 below.
(2)Those restrictions do not apply to an assessment or determination which only gives effect to a discovery determination duly made with respect to an amount stated in another company’s company tax return.
[F108(2A)Those restrictions, other than the restriction in paragraph 45, do not apply so far as regards any income or chargeable gains of the company in relation to which the company has been given, after any enquiries have been completed into the return, a notice [F109within sub-paragraph (4).]]
(3)Any objection to a discovery assessment or determination on the ground that those paragraphs have not been complied with can only be made on an appeal against the assessment or determination.
[F110(4)A notice is within this sub-paragraph if it is—
(a)a notice under section 184G or 184H of the Taxation of Chargeable Gains Act 1992 (avoidance involving capital losses),
(b)a notice under section 81(2) of TIOPA 2010 (schemes and arrangements designed to increase relief), or
(c)a notice under section 232 or 249 of TIOPA 2010 (avoidance involving tax arbitrage).]
Textual Amendments
F108Sch. 18 para. 42(2A) inserted (with effect in accordance with s. 88(5) of the amending Act) by Finance Act 2005 (c. 7), s. 88(4)
F109Words in Sch. 18 para. 42(2A) substituted (with effect in accordance with s. 381(1) of the amending Act) by Taxation (International and Other Provisions) Act 2010 (c. 8), s. 381(1), Sch. 8 para. 321(4) (with Sch. 9 paras. 1-9, 22)
F110Sch. 18 para. 42(4) inserted (with effect in accordance with s. 381(1) of the amending Act) by Taxation (International and Other Provisions) Act 2010 (c. 8), s. 381(1), Sch. 8 para. 321(5) (with Sch. 9 paras. 1-9, 22)
Modifications etc. (not altering text)
C25Sch. 18 para. 41(2)-44 applied (with modifications) (with effect in accordance with reg. 1(2) of the amending S.I.) by The Lloyds Underwriters (Tax) Regulations 2005 (S.I. 2005/3338), regs. 1(1), 7
Textual Amendments
F111Sch. 18 para. 43 cross-heading substituted (1.4.2010) by Finance Act 2008 (c. 9), s. 118(2), Sch. 39 para. 41(3); S.I. 2009/403, art. 2(2) (with art. 10)
43U.K.A discovery assessment for an accounting period for which the company has delivered a company tax return, or a discovery determination, may be made if the situation mentioned in paragraph 41(1) or (2) [F112was brought about carelessly or deliberately by]—
(a)the company, or
(b)a person acting on behalf of the company, or
(c)a person who was a partner of the company at the relevant time.
Textual Amendments
F112Words in Sch. 18 para. 43 substituted (1.4.2010) by Finance Act 2008 (c. 9), s. 118(2), Sch. 39 para. 41(2); S.I. 2009/403, art. 2(2) (with art. 10)
Modifications etc. (not altering text)
C25Sch. 18 para. 41(2)-44 applied (with modifications) (with effect in accordance with reg. 1(2) of the amending S.I.) by The Lloyds Underwriters (Tax) Regulations 2005 (S.I. 2005/3338), regs. 1(1), 7
44(1)A discovery assessment for an accounting period for which the company has delivered a company tax return, or a discovery determination, may be made if at the time when [F7an officer of Revenue and Customs]—U.K.
(a)ceased to be entitled to give a notice of enquiry into the return, or
(b)completed [F59his] enquiries into the return,
[F59he] could not have been reasonably expected, on the basis of the information made available to [F59him] before that time, to be aware of the situation mentioned in paragraph 41(1) or (2).
(2)For this purpose information is regarded as made available to [F7an officer of Revenue and Customs] if—
(a)it is contained in a relevant return by the company or in documents accompanying any such return, or
(b)it is contained in a relevant claim made by the company or in any accounts, statements or documents accompanying any such claim, or
(c)it is contained in any documents, accounts or information produced or provided by the company to [F7an officer of Revenue and Customs] for the purposes of an enquiry into any such return or claim, or
(d)it is information the existence of which, and the relevance of which as regards the situation mentioned in paragraph 41(1) or (2)—
(i)could reasonably be expected to be inferred by [F7an officer of Revenue and Customs] from information falling within paragraphs (a) to (c) above, or
(ii)are notified in writing to [F7an officer of Revenue and Customs] by the company or a person acting on its behalf.
(3)In sub-paragraph (2)—
“relevant return” means the company’s company tax return for the period in question or either of the two immediately preceding accounting periods, and
“relevant claim” means a claim made by or on behalf of the company as regards the period in question [F113or an application under section 751A of the Taxes Act 1988 made by or on behalf of the company which affects the company's tax return for the period in question].
Textual Amendments
F7Words in Sch. 18 substituted (18.4.2005) by Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(a); S.I. 2005/1126, art. 2(2)(h)
F59Words in Sch. 18 substituted (18.4.2005) by virtue of Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(c); S.I. 2005/1126, art. 2(2)(h)
F113Words in Sch. 18 para. 44(3) inserted (with effect in accordance with Sch. 15 para. 10 of the amending Act) by Finance Act 2007 (c. 11), Sch. 15 para. 9
Modifications etc. (not altering text)
C25Sch. 18 para. 41(2)-44 applied (with modifications) (with effect in accordance with reg. 1(2) of the amending S.I.) by The Lloyds Underwriters (Tax) Regulations 2005 (S.I. 2005/3338), regs. 1(1), 7
C26Sch. 18 para. 44(2)(3) applied by Taxation of Chargeable Gains Act 1992 (c. 12), s. 184I(6) (as inserted by Finance Act 2006 (c. 25), s. 71(1)(4))
C27Sch. 18 para. 44(2)(3) applied (with effect in accordance with s. 381(1) of the amending Act) by Taxation (International and Other Provisions) Act 2010 (c. 8), ss. 256(5), 381(1) (with Sch. 9 paras. 1-9, 22)
45U.K.No discovery assessment for an accounting period for which the company has delivered a company tax return, or discovery determination, may be made if—
(a)the situation mentioned in paragraph 41(1) or (2) is attributable to a mistake in the return as to the basis on which the company’s liability ought to have been computed, and
(b)the return was in fact made on the basis or in accordance with the practice generally prevailing at the time when it was made.
46(1)Subject to any provision of the Taxes Acts allowing a longer period in any particular class of case no assessment may be made more than [F1144 years] after the end of the accounting period to which it relates.U.K.
[F115(2)An assessment in a case involving a loss of tax brought about carelessly by the company (or a related person) may be made at any time not more than 6 years after the end of the accounting period to which it relates (subject to sub-paragraph (2A) and to any other provision of the Taxes Acts allowing a longer period).
(2A)An assessment in a case involving a loss of tax—
(a)brought about deliberately by the company (or a related person),
(b)attributable to a failure by the company to comply with an obligation under paragraph 2, or
(c)attributable to arrangements in respect of which the company has failed to comply with an obligation under section 309, 310 or 313 of the Finance Act 2004 (obligation of parties to tax avoidance schemes to provide information to Her Majesty's Revenue and Customs),
may be made at any time not more than 20 years after the end of the accounting period to which it relates (subject to any provision of the Taxes Acts allowing a longer period).
(2B)In this paragraph “related person”, in relation to a company, means—
(a)a person acting on behalf of the company, or
(b)a person who was a partner of the company at the relevant time.]
(3)Any objection to the making of an assessment on the ground that the time limit for making it has expired can only be made on an appeal against the assessment.
Textual Amendments
F114Words in Sch. 18 para. 46(1) substituted (1.4.2010) by Finance Act 2008 (c. 9), s. 118(2), Sch. 39 para. 42(2); S.I. 2009/403, art. 2(2) (with art. 10)
F115Sch. 18 para. 46(2)-(2B) substituted for Sch. 18 para. 46(2) (1.4.2010) by Finance Act 2008 (c. 9), s. 118(2), Sch. 39 para. 42(3); S.I. 2009/403, art. 2(2) (with arts. 8, 10)
Modifications etc. (not altering text)
C28Sch. 18 paras. 46-49 applied (with modifications) (with effect in accordance with reg. 1(2) of the amending S.I.) by The Lloyds Underwriters (Tax) Regulations 2005 (S.I. 2005/3338), regs. 1(1), 7
C29Sch. 18 para. 46(2)(3) applied (28.7.2000 with application as mentioned in s. 63(4) of the amending Act) by 2000 c. 17, s. 63(1), Sch. 15 Pt. VI para. 62(3)
C30Sch. 18 para. 46(2) modified (with effect in accordance with reg. 1(2) of the amending S.I.) by The Lloyds Underwriters (Tax) Regulations 2005 (S.I. 2005/3338), regs. 1(1), 11
47(1)Notice of an assessment to tax on a company must be served on the company stating—U.K.
(a)the date on which the notice is issued, and
(b)the time within which any appeal against the assessment may be made.
(2)After that notice has been served on the company, the assessment may not be altered except in accordance with the express provisions of the Taxes Acts.
Modifications etc. (not altering text)
C28Sch. 18 paras. 46-49 applied (with modifications) (with effect in accordance with reg. 1(2) of the amending S.I.) by The Lloyds Underwriters (Tax) Regulations 2005 (S.I. 2005/3338), regs. 1(1), 7
48(1)An appeal may be brought against any assessment to tax on a company which is not a self-assessment.U.K.
(2)Notice of appeal must be given—
(a)in writing,
(b)within 30 days after notice of the assessment was issued,
(c)to the officer of the Board by whom the notice of the assessment was given.
Modifications etc. (not altering text)
C28Sch. 18 paras. 46-49 applied (with modifications) (with effect in accordance with reg. 1(2) of the amending S.I.) by The Lloyds Underwriters (Tax) Regulations 2005 (S.I. 2005/3338), regs. 1(1), 7
C31Sch. 18 para. 48 modified (with effect in accordance with reg. 1(2) of the amending S.I.) by The Lloyds Underwriters (Tax) Regulations 2005 (S.I. 2005/3338), regs. 1(1), 10
49U.K.The provisions of paragraphs 46 to 48 (assessments: general provisions as to time limits, procedure and appeals) apply to a discovery determination as they apply to an assessment.
Modifications etc. (not altering text)
C28Sch. 18 paras. 46-49 applied (with modifications) (with effect in accordance with reg. 1(2) of the amending S.I.) by The Lloyds Underwriters (Tax) Regulations 2005 (S.I. 2005/3338), regs. 1(1), 7
Textual Amendments
F116Words in Sch. 18 Pt. VI heading inserted (with effect in accordance with s. 100(2) of the amending Act) by Finance Act 2009 (c. 10), Sch. 52 para. 14
50(1)A company which believes it has been assessed to tax more than once for the same cause and for the same accounting period may make a claim for relief—U.K.
(a)by notice in writing,
(b)given to the Board.
(2)If on a claim being made the Board are satisfied that the company has been assessed to tax more than once for the same cause and for the same accounting period, they shall amend the assessment or assessments concerned, or give relief by way of discharge or repayment of tax or otherwise, so as to eliminate the double charge.
[F117(3)An appeal may be brought against the Board’s decision on a claim for relief under this paragraph.]
Textual Amendments
F117Sch. 18 para. 50(3) substituted (1.4.2009) by The Transfer of Tribunal Functions and Revenue and Customs Appeals Order 2009 (S.I. 2009/56), art. 1(2), Sch. 1 para. 263
Modifications etc. (not altering text)
C32Sch. 18 paras. 50-50G applied (with modifications) (8.4.2010) by Finance Act 2010 (c. 13), Sch. 1 paras. 31, 33
Textual Amendments
F118Sch. 18 paras. 51-51G and cross-headings substituted for Sch. 18 para. 51 (with effect in accordance with s. 100(2) of the amending Act) by Finance Act 2009 (c. 10), Sch. 52 para. 13
51(1)This paragraph applies where—U.K.
(a)a person has paid an amount by way of tax but believes that the tax was not due, or
(b)a person has been assessed as liable to pay an amount by way of tax, or there has been a determination or direction to that effect, but the person believes that the tax is not due.
(2)The person may make a claim to the Commissioners for Her Majesty's Revenue and Customs for repayment or discharge of the amount.
(3)Paragraph 51A makes provision about cases in which the Commissioners for Her Majesty's Revenue and Customs are not liable to give effect to a claim under this paragraph.
(4)The following make further provision about making and giving effect to claims under this paragraph—
(a)paragraphs 51B to 51F and Part 7 of this Schedule, and
(b)Schedule 1A to the Taxes Management Act 1970 (which is applied by that Part).
(5)Paragraph 51G makes provision about the application of this paragraph and paragraphs 51A to 51F to amounts paid under contract settlements.
(6)The Commissioners for Her Majesty's Revenue and Customs are not liable to give relief in respect of a case described in sub-paragraph (1)(a) or (b) except as provided—
(a)by this Schedule and Schedule 1A to the Taxes Management Act 1970 (following a claim under this paragraph), or
(b)by or under another provision of the Corporation Tax Acts.
(7)For the purposes of this paragraph and paragraphs 51A to 51G, an amount paid by one person on behalf of another is treated as paid by the other person.
Modifications etc. (not altering text)
C32Sch. 18 paras. 50-50G applied (with modifications) (8.4.2010) by Finance Act 2010 (c. 13), Sch. 1 paras. 31, 33
C33Sch. 18 para. 51 applied (with modifications) (with effect in accordance with reg. 1(2) of the amending S.I.) by The Lloyds Underwriters (Tax) Regulations 2005 (S.I. 2005/3338), regs. 1(1), 8
51A(1)The Commissioners for Her Majesty's Revenue and Customs are not liable to give effect to a claim under paragraph 51 if or to the extent that the claim falls within a case described in this paragraph (see also [F119paragraphs 51BA and 51C(5)]).U.K.
(2)Case A is where the amount paid, or liable to be paid, is excessive by reason of—
(a)a mistake in a claim, election or a notice,
(b)a mistake consisting of making or giving, or failing to make or give, a claim, election or notice,
(c)a mistake in allocating expenditure to a pool for the purposes of the Capital Allowances Act or a mistake consisting of making, or failing to make, such an allocation, or
(d)a mistake in bringing a disposal value into account for the purposes of that Act or a mistake consisting of bringing, or failing to bring, such a value into account.
(3)Case B is where the claimant is or will be able to seek relief by taking other steps under the Corporation Tax Acts.
(4)Case C is where the claimant—
(a)could have sought relief by taking such steps within a period that has now expired, and
(b)knew, or ought reasonably to have known, before the end of that period that such relief was available.
(5)Case D is where the claim is made on grounds that—
(a)have been put to a court or tribunal in the course of an appeal by the claimant relating to the amount paid or liable to be paid, or
(b)have been put to Her Majesty's Revenue and Customs in the course of an appeal by the claimant relating to that amount that is treated as having been determined by a tribunal (by virtue of section 54 of the Taxes Management Act 1970 (settling of appeals by agreement)).
(6)Case E is where the claimant knew, or ought reasonably to have known, of the grounds for the claim before the latest of the following—
(a)the date on which an appeal by the claimant relating to the amount paid, or liable to be paid, in the course of which the ground could have been put forward (a “relevant appeal”) was determined by a court or tribunal (or is treated as having been so determined),
(b)the date on which the claimant withdrew a relevant appeal to a court or tribunal, and
(c)the end of the period in which the claimant was entitled to make a relevant appeal to a court or tribunal.
(7)Case F is where the amount in question was paid or is liable to be paid—
(a)in consequence of proceedings enforcing the payment of that amount brought against the claimant by Her Majesty's Revenue and Customs, or
(b)in accordance with an agreement between the claimant and Her Majesty's Revenue and Customs settling such proceedings.
(8)Case G is where—
(a)the amount paid, or liable to be paid, is excessive by reason of a mistake in calculating the claimant's liability to corporation tax, and
(b)liability was calculated in accordance with the practice generally prevailing at the time.
[F120(9)Case G does not apply where the amount paid, or liable to be paid, is tax which has been charged contrary to EU law.
(10)For the purposes of sub-paragraph (9), an amount of tax is charged contrary to EU law if, in the circumstances in question, the charge to tax is contrary to—
(a)the provisions relating to the free movement of goods, persons, services and capital in Titles II and IV of Part 3 of the Treaty on the Functioning of the European Union, or
(b)the provisions of any subsequent treaty replacing the provisions mentioned in paragraph (a).]
Textual Amendments
F119Words in Sch. 18 para. 51A(1) substituted (with effect in accordance with art. 5 of the amending S.I.) by The Enactment of Extra-Statutory Concessions Order 2011 (S.I. 2011/1037), arts. 1, 3(2)
F120Sch. 18 para. 51A(9)(10) inserted (with effect in accordance with s. 231(5) of the amending Act) by Finance Act 2013 (c. 29), s. 231(3)
Modifications etc. (not altering text)
C32Sch. 18 paras. 50-50G applied (with modifications) (8.4.2010) by Finance Act 2010 (c. 13), Sch. 1 paras. 31, 33
51B(1)A claim under paragraph 51 may not be made more than 4 years after the end of the relevant accounting period.U.K.
(2)In relation to a claim made in reliance on paragraph 51(1)(a), the relevant accounting period is—
(a)where the amount paid, or liable to be paid, is excessive by reason of a mistake in a company tax return or returns, the accounting period to which the return (or, if more than one, the first return) relates, and
(b)otherwise, the accounting period in respect of which the amount was paid.
(3)In relation to a claim made in reliance on paragraph 51(1)(b), the relevant accounting period is[F121—
(a)where the amount liable to be paid is excessive by reason of a mistake in a company tax return or returns, the accounting period to which the return (or, if more than one, the first return) relates, and
(b)otherwise,] the accounting period to which the assessment, determination or direction relates.
(4)A claim under paragraph 51 may not be made by being included in a company tax return.
[F122(5)Sub-paragraph (1) is subject to paragraph 51BA.]
Textual Amendments
F121Words in Sch. 18 para. 51B(3) inserted (with effect in accordance with s. 232(4) of the amending Act) by Finance Act 2013 (c. 29), s. 232(3)
F122Sch. 18 para. 51B(5) inserted (with effect in accordance with art. 5 of the amending S.I.) by The Enactment of Extra-Statutory Concessions Order 2011 (S.I. 2011/1037), arts. 1, 3(3)
Modifications etc. (not altering text)
C32Sch. 18 paras. 50-50G applied (with modifications) (8.4.2010) by Finance Act 2010 (c. 13), Sch. 1 paras. 31, 33
Textual Amendments
F123Sch. 18 para. 51BA and cross-heading inserted (with effect in accordance with arts. 4, 5 of the amending S.I.) by The Enactment of Extra-Statutory Concessions Order 2011 (S.I. 2011/1037), arts. 1, 3(4)
51BA.(1)This paragraph applies where—U.K.
(a)a determination has been made under paragraph 36 or 37 of an amount that a person is liable to pay by way of tax, but the person believes the tax is not due or, if it has been paid, was not due,
(b)relief would be available under paragraph 51 but for the fact that—
(i)the claim falls within Case C (see paragraph 51A(4)),
(ii)the claim falls within Case F(a) (see paragraph 51A(7)(a)), or
(iii)more than 4 years have elapsed since the end of the relevant accounting period (see paragraph 51B(1)), and
(c)if the claim falls within Case F(a), the person was neither present nor legally represented during the enforcement proceedings in question.
(2)A claim under paragraph 51 for repayment or discharge of the amount may be made, and effect given to it, despite paragraph 51A(4), paragraph 51A(7)(a) or paragraph 51B(1), as the case may be.
(3)But the Commissioners for Her Majesty’s Revenue and Customs are not liable to give effect to a claim made in reliance on this paragraph unless conditions A, B and C are met.
(4)Condition A is that in the opinion of the Commissioners for Her Majesty’s Revenue and Customs it would be unconscionable for the Commissioners for Her Majesty’s Revenue and Customs to seek to recover the amount (or to withhold repayment of it, if it has already been paid).
(5)Condition B is that the person’s affairs (as respects matters concerning the Commissioners for Her Majesty’s Revenue and Customs) are otherwise up to date or arrangements have been put in place, to the satisfaction of the Commissioners for Her Majesty’s Revenue and Customs, to bring them up to date so far as possible.
(6)Condition C is that either—
(a)the person has not relied on this paragraph on a previous occasion (whether or not in respect of the same determination), or
(b)the person has done so, but in the exceptional circumstances of the case should be allowed to do so again on the present occasion.
(7)For the purposes of sub-paragraph (6)—
(a)a person has relied on this paragraph on a previous occasion if the person has made a claim (or a composite set of claims involving one or more determinations and accounting periods) in reliance on this paragraph on a previous occasion, and
(b)it does not matter whether that claim (or set of claims) succeeded.
(8)A claim made in reliance on this paragraph must include (in addition to anything required by Schedule 1A to the Taxes Management Act 1970) such information and documentation as is reasonably required for the purpose of determining whether conditions A, B and C are met.]
51C(1)Sub-paragraph (2) applies where a person (“P”) is accountable to the Commissioners for Her Majesty's Revenue and Customs under a relevant enactment for an amount that has been or is to be set off against a liability of another person (“T”) under a relevant enactment.U.K.
(2)A claim under paragraph 51 in respect of the amount may be made only by T.
(3)Sub-paragraph (4) applies where—
(a)a person (“P”) has paid an amount described in sub-paragraph (1) in the belief that P was accountable to the Commissioners for the amount under a relevant enactment, but
(b)P was not so accountable.
(4)A claim under paragraph 51 in respect of the amount may be made only by P.
(5)The Commissioners for Her Majesty's Revenue and Customs are not liable to give effect to a claim under sub-paragraph (4) if or to the extent that the amount has been repaid to T or set against amounts payable to the Commissioners by T.
(6)“Relevant enactment” means—
(a)Chapter 3 of Part 3 of the Finance Act 2004 or regulations under that Chapter (construction industry scheme), or
(b)any other provision of or made under the Taxes Acts.
Modifications etc. (not altering text)
C32Sch. 18 paras. 50-50G applied (with modifications) (8.4.2010) by Finance Act 2010 (c. 13), Sch. 1 paras. 31, 33
51D(1)This paragraph applies where—U.K.
(a)a trade, profession or business is carried on by two or more persons in partnership,
(b)an amount is paid, or liable to be paid, by one or more of those persons in accordance with a self-assessment, and
(c)the amount is excessive by reason of a mistake in a partnership return.
(2)A claim under paragraph 51 in respect of the amount—
(a)may be made by the relevant partner nominated to make the claim by all of the relevant partners, and
(b)may not be made by any other person.
(3)In relation to such a claim, references in paragraphs 51A to 51F to the claimant are to any of the relevant partners.
(4)“Relevant partner” means—
(a)a person who was a partner in the partnership at any time during the period in respect of which the partnership return was made, or
(b)the personal representative of such a person.
Modifications etc. (not altering text)
C32Sch. 18 paras. 50-50G applied (with modifications) (8.4.2010) by Finance Act 2010 (c. 13), Sch. 1 paras. 31, 33
51E(1)This paragraph applies where—U.K.
(a)a claim is made under paragraph 51,
(b)the grounds for giving effect to the claim also provide grounds for a discovery assessment or discovery determination on the claimant in respect of any accounting period, and
(c)such an assessment or determination could be made but for a relevant restriction.
(2)The following are relevant restrictions—
(a)the restrictions in paragraphs 42 to 45, and
(b)the expiry of a time limit for making a discovery assessment or discovery determination.
(3)Where this paragraph applies—
(a)the relevant restrictions are to be disregarded, and
(b)the discovery assessment or discovery determination is not out of time if it is made before the final determination of the claim.
(4)A claim is not finally determined until it, or the amount to which it relates, can no longer be varied (whether on appeal or otherwise).
Modifications etc. (not altering text)
C32Sch. 18 paras. 50-50G applied (with modifications) (8.4.2010) by Finance Act 2010 (c. 13), Sch. 1 paras. 31, 33
51F(1)This paragraph applies where—U.K.
(a)a claim is made under paragraph 51,
(b)the claimant is one of two or more persons carrying on a trade, profession or business in partnership,
(c)the grounds for giving effect to the claim also provide grounds for amending, under section 30B(1) of the Taxes Management Act 1970 (discovery of loss of tax from partnership), a return made by the partnership or any of the partners in respect of any period, and
(d)such an amendment could be made but for a relevant restriction.
(2)The following are relevant restrictions—
(a)the conditions in section 30B(4) to (6) of the Taxes Management Act 1970, and
(b)the expiry of a time limit for making an assessment under that section.
(3)Where this paragraph applies—
(a)the relevant conditions are to be disregarded, and
(b)the amendment is not out of time if it is made before the final determination of the claim.
(4)A claim is not finally determined until it, or the amount to which it relates, can no longer be varied (whether on appeal or otherwise).
Modifications etc. (not altering text)
C32Sch. 18 paras. 50-50G applied (with modifications) (8.4.2010) by Finance Act 2010 (c. 13), Sch. 1 paras. 31, 33
51G(1)In paragraph 51(1)(a) the reference to an amount paid by a company by way of tax includes an amount paid by a person under a contract settlement in connection with tax believed to be due.U.K.
(2)Sub-paragraphs (3) to (6) apply if the person who paid the amount under the contract settlement (“the payer”) and the person from whom the tax was due (“the taxpayer”) are not the same person.
(3)In relation to a claim under paragraph 51 in respect of that amount—
(a)the references to the claimant in paragraph 51A(5) to (7) (Cases D, E and F) have effect as if they included the taxpayer,
(b)the reference to the claimant in paragraph 51A(8) (Case G) has effect as if it were a reference to the taxpayer,
(c)the references to the claimant in paragraphs 51E(1)(b) and 51F(1)(b) have effect as if they were references to the taxpayer, and
(d)references to tax in Schedule 1A to the Taxes Management Act 1970 (as it applies to a claim under this Part of this Schedule) include such an amount.
(4)Sub-paragraph (5) applies where the grounds for giving effect to a claim by the payer in respect of the amount also provide grounds for a discovery assessment or discovery determination on the taxpayer in respect of any chargeable period.
(5)The Commissioners for Her Majesty's Revenue and Customs may set any amount repayable to the payer by virtue of the claim against any amount payable by the taxpayer by virtue of the assessment or determination.
(6)The obligations of the Commissioners for Her Majesty's Revenue and Customs and the taxpayer are discharged to the extent of any set-off under sub-paragraph (5).
(7)“Contract settlement” means an agreement made in connection with any person's liability to make a payment to the Commissioners for Her Majesty's Revenue and Customs under or by virtue of an enactment.]
Modifications etc. (not altering text)
C32Sch. 18 paras. 50-50G applied (with modifications) (8.4.2010) by Finance Act 2010 (c. 13), Sch. 1 paras. 31, 33
52(1)The provisions of paragraphs 41 to 48 relating to discovery assessments apply to an amount to which this paragraph applies as if it were unpaid tax, unless—U.K.
(a)it is assessable under those provisions apart from this paragraph, or
(b)it is recoverable under section 826(8A) of the Taxes Act 1988 (interest overpaid which is recoverable in same way as interest charged).
(2)This paragraph applies to an amount paid to a company by way of—
(a)repayment of tax (or income tax) or payment of a tax credit,
(b)repayment supplement under section 825 of the Taxes Act 1988,
[F124(bza)R&D expenditure credit under Chapter 6A of Part 3 of the Corporation Tax Act 2009,]
[F125(ba)R&D tax credit under [F126Chapter 2 or 7 of Part 13 of the Corporation Tax Act 2009],]
[F127(bb)land remediation tax credit or life assurance company tax credit under [F128Part 14 of the Corporation Tax Act 2009],] or
F129(bc). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
[F130(bd)film tax credit [F131under Part 15 of the Corporation Tax Act 2009],]
(c)interest paid under section 826 of [F132the Taxes Act 1988],
to the extent that it ought not to have been paid.
[F133(2A)The provisions of paragraphs 41 and 45 to 48 relating to discovery assessments apply to an amount paid to a company by way of first-year tax credit under Schedule A1 to the Capital Allowances Act as if it were unpaid tax, but only to the extent that the company was not, or is no longer, entitled to it.]
(3)For the purposes of this paragraph—
(a)an amount is regarded as paid if it is allowed by way of set-off, and
(b)an amount is regarded as a repayment if it was intended as repayment but exceeds the amount paid by the company.
F134(4). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(5)An assessment to recover—
(a)an amount of tax repaid to a company in respect of an accounting period, or interest on any such repayment,
[F135(aa)an amount of R&D expenditure credit paid to a company for an accounting period,]
[F136(ab)an amount of R&D tax credit paid to a company for an accounting period,]
[F137(ac)an amount of land remediation tax credit or life assurance company tax credit paid to a company for an accounting period,] or
F138(ad). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
[F139(ae)an amount of film tax credit paid to a company for an accounting period,]
[F140(af)an amount of first-year tax credit under Schedule A1 to the Capital Allowances Act paid to a company for an accounting period,]
(b)an amount of income tax repaid to a company in respect of a payment received by the company in an accounting period, or interest on any such repayment,
shall be treated as an assessment to tax for the accounting period referred to in paragraph (a)[F141, [F142(aa),] (ab)] [F143(ac)] F144... [F145, (ae)] or (b).
(6)The sum assessed shall carry interest at the prescribed rate for the purposes of section 87A of the M7Taxes Management Act 1970 (interest on overdue corporation tax, etc.) from the date when the payment being recovered was made until payment.
Textual Amendments
F124Sch. 18 para. 52(2)(bza) inserted (with effect in accordance with Sch. 15 para. 27 of the amending Act) by Finance Act 2013 (c. 29), Sch. 15 para. 6(2)
F125Sch. 18 para. 52(2)(ba) inserted (28.7.2000 with effect as mentioned in s. 69(1) of the amending Act) by 2000 c. 17, s. 69(2), Sch. 21 para. 3(a)
F126Words in Sch. 18 para. 52(2)(ba) substituted (with effect in accordance with s. 1329(1) of the amending Act) by Corporation Tax Act 2009 (c. 4), s. 1329(1), Sch. 1 para. 454(6)(a)(i) (with Sch. 2 Pts. 1, 2)
F127Sch. 18 para. 52(2)(bb) inserted (11.5.2001 with effect as mentioned in s. 70 of the amending Act) by 2001 c. 9, s. 70, Sch. 23 para. 5(a)
F128Words in Sch. 18 para. 52(2)(bb) substituted (with effect in accordance with s. 1329(1) of the amending Act) by Corporation Tax Act 2009 (c. 4), s. 1329(1), Sch. 1 para. 454(6)(a)(ii) (with Sch. 2 Pts. 1, 2)
F129Sch. 18 para. 52(2)(bc) repealed (with effect in accordance with s. 1329(1) of the amending Act) by Corporation Tax Act 2009 (c. 4), s. 1329(1), Sch. 1 para. 454(6)(a)(iii), Sch. 3 Pt. 1 (with Sch. 2 Pts. 1, 2)
F130Sch. 18 para. 52(2)(bd) inserted (1.1.2007) by Finance Act 2006 (c. 25), s. 53(1), Sch. 5 para. 28(a); S.I. 2006/3399, art. 2
F131Words in Sch. 18 para. 52(2)(bd) inserted (with effect in accordance with s. 1329(1) of the amending Act) by Corporation Tax Act 2009 (c. 4), s. 1329(1), Sch. 1 para. 454(6)(a)(iv) (with Sch. 2 Pts. 1, 2)
F132Words in Sch. 18 para. 52(2)(C) substituted (11.5.2001 with effect as mentioned in s. 70 of the amending Act) by 2001 c. 9, s. 70, Sch. 23 para. 5(b)
F133Sch. 18 para. 52(2A) inserted (with effect in accordance with Sch. 25 para. 9 of the amending Act) by Finance Act 2008 (c. 9), Sch. 25 para. 8(3)
F134Sch. 18 para. 52(4) repealed (with effect in accordance with s. 1329(1) of the amending Act) by Corporation Tax Act 2009 (c. 4), s. 1329(1), Sch. 1 para. 454(6)(b), Sch. 3 Pt. 1 (with Sch. 2 Pts. 1, 2)
F135Sch. 18 para. 52(5)(aa) inserted (with effect in accordance with Sch. 15 para. 27 of the amending Act) by Finance Act 2013 (c. 29), Sch. 15 para. 6(3)(a)
F136Sch. 18 para. 52(5)(ab) inserted (28.7.2000 with effect as mentioned in s. 69(1) of the amending Act) by 2000 c. 17, s. 69(2), Sch. 21 para. 3(b)
F137Sch. 18 para. 52(5)(ac) inserted (11.5.2001 with effect as mentioned in s. 70 of the amending Act) by 2001 c. 9, s. 70, Sch. 23 para. 5(c)
F138Sch. 18 para. 52(5)(ad) repealed (with effect in accordance with s. 1329(1) of the amending Act) by Corporation Tax Act 2009 (c. 4), s. 1329(1), Sch. 1 para. 454(6)(c)(i), Sch. 3 Pt. 1 (with Sch. 2 Pts. 1, 2)
F139Sch. 18 para. 52(5)(ae) inserted (1.1.2007) by Finance Act 2006 (c. 25), s. 53(1), Sch. 5 para. 28(b); S.I. 2006/3399, art. 2
F140Sch. 18 para. 52(5)(af) inserted (with effect in accordance with Sch. 25 para. 9 of the amending Act) by Finance Act 2008 (c. 9), Sch. 25 para. 8(4)
F141Words in Sch. 18 para. 52(5) inserted (28.7.2000 with effect as mentioned in s. 69(1) of the amending Act) by 2000 c. 17, s. 69(2), Sch. 21 para. 3(c)
F142Word in Sch. 18 para. 52(5) inserted (with effect in accordance with Sch. 15 para. 27 of the amending Act) by Finance Act 2013 (c. 29), Sch. 15 para. 6(3)(b)
F143Word in Sch. 18 para. 52(2)(c) inserted (11.5.2001 with effect as mentioned in s. 70 of the amending Act) by 2001 c. 9, s. 70, Sch. 23 para. 5(d)
F144Word in Sch. 18 para. 52(5) repealed (with effect in accordance with s. 1329(1) of the amending Act) by Corporation Tax Act 2009 (c. 4), s. 1329(1), Sch. 1 para. 454(6)(c)(ii), Sch. 3 Pt. 1 (with Sch. 2 Pts. 1, 2)
F145Word in Sch. 18 para. 52(5) inserted (1.1.2007) by Finance Act 2006 (c. 25), s. 53(1), Sch. 5 para. 28(c); S.I. 2006/3399, art. 2
Marginal Citations
53(1)An assessment made by virtue of paragraph 52 is not out of time under paragraph 46(1) (general [F1464 year] time limit for assessments) if it is made—U.K.
(a)before the end of the accounting period following that in which the amount assessed was paid, or
(b)if later, before the end of the period of three months beginning with the day on which [F7an officer of Revenue and Customs] [F59completes] an enquiry into a relevant company tax return by the company concerned.
(2)Sub-paragraph (1) above is without prejudice to [F147paragraph 46(2) and (2A) (time limit for assessment in case of loss of tax brought about carelessly or deliberately)].
Textual Amendments
F7Words in Sch. 18 substituted (18.4.2005) by Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(a); S.I. 2005/1126, art. 2(2)(h)
F59Words in Sch. 18 substituted (18.4.2005) by virtue of Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(c); S.I. 2005/1126, art. 2(2)(h)
F146Words in Sch. 18 para. 53(1) substituted (1.4.2010) by Finance Act 2008 (c. 9), s. 118(2), Sch. 39 para. 44(2); S.I. 2009/403, art. 2(2) (with art. 10)
F147Words in Sch. 18 para. 53(2) substituted (1.4.2010) by Finance Act 2008 (c. 9), s. 118(2), Sch. 39 para. 44(3); S.I. 2009/403, art. 2(2) (with art. 10)
54U.K.A claim under any provision of the Corporation Tax Acts for a relief, an allowance or a repayment of tax must be for an amount which is quantified at the time when the claim is made.
Modifications etc. (not altering text)
C34Sch. 18 para. 54-60 excluded (27.7.1999 with effect in relation to accounting periods ending on or after 1.7.1999) by 1990 c. 1, s. 59C(7)(b) (as substituted (27.7.1999 with effect in relation to accounting periods ending on or after 1.7.1999) by 1999 c. 16, s. 93(1)(2), Sch. 11 para. 6)
Sch. 18 paras. 54-60 excluded (28.7.2000) by 1990 c. 1, s. 76B(5)(b) (as inserted (28.7.2000) by 2000 c. 17, s. 77(1))
Sch. 18 paras. 54-60 applied (22.3.2001 with effect as mentioned in s. 579(1) of the amending Act) by 2001 c. 2, s. 3(5)(6)
Sch. 18 paras. 54-60 excluded (22.3.2001 with effect as mentioned s. 579(1) of the amending Act) by 2001 c. 2, s. 201 (5)(b) (with Sch. 3 Pt. 4 paras. 54, 55)
Sch. 18 paras. 54-60 excluded (22.3.2001 with effect as mentioned in s. 579(1) of the amending Act) by 2001 c. 2, s. 227(5)(b) (with Sch. 3 Pt. 4 paras. 54, 55)
C35Sch. 18 paras. 54-60 excluded by Income and Corporation Taxes Act 1988 (c. 1), s. 444ABBA(3) (as inserted (with effect in accordance with art. 1(4) of the amending S.I.) by S.I. 2008/381, arts. 1(1), 14)
55U.K.Subject to any provision prescribing a longer or shorter period, a claim for relief under any provision of the Corporation Tax Acts must be made within [F1484 years] from the end of the accounting period to which it relates.
Textual Amendments
F148Words in Sch. 18 para. 55 substituted (1.4.2010) by Finance Act 2008 (c. 9), s. 118(2), Sch. 39 para. 45; S.I. 2009/403, art. 2(2) (with art. 10)
Modifications etc. (not altering text)
C34Sch. 18 para. 54-60 excluded (27.7.1999 with effect in relation to accounting periods ending on or after 1.7.1999) by 1990 c. 1, s. 59C(7)(b) (as substituted (27.7.1999 with effect in relation to accounting periods ending on or after 1.7.1999) by 1999 c. 16, s. 93(1)(2), Sch. 11 para. 6)
Sch. 18 paras. 54-60 excluded (28.7.2000) by 1990 c. 1, s. 76B(5)(b) (as inserted (28.7.2000) by 2000 c. 17, s. 77(1))
Sch. 18 paras. 54-60 applied (22.3.2001 with effect as mentioned in s. 579(1) of the amending Act) by 2001 c. 2, s. 3(5)(6)
Sch. 18 paras. 54-60 excluded (22.3.2001 with effect as mentioned s. 579(1) of the amending Act) by 2001 c. 2, s. 201 (5)(b) (with Sch. 3 Pt. 4 paras. 54, 55)
Sch. 18 paras. 54-60 excluded (22.3.2001 with effect as mentioned in s. 579(1) of the amending Act) by 2001 c. 2, s. 227(5)(b) (with Sch. 3 Pt. 4 paras. 54, 55)
C35Sch. 18 paras. 54-60 excluded by Income and Corporation Taxes Act 1988 (c. 1), s. 444ABBA(3) (as inserted (with effect in accordance with art. 1(4) of the amending S.I.) by S.I. 2008/381, arts. 1(1), 14)
56U.K.A company which has made a claim or election under any provision of the Corporation Tax Acts (by including it in a return or otherwise) and subsequently discovers that a mistake has been made in it may make a supplementary claim or election within the time allowed for making the original claim or election.
Modifications etc. (not altering text)
C34Sch. 18 para. 54-60 excluded (27.7.1999 with effect in relation to accounting periods ending on or after 1.7.1999) by 1990 c. 1, s. 59C(7)(b) (as substituted (27.7.1999 with effect in relation to accounting periods ending on or after 1.7.1999) by 1999 c. 16, s. 93(1)(2), Sch. 11 para. 6)
Sch. 18 paras. 54-60 excluded (28.7.2000) by 1990 c. 1, s. 76B(5)(b) (as inserted (28.7.2000) by 2000 c. 17, s. 77(1))
Sch. 18 paras. 54-60 applied (22.3.2001 with effect as mentioned in s. 579(1) of the amending Act) by 2001 c. 2, s. 3(5)(6)
Sch. 18 paras. 54-60 excluded (22.3.2001 with effect as mentioned s. 579(1) of the amending Act) by 2001 c. 2, s. 201 (5)(b) (with Sch. 3 Pt. 4 paras. 54, 55)
Sch. 18 paras. 54-60 excluded (22.3.2001 with effect as mentioned in s. 579(1) of the amending Act) by 2001 c. 2, s. 227(5)(b) (with Sch. 3 Pt. 4 paras. 54, 55)
C35Sch. 18 paras. 54-60 excluded by Income and Corporation Taxes Act 1988 (c. 1), s. 444ABBA(3) (as inserted (with effect in accordance with art. 1(4) of the amending S.I.) by S.I. 2008/381, arts. 1(1), 14)
C36Sch. 18 para. 56 applied (with effect in accordance with s. 1184(1) of the amending Act) by Corporation Tax Act 2010 (c. 4), ss. 192(6)(b), 1184(1) (with Sch. 2)
57(1)This paragraph applies to a claim or election for tax purposes which affects only one accounting period (“the relevant accounting period").U.K.
[F149This is subject to sub-paragraphs (1A) to (1C).]
[F150(1A)This paragraph does not apply to a claim by a company for repayment of income tax treated as having been paid by virtue of—
(a)section 471 of the Corporation Tax Act 2010 (gifts qualifying for gift aid relief: charitable companies),
(b)section 475 of that Act (gifts qualifying for gift aid relief: eligible bodies), or
(c)section 661D of that Act (gifts qualifying for gift aid relief: community amateur sports clubs).
(1B)This paragraph also does not apply to a claim by a company for repayment of income tax deducted at source from income which is exempt from tax by virtue of—
(a)section 486 of the Corporation Tax Act 2010 (investment income and non-trading profits from loan relationships),
(b)section 487 of that Act (public revenue dividends),
(c)section 488 of that Act (certain miscellaneous income),
(d)section 489 of that Act (income from estates in administration), or
(e)section 664 of that Act (interest and gift aid income: community amateur sports clubs).
(1C)This paragraph also does not apply to a claim by a company for an amount to be exempt from tax by virtue of—
(a)section 472 of the Corporation Tax Act 2010 (gifts qualifying for gift aid relief: charitable companies),
(b)section 475 of that Act (gifts qualifying for gift aid relief: eligible bodies), or
(c)any of the provisions mentioned in sub-paragraph (1B).]
(2)If notice has been given under paragraph 3 requiring a company to deliver a company tax return for the relevant accounting period, a claim or election by the company which can be made by being included in the return (as originally made or by amendment) must be so made.
(3)If a company has delivered a company tax return for the relevant accounting period, a claim or election made by the company which could be made by amending the return is treated as an amendment of the return.
The provisions of paragraph 15 (amendment of return by company) apply.
(4)Schedule 1A to the M8Taxes Management Act 1970 (claims and elections not included in returns) applies to a claim or election made by a company which cannot be included in a company tax return for the relevant accounting period.
This applies in particular to a claim or election made—
(a)before any notice is given under paragraph 3 requiring a company tax return for the relevant accounting period, or
(b)at a time when its return for the relevant accounting period cannot be amended.
Textual Amendments
F149Words in Sch. 18 para. 57(1) inserted (with effect in accordance with Sch. 15 para. 17(6) of the amending Act) by Finance Act 2012 (c. 14), Sch. 15 para. 15(2)
F150Sch. 18 para. 57(1A)-(1C) substituted for Sch. 18 para. 57(1A) (with effect in accordance with Sch. 15 para. 17(6) of the amending Act) by Finance Act 2012 (c. 14), Sch. 15 para. 15(3)
Modifications etc. (not altering text)
C34Sch. 18 para. 54-60 excluded (27.7.1999 with effect in relation to accounting periods ending on or after 1.7.1999) by 1990 c. 1, s. 59C(7)(b) (as substituted (27.7.1999 with effect in relation to accounting periods ending on or after 1.7.1999) by 1999 c. 16, s. 93(1)(2), Sch. 11 para. 6)
Sch. 18 paras. 54-60 excluded (28.7.2000) by 1990 c. 1, s. 76B(5)(b) (as inserted (28.7.2000) by 2000 c. 17, s. 77(1))
Sch. 18 paras. 54-60 applied (22.3.2001 with effect as mentioned in s. 579(1) of the amending Act) by 2001 c. 2, s. 3(5)(6)
Sch. 18 paras. 54-60 excluded (22.3.2001 with effect as mentioned s. 579(1) of the amending Act) by 2001 c. 2, s. 201 (5)(b) (with Sch. 3 Pt. 4 paras. 54, 55)
Sch. 18 paras. 54-60 excluded (22.3.2001 with effect as mentioned in s. 579(1) of the amending Act) by 2001 c. 2, s. 227(5)(b) (with Sch. 3 Pt. 4 paras. 54, 55)
C35Sch. 18 paras. 54-60 excluded by Income and Corporation Taxes Act 1988 (c. 1), s. 444ABBA(3) (as inserted (with effect in accordance with art. 1(4) of the amending S.I.) by S.I. 2008/381, arts. 1(1), 14)
Marginal Citations
58(1)This paragraph applies to a claim or election for tax purposes if—U.K.
(a)the event or occasion giving rise to it occurs in one accounting period (the period to which it “relates"), and
(b)it affects one or more other accounting periods (whether or not it also affects the period to which it relates).
(2)If a company makes a claim or election which—
(a)relates to an accounting period for which the company has delivered a company tax return and could be made by amendment of the return, or
(b)affects an accounting period for which the company has delivered a company tax return and could be given effect by amendment of the return,
the claim or election is treated as an amendment of the return.
The provisions of paragraph 15 (amendment of return by company) apply.
(3)Schedule 1A to the M9Taxes Management Act 1970 (claims and elections not included in returns) applies to a claim or election made by a company if or to the extent that it is not—
(a)made by being included (by amendment or otherwise) in the company tax return for the accounting period to which it relates, and
(b)given effect by being included (by amendment or otherwise) in company tax returns for the accounting periods affected by it.
Modifications etc. (not altering text)
C34Sch. 18 para. 54-60 excluded (27.7.1999 with effect in relation to accounting periods ending on or after 1.7.1999) by 1990 c. 1, s. 59C(7)(b) (as substituted (27.7.1999 with effect in relation to accounting periods ending on or after 1.7.1999) by 1999 c. 16, s. 93(1)(2), Sch. 11 para. 6)
Sch. 18 paras. 54-60 excluded (28.7.2000) by 1990 c. 1, s. 76B(5)(b) (as inserted (28.7.2000) by 2000 c. 17, s. 77(1))
Sch. 18 paras. 54-60 applied (22.3.2001 with effect as mentioned in s. 579(1) of the amending Act) by 2001 c. 2, s. 3(5)(6)
Sch. 18 paras. 54-60 excluded (22.3.2001 with effect as mentioned s. 579(1) of the amending Act) by 2001 c. 2, s. 201 (5)(b) (with Sch. 3 Pt. 4 paras. 54, 55)
Sch. 18 paras. 54-60 excluded (22.3.2001 with effect as mentioned in s. 579(1) of the amending Act) by 2001 c. 2, s. 227(5)(b) (with Sch. 3 Pt. 4 paras. 54, 55)
C35Sch. 18 paras. 54-60 excluded by Income and Corporation Taxes Act 1988 (c. 1), s. 444ABBA(3) (as inserted (with effect in accordance with art. 1(4) of the amending S.I.) by S.I. 2008/381, arts. 1(1), 14)
Marginal Citations
59(1)Schedule 1A to the Taxes Management Act 1970 applies to a claim or election for tax purposes which is not within paragraph 57 or 58, whether or not it is included (by amendment or otherwise) in a company tax return.U.K.
(2)The provisions of this Schedule do not apply where or to the extent that the provisions of Schedule 1A apply.
Modifications etc. (not altering text)
C34Sch. 18 para. 54-60 excluded (27.7.1999 with effect in relation to accounting periods ending on or after 1.7.1999) by 1990 c. 1, s. 59C(7)(b) (as substituted (27.7.1999 with effect in relation to accounting periods ending on or after 1.7.1999) by 1999 c. 16, s. 93(1)(2), Sch. 11 para. 6)
Sch. 18 paras. 54-60 excluded (28.7.2000) by 1990 c. 1, s. 76B(5)(b) (as inserted (28.7.2000) by 2000 c. 17, s. 77(1))
Sch. 18 paras. 54-60 applied (22.3.2001 with effect as mentioned in s. 579(1) of the amending Act) by 2001 c. 2, s. 3(5)(6)
Sch. 18 paras. 54-60 excluded (22.3.2001 with effect as mentioned s. 579(1) of the amending Act) by 2001 c. 2, s. 201 (5)(b) (with Sch. 3 Pt. 4 paras. 54, 55)
Sch. 18 paras. 54-60 excluded (22.3.2001 with effect as mentioned in s. 579(1) of the amending Act) by 2001 c. 2, s. 227(5)(b) (with Sch. 3 Pt. 4 paras. 54, 55)
C35Sch. 18 paras. 54-60 excluded by Income and Corporation Taxes Act 1988 (c. 1), s. 444ABBA(3) (as inserted (with effect in accordance with art. 1(4) of the amending S.I.) by S.I. 2008/381, arts. 1(1), 14)
C37Sch. 18 para. 59 applied (with effect in accordance with s. 381(1) of the amending Act) by Taxation (International and Other Provisions) Act 2010 (c. 8), ss. 183(2), 381(1) (with ss. 213, 214, Sch. 9 paras. 1-9, 22)
60(1)Paragraphs 57 to 59 have effect subject to any ezpress provision to the contrary.U.K.
(2) Nothing in those paragraphs affects the time limit or any other conditions for making a claim or election.
(3)Where Schedule 1A to the M10Taxes Management Act 1970 applies by virtue of any of those paragraphs and the claim or election results in an increase in the amount of tax payable, all such adjustments by way of assessment or otherwise shall be made as are necessary to give effect to it.
Modifications etc. (not altering text)
C34Sch. 18 para. 54-60 excluded (27.7.1999 with effect in relation to accounting periods ending on or after 1.7.1999) by 1990 c. 1, s. 59C(7)(b) (as substituted (27.7.1999 with effect in relation to accounting periods ending on or after 1.7.1999) by 1999 c. 16, s. 93(1)(2), Sch. 11 para. 6)
Sch. 18 paras. 54-60 excluded (28.7.2000) by 1990 c. 1, s. 76B(5)(b) (as inserted (28.7.2000) by 2000 c. 17, s. 77(1))
Sch. 18 paras. 54-60 applied (22.3.2001 with effect as mentioned in s. 579(1) of the amending Act) by 2001 c. 2, s. 3(5)(6)
Sch. 18 paras. 54-60 excluded (22.3.2001 with effect as mentioned s. 579(1) of the amending Act) by 2001 c. 2, s. 201 (5)(b) (with Sch. 3 Pt. 4 paras. 54, 55)
Sch. 18 paras. 54-60 excluded (22.3.2001 with effect as mentioned in s. 579(1) of the amending Act) by 2001 c. 2, s. 227(5)(b) (with Sch. 3 Pt. 4 paras. 54, 55)
C35Sch. 18 paras. 54-60 excluded by Income and Corporation Taxes Act 1988 (c. 1), s. 444ABBA(3) (as inserted (with effect in accordance with art. 1(4) of the amending S.I.) by S.I. 2008/381, arts. 1(1), 14)
Marginal Citations
61(1)Paragraphs 62 to 64 have effect to allow certain claims, elections, applications and notices to be made or given, or if previously given to be revoked or varied, where—U.K.
(a)an amendment of a company tax return is made under paragraph [F15134(2A)] (amendments of other returns required in consequence of closure notice) which has the effect of increasing the amount of tax payable by a company,
(b)a discovery assessment is made, or
(c)an assessment is made under paragraph 76 (recovery of excessive group relief).
(2)Paragraphs 62 to 64 do not apply in relation to an assessment made in a case involving [F152a loss of tax brought about carelessly or deliberately by]—
(a)the company, or
(b)a person acting on behalf of the company, or
(c)a person who was a partner of the company at the relevant time.
In such a case more limited provision is made by paragraph 65.
(3)In paragraphs 62 to 64 “the relevant accounting period”, in relation to the time limit for making a consequential claim, election, application or notice, means—
(a)in relation to an amendment of a company tax return under paragraph [F15334(2A)], the accounting period in which the closure notice was issued;
(b)in relation to an assessment, the accounting period in which the assessment was made.
Textual Amendments
F151Word in Sch. 18 para. 61(1)(a) substituted (1.4.2010) by Finance Act 2008 (c. 9), s. 119(9)(13); S.I. 2009/405, art. 2
F152Words in Sch. 18 para. 61(2) substituted (1.4.2010) by Finance Act 2008 (c. 9), s. 118(2), Sch. 39 para. 46; S.I. 2009/403, art. 2(2) (with art. 10)
F153Word in Sch. 18 para. 61(3)(a) substituted (1.4.2010) by Finance Act 2008 (c. 9), s. 119(9)(13); S.I. 2009/405, art. 2
62(1)A claim, election, application or notice to which this paragraph applies—U.K.
(a)may be made or given at any time within one year from the end of the relevant accounting period, or
(b)if previously made or given may at any such time be revoked or varied—
(i)in the same manner as it was made or given, and
(ii)by or with the consent of the same person or persons who made, gave or consented to it (or, if a person has died, by or with the consent of his personal representatives),
unless, by virtue of any enactment, it is irrevocable.
[F154(1A)This paragraph applies to a claim under paragraph 51 relating to the accounting period in respect of which the amendment or assessment is made.]
(2)This paragraph applies to [F155any other claim], election, application or notice—
(a)relating to the accounting period in respect of which the amendment or assessment is made, or
(b)made or given by reference to an event occurring in that period,
whose making, giving, revocation or variation has or could have the effect of reducing a relevant liability of the company.
(3)The following are relevant liabilities of the company for this purpose—
(a)the increased liability to tax resulting from the amendment or assessment;
(b)any other liability to tax of the company—
(i)for the accounting period to which the amendment or assessment relates, or
(ii)for any subsequent accounting period ending not later than one year after the end of the relevant accounting period.
(4)Where a claim, election, application or notice is made, given, revoked or varied by virtue of this paragraph, all such adjustments shall be made, whether by way of discharge or repayment of tax or the making of amendments, assessments or otherwise, as are required to take account of the effect of the taking of that action on any person’s liability to tax for any chargeable period.
(5)The provisions of the M11Taxes Management Act 1970 relating to appeals against decisions on claims apply with any necessary modifications to a decision on the revocation or variation of a claim by virtue of this paragraph.
(6)This paragraph has effect subject to—
paragraph 63 (consequential claims etc. affecting tax liability of another person), and
paragraph 64 (consequential claims etc. not to give rise to reduction in liability).
Textual Amendments
F154Sch. 18 para. 62(1A) inserted (with effect in accordance with s. 100(2) of the amending Act) by Finance Act 2009 (c. 10), Sch. 52 para. 15(2)
F155Words in Sch. 18 para. 62(2) substituted (with effect in accordance with s. 100(2) of the amending Act) by Finance Act 2009 (c. 10), Sch. 52 para. 15(3)
Modifications etc. (not altering text)
C38Sch. 18 para. 62 applied (with effect in accordance with s. 1184(1) of the amending Act) by Corporation Tax Act 2010 (c. 4), ss. 192(6)(b), 1184(1) (with Sch. 2)
Marginal Citations
63(1)If the effect of the exercise by any person of a power conferred by paragraph 62 would be to alter the liability to tax of another person, the power may not be exercised except with the consent in writing of that other person or, if he has died, of his personal representatives.U.K.
(2)Where such a power is exercised so as to increase the liability to tax of another person, neither paragraph 61 above nor section 43A of the M12Taxes Management Act 1970 (which makes corresponding provision in relation to income tax or capital gains tax) applies in relation to any amendment or assessment made because of that increased liability.
(3)In this paragraph “tax” includes income tax or capital gains tax.
64(1)If in any case—U.K.
(a)one or more claims, elections, applications or notices are made, given, revoked or varied under paragraph 62 in consequence of an amendment or assessment, and
(b)the total of the reductions in liability to tax resulting from that action would exceed the additional liability to tax resulting from the amendment or assessment,
the excess is not available to reduce any liability to tax.
(2)Where sub-paragraph (1) has the effect of limiting either—
(a)the reduction in a person’s liability to tax for more than one period, or
(b)the reduction in the liability to tax of more than one person,
the limited amount shall be apportioned between the periods or persons concerned.
(3)The apportionment shall be made in such manner as [F7an officer of Revenue and Customs] may specify by notice in writing to the person or persons concerned, unless notice is given under the following provision.
(4)If the person concerned gives (or the persons concerned jointly give) notice in writing to [F7an officer of Revenue and Customs] within the period of 30 days beginning with—
(a)the day on which notice under sub-paragraph (3) is given to the person concerned, or
(b)where more than one person is concerned, the latest date on which such notice is given to any of them,
the apportionment shall be made in such manner as may be specified in the notice given by the person or persons concerned.
(5)In this paragraph “tax” includes income tax or capital gains tax.
Textual Amendments
F7Words in Sch. 18 substituted (18.4.2005) by Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(a); S.I. 2005/1126, art. 2(2)(h)
Modifications etc. (not altering text)
C39Sch. 18 para. 64 excluded (with effect in accordance with s. 1184(1) of the amending Act) by Corporation Tax Act 2010 (c. 4), ss. 192(6)(b), 1184(1) (with Sch. 2)
Textual Amendments
F156Words in Sch. 18 para. 65 cross-heading substituted (1.4.2010) by Finance Act 2008 (c. 9), s. 118(2), Sch. 39 para. 47(3); S.I. 2009/403, art. 2(2) (with art. 10)
65(1)This paragraph applies where an assessment is made on a company in a case involving [F157a loss of tax brought about carelessly or deliberately by]—U.K.
(a)the company, or
(b)a person acting on behalf of the company, or
(c)a person who was a partner of the company at the relevant time.
(2)If the company so requires, effect shall be given in determining the amount of the tax charged by the assessment to any relief or allowance to which the company would have been entitled for that accounting period on a claim or application made within the time allowed by the Taxes Acts.
Textual Amendments
F157Words in Sch. 18 para. 65(1) substituted (1.4.2010) by Finance Act 2008 (c. 9), s. 118(2), Sch. 39 para. 47(2); S.I. 2009/403, art. 2(2) (with art. 10)
Modifications etc. (not altering text)
C40Sch. 18 Pt. VIII (except paras. 70(4), 71(4)) applied (with modifications) (23.11.1999) by S.I. 1999/2975, reg. 10(3)
Sch. 18 Pt. VIII (except para. 77) applied (28.7.2000) by 2000 c. 17, s. 82, Sch. 22 Pt. IX para. 81(3)
66U.K.This Part of this Schedule applies to claims for relief under [F158Part 5 of the Corporation Tax Act 2010] (group relief).
Textual Amendments
F158Words in Sch. 18 para. 66 substituted (with effect in accordance with s. 1184(1) of the amending Act) by Corporation Tax Act 2010 (c. 4), s. 1184(1), Sch. 1 para. 297(8) (with Sch. 2)
67(1)A claim for group relief must be made by being included in the claimant company’s company tax return for the accounting period for which the claim is made.U.K.
(2)It may be included in the return originally made or by amendment.
Modifications etc. (not altering text)
C41Sch. 18 para. 67 applied (with modifications) (31.3.2001 with effect as mentioned in reg. 1(2) of the amending S.I.) by S.I. 2001/1163, regs. 1, 8
68(1)A claim for group relief must specify—U.K.
(a)the amount of relief claimed, and
(b)the name of the surrendering company.
(2)The amount specified must be an amount which is quantified at the time the claim is made.
[F159(3)A claim for group relief must also state whether or not there is a company mentioned in sub-paragraph (4) that was not resident in the United Kingdom in either or both of the following periods—
(a)the accounting period of the surrendering company to which the surrender relates,
(b)the corresponding accounting period of the claimant company.
(4)Those companies are the claimant company, the surrendering company and any other company by reference to which—
(a)the claimant company and the surrendering company are members of the same group, or
[F160(b)consortium condition 1, 2 or 3 in sections 132 and 133 of the Corporation Tax Act 2010 is satisfied in the case of the claimant company and the surrendering company.]]
Textual Amendments
F159Sch. 18 para. 68(3)(4) inserted (28.7.2000 with effect as mentioned in Sch. 27 para. 12(1) of the amending Act) by 2000 c. 17, s. 97, Sch. 27 Pt. II para. 11
F160Sch. 18 para. 68(4)(b) substituted (with effect in accordance with s. 1184(1) of the amending Act) by Corporation Tax Act 2010 (c. 4), s. 1184(1), Sch. 1 para. 297(9) (with Sch. 2)
Modifications etc. (not altering text)
C42Sch. 18 para. 68 applied (with modifications) (31.3.2001 with effect as mentioned in reg. 1(2) of the amending S.I.) by S.I. 2001/1163, regs. 1, 8
69(1)A claim for group relief may be made for less than the amount available for surrender at the time the claim is made.U.K.
(2)A claim is ineffective if the amount claimed exceeds the amount available for surrender at the time the claim is made.
(3)For these purposes the amount available for surrender at any time is calculated as follows.
First step
Determine the total amount available for surrender under [F161Part 5 of the Corporation Tax Act 2010]—
on the basis of the information in the company’s company tax return, and
disregarding any amendments whose effect is deferred under paragraph 31(3).
Second step
Then deduct the total of all amounts for which notices of consent have been given by the company and not withdrawn.
(4)Where one or more claims are withdrawn on the same day as one or more claims are made, the withdrawals are given effect first.
(5)Where more than one claim is made on the same day, and the claims together take the amount claimed over the limit of what is available for surrender, [F7an officer of Revenue and Customs] may determine which of the claims is to be ineffective.
(6)The power under sub-paragraph (5) shall not be exercised to any greater extent than is necessary to bring the total amount claimed within the amount available for surrender.
Textual Amendments
F7Words in Sch. 18 substituted (18.4.2005) by Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(a); S.I. 2005/1126, art. 2(2)(h)
F161Words in Sch. 18 para. 69(3) substituted (with effect in accordance with s. 1184(1) of the amending Act) by Corporation Tax Act 2010 (c. 4), s. 1184(1), Sch. 1 para. 297(10) (with Sch. 2)
70(1)[F162In accordance with Requirement 1 in section 130(2) of the Corporation Tax Act 2010 or Requirement 1 in section 135(2) of that Act (as the case may be), a] claim for group relief requires the consent of the surrendering company.U.K.
(2)A consortium claim also requires the consent of each member of the consortium.
(3)The necessary consent or consents must be given—
(a)by notice in writing,
(b)to the officer of the Board to whom the surrendering company makes its company tax returns,
(c)at or before the time the claim is made.
Otherwise the claim is ineffective.
(4)A claim for group relief is ineffective unless it is accompanied by a copy of the notice of consent to surrender given by the surrendering company.
(5)A consortium claim is ineffective unless it is also accompanied by a copy of the notice of consent to surrender given by each member of the consortium.
[F163(6)In this paragraph “consortium claim” means a claim for group relief under Part 5 of the Corporation Tax Act 2010 based on consortium condition 1, 2 or 3 (see Requirement 3 in section 130(2) of that Act).]
Textual Amendments
F162Words in Sch. 18 para. 70(1) substituted (with effect in accordance with s. 1184(1) of the amending Act) by Corporation Tax Act 2010 (c. 4), s. 1184(1), Sch. 1 para. 297(11)(a) (with Sch. 2)
F163Sch. 18 para. 70(6) inserted (with effect in accordance with s. 1184(1) of the amending Act) by Corporation Tax Act 2010 (c. 4), s. 1184(1), Sch. 1 para. 297(11)(b) (with Sch. 2)
Modifications etc. (not altering text)
C43Sch. 18 para. 70(1)(3)(4) applied (with modifications) (31.3.2001 with effect as mentioned in reg. 1(2) of the amending S.I.) by S.I. 2001/1163, regs. 1, 8
71(1)Notice of consent by the surrendering company must contain all the following details—U.K.
(a)the name of the surrendering company;
(b)the name of the company to which relief is being surrendered;
(c)the amount of relief being surrendered;
(d)the accounting period of the surrendering company to which the surrender relates;
(e)the tax district references of the surrendering company and the company to which relief is being surrendered.
Otherwise the notice is ineffective.
(2)Notice of consent may not be amended, but it may be withdrawn and replaced by another notice of consent.
(3)Notice of consent may be withdrawn by notice to the officer of the Board to whom the notice of consent was given.
(4)Except where the consent is withdrawn under paragraph 75 (withdrawal in consequence of reduction of amount available for surrender), the notice of withdrawal must be accompanied by a notice signifying the consent of the claimant company to the withdrawal.
Otherwise the notice is ineffective.
(5)The claimant company must, so far as it may do so, amend its company tax return for the accounting period for which the claim was made so as to reflect the withdrawal of consent.
Modifications etc. (not altering text)
C44Sch. 18 para. 71 applied (with modifications) (31.3.2001 with effect as mentioned in reg. 1(2) of the amending S.I.) by S.I. 2001/1163, regs. 1, 8
72(1)Where notice of consent by the surrendering company is given after the company has made a company tax return for the period to which the surrender relates, the surrendering company must at the same time amend its return so as to reflect the notice of consent.U.K.
(2)Where notice of consent by the surrendering company relates to a loss in respect of which relief has been given under [F164section 45 of the Corporation Tax Act 2010] (carry forward of trading losses), the surrendering company must at the same time amend its company tax return for the period or, if more than one, each of the periods in which relief for that loss has been given under [F165section 45] so as to reflect the new notice of consent.
For this purpose relief under [F165section 45] is treated as given for losses incurred in earlier accounting periods before losses incurred in later accounting periods.
(3)The time limits otherwise applicable to amendment of a company tax return do not prevent an amendment being made under sub-paragraph (1) or (2).
(4)If the surrendering company fails to comply with sub-paragraph (1) or (2), the notice of consent is ineffective.
Textual Amendments
F164Words in Sch. 18 para. 72(2) substituted (with effect in accordance with s. 1184(1) of the amending Act) by Corporation Tax Act 2010 (c. 4), s. 1184(1), Sch. 1 para. 297(12)(a) (with Sch. 2)
F165Words in Sch. 18 para. 72(2) substituted (with effect in accordance with s. 1184(1) of the amending Act) by Corporation Tax Act 2010 (c. 4), s. 1184(1), Sch. 1 para. 297(12)(b) (with Sch. 2)
Modifications etc. (not altering text)
C45Sch. 18 para. 72(1)(4) applied (with modifications) (31.3.2001 with effect as mentioned in reg. 1(2) of the amending S.I.) by S.I. 2001/1163, regs. 1, 8
73(1)A claim for group relief may be withdrawn by the claimant company only by amending its company tax return.U.K.
(2)A claim for group relief may not be amended, but must be withdrawn and replaced by another claim.
Modifications etc. (not altering text)
C46Sch. 18 para. 73 applied (with modifications) (31.3.2001 with effect as mentioned in reg. 1(2) of the commencing Regulations) by S.I. 2001/1163, regs. 1, 8
74(1)A claim for group relief may be made or withdrawn at any time up to whichever is the last of the following dates—U.K.
(a)the first anniversary of the filing date for the company tax return of the claimant company for the accounting period for which the claim is made;
(b)if notice of enquiry is given into that return, 30 days after the enquiry is completed;
(c)if after such an enquiry [F7an officer of Revenue and Customs] [F59amends] the return under paragraph 34(2), 30 days after notice of the amendment is issued;
(d)if an appeal is brought against such an amendment, 30 days after the date on which the appeal is finally determined.
(2)A claim for group relief may be made or withdrawn at a later time if [F7an officer of Revenue and Customs] [F59allows] it.
(3)The time limits otherwise applicable to amendment of a company tax return do not apply to an amendment to the extent that it makes or withdraws a claim for group relief within the time allowed by or under this paragraph.
(4)The references in sub-paragraph (1) to an enquiry into a company tax return do not include an enquiry restricted to a previous amendment making or withdrawing a claim for group relief.
An enquiry is so restricted if—
(a)the scope of the enquiry is limited as mentioned in paragraph 25(2), and
(b)the amendment giving rise to the enquiry consisted of the making or withdrawing of a claim for group relief.
Textual Amendments
F7Words in Sch. 18 substituted (18.4.2005) by Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(a); S.I. 2005/1126, art. 2(2)(h)
F59Words in Sch. 18 substituted (18.4.2005) by virtue of Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(c); S.I. 2005/1126, art. 2(2)(h)
Modifications etc. (not altering text)
C47Sch. 18 para. 74 applied by Income and Corporation Taxes Act 1988 (c. 1), Sch. 19B para. 15(3) (as inserted (22.7.2004) by Finance Act 2004 (c. 12), Sch. 38)
C48Sch. 18 para. 74 applied (with effect in accordance with s. 1184(1) of the amending Act) by Corporation Tax Act 2010 (c. 4), ss. 320(2), 1184(1) (with Sch. 2)
C49Sch. 18 para. 74 applied (with effect in accordance with s. 1184(1) of the amending Act) by Corporation Tax Act 2010 (c. 4), ss. 321(3), 1184(1) (with Sch. 2)
75(1)This paragraph applies if, after the surrendering company has given one or more notices of consent to surrender, the [F166total amount available for surrender] is reduced to less than the amount stated in the notice, or the total of the amounts stated in the notices, as being surrendered.U.K.
(2)The company must within 30 days withdraw the notice of consent, or as many of the notices as is necessary to bring the total amount surrendered within the new [F167total] amount available for surrender, and may give one or more new notices of consent.
(3)The company must give notice in writing of the withdrawal of consent, and send a copy of any new notice of consent—
(a)to each of the companies affected, and
(b)to [F7an officer of Revenue and Customs].
(4)If the surrendering company fails to act in accordance with sub-paragraph (2), [F7an officer of Revenue and Customs] may by notice to the surrendering company give such directions as [F59he thinks] fit as to which notice or notices are to be ineffective or are to have effect in a lesser amount.
This power shall not be exercised to any greater extent than is necessary to secure that the total amount stated in the notice or notices is consistent with the [F167total] amount available for surrender.
(5)[F7An officer of Revenue and Customs] must at the same time send a copy of the notice to the claimant company, or each claimant company, affected by [F59his] action.
(6)A claimant company which receives—
(a)notice of the withdrawal of consent, or a copy of a new notice of consent, under sub-paragraph (3), or
(b)a copy of a notice containing directions by [F7an officer of Revenue and Customs] under sub-paragraph (4),
must, so far as it may do so, amend its company tax return for the accounting period for which the claim is made so that it is consistent with the new position with regard to consent to surrender.
(7)An appeal may be brought by the surrendering company against any directions given by [F7an officer of Revenue and Customs] under sub-paragraph (4).
(8)Notice of appeal must be given—
(a)in writing,
(b)within 30 days after the notice containing the directions was issued,
(c)to the officer of the Board by whom the notice was given.
Textual Amendments
F7Words in Sch. 18 substituted (18.4.2005) by Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(a); S.I. 2005/1126, art. 2(2)(h)
F59Words in Sch. 18 substituted (18.4.2005) by virtue of Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(c); S.I. 2005/1126, art. 2(2)(h)
F166Words in Sch. 18 para. 75(1) substituted (27.7.1999 with effect in relation to accounting periods ending on or after 1.7.1999) by 1999 c. 16, s. 92(2)(a)(7)
F167Words in Sch. 18 para. 75(2)(4) inserted (27.7.1999 with effect in relation to accounting periods ending on or after 1.7.1999) by 1999 c. 16, s. 92(2)(b)(7)
Modifications etc. (not altering text)
C50Sch. 18 para. 75 applied (with modifications) (31.3.2001 with effect as mentioned in reg. 1(2) of the commencing Regulations) by S.I. 2001/1163, regs. 1, 8
Textual Amendments
F168Sch. 18 para. 75A and crossheading inserted (27.7.1999 with effect in relation to accounting periods ending on or after 1.7.1999) by 1999 c. 16, s. 92(3)(7)
[F16975A(1)This paragraph applies where, after the surrendering company has given notice of consent to surrender, a claimant company (“the chargeable company”) has become liable to tax in consequence of receiving—U.K.
(a)notice of the withdrawal of consent, or a copy of a new notice of consent, under paragraph 75(3), or
(b)a copy of a notice containing directions by [F7an officer of Revenue and Customs] under paragraph 75(4).
(2)If any of the tax is unpaid six months after the chargeable company’s time limit for claims, [F7an officer of Revenue and Customs] may make an assessment to tax in the name of the chargeable company on any other company that has obtained group relief as a result of the surrender.
(3)The assessment may not be made more than two years after that time limit.
(4)The amount of the assessment must not exceed—
(a)the amount of the unpaid tax, or
(b)if less, the amount of tax which the other company saves by virtue of the surrender.
(5)A company assessed to an amount of tax under sub-paragraph (2) is entitled to recover from the chargeable company—
(a)a sum equal to that amount, and
(b)any interest on that amount which it has paid under section 87A of the M13Taxes Management Act 1970 (interest on unpaid corporation tax).
(6)For the purposes of this paragraph the chargeable company’s time limit for claims is the last of the dates mentioned in paragraph 74(1) on which the chargeable company could make or withdraw a claim for group relief for the accounting period for which the claim in question is made.]
Textual Amendments
F7Words in Sch. 18 substituted (18.4.2005) by Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(a); S.I. 2005/1126, art. 2(2)(h)
F169Sch. 18 Pt. VIII para. 75A inserted (27.7.1999 with effect in relation to accounting periods ending on or after 1.7.1999) by 1999 c. 16, s. 92(3)(7)
Modifications etc. (not altering text)
C51Sch. 18 para. 75A applied (with modifications) (31.3.2001 with effect as mentioned in reg. 1(2) of the commencing Regulations) by S.I. 2001/1163, regs. 1, 8
Marginal Citations
76(1)If [F7an officer of Revenue and Customs] [F59discovers] that any group relief which has been given is or has become excessive, [F59he] may make an assessment to tax in the amount which in [F59his] opinion ought to be charged.U.K.
(2)This power is without prejudice to—
(a)the power to make a discovery assessment under paragraph 41(1);
(b)the making of all such adjustments by way of discharge or repayment of tax or otherwise as may be required where a claimant company has obtained too much relief, or a surrendering company has forgone relief in respect of a corresponding amount.
F170[(3)If an assessment under this paragraph is made because a claimant company fails, or is unable, to amend its company tax return under paragraph 75(6), the assessment is not out of time if it is made within one year from—
(a)the date on which the surrendering company gives notice of the withdrawal of consent, or (if later) sends a copy of a new notice of consent, to the claimant company under paragraph 75(3), or
(b)the date on which [F7an officer of Revenue and Customs] [F59sends] the claimant company a copy of a notice containing [F59his] directions under paragraph 75(4).]
Textual Amendments
F7Words in Sch. 18 substituted (18.4.2005) by Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(a); S.I. 2005/1126, art. 2(2)(h)
F59Words in Sch. 18 substituted (18.4.2005) by virtue of Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(c); S.I. 2005/1126, art. 2(2)(h)
F170Sch. 18 para. 76(3) added (27.7.1999 with effect in relation to accounting periods ending on or after 1.7.1999) by 1999 c. 16, s. 92(4)(7)
Modifications etc. (not altering text)
C52Sch. 18 para. 76 applied (with modifications) (31.3.2001 with effect as mentioned in reg. 1(2) of the amending S.I.) by S.I. 2001/1163, regs. 1, 8
77(1)The Treasury may by regulations make provision for arrangements under which—U.K.
(a)a claim for group relief may be made without being accompanied by a copy of the notice of consent to surrender given by the surrendering company [F171, provided authority for the claim being so made is given by a company which is authorised in relation to the claimant company as mentioned in paragraph (b)], and
(b)one company may be authorised to act on behalf of two or more companies in the same group in amending their company tax returns for the purpose of claiming or surrendering group relief or revising the amounts of group relief claimed or surrendered by them.
(2)Regulations under this paragraph may add to, exclude or modify the operation of any provisions of this Part of this Schedule to such extent as the Treasury think necessary or expedient for the purpose of, or in connection with, such arrangements.
(3)Provision may in particular be made—
(a)altering the conditions for making and withdrawing claims for group relief, and
(b)giving [F7an officer of Revenue and Customs] power to recover from the authorised company or another company in the group any amount which might be recovered from the claimant company by an assessment under paragraph 76.
Textual Amendments
F7Words in Sch. 18 substituted (18.4.2005) by Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(a); S.I. 2005/1126, art. 2(2)(h)
F171Words in Sch. 18 para. 77(1)(a) inserted (28.7.2000) by 2000 c. 17, s. 99
Textual Amendments
F172Sch. 18 para. 77A and cross-heading inserted (with effect in accordance with Sch. 1 para. 9 of the amending Act) by Finance Act 2006 (c. 25), Sch. 1 para. 8
77A(1)This paragraph applies if a claim for group relief is made in respect of any loss or other amount as a result of the condition in [F173section 136 of the Corporation Tax Act 2010 being met (claims for group relief based on the EEA group condition).] U.K.
(2)In relation to the surrendering company, this Part of this Schedule applies as if—
(a)references to the relief being surrendered were to the EEA amount and to the relief being claimed, and
(b)references to its accounting period were to [F174the accounting period that the company is assumed to have under section 125 of the Corporation Tax Act 2010 for the purpose of recalculating the EEA amount at Step 3 in section 113 of that Act.]
(3)Notice of consent of the surrendering company—
(a)is to be given to the officer of the Board under paragraph 70(3)(b) by the claimant company (and not by the surrendering company), and
(b)is to be given to the officer to whom the claimant company makes its company tax returns.
(4)If the surrendering company is not within the charge to income or corporation tax, the requirement under paragraph 71(1)(e) for notice of consent by the surrendering company to contain details of its tax district reference is not to apply.
(5)If notice of consent is withdrawn under paragraph 71, the notice of the withdrawal is to be given to the officer of the Board by the claimant company (and not by the surrendering company).
(6)If notice of consent is withdrawn under paragraph 75—
(a)the notice of withdrawal, and any copy of any new notice of consent, is to be sent to an officer of Revenue and Customs by the claimant company (and not by the surrendering company), and
(b)any notice containing directions by an officer of Revenue and Customs under sub-paragraph (4) of that paragraph is to be given to the claimant company (and not to the surrendering company).
(7)The remaining provisions of that paragraph, and the rest of this Part of this Schedule, are, accordingly, to be read with the appropriate modifications (so that, in particular, it is the claimant company (and not the surrendering company) which can bring an appeal under paragraph 75(7)).
(8)A notice under [F175paragraph 1 of Schedule 36 to the Finance Act 2008 (notice to taxpayer to produce documents etc)] given to the claimant company may require the claimant company—
(a)to explain why the EEA amount meets the conditions mentioned in [F176Step 2 in section 113(2) of the Corporation Tax Act 2010 and is not prevented from being surrendered by section 127] of that Act, and
(b)to provide details of the recalculation required under [F177Step 3 in section 113(2) of that Act] in relation to the EEA amount.
(9)Except where expressly indicated, requirements imposed under this paragraph are in addition to those imposed apart from this paragraph.
(10)In this paragraph “the EEA amount” has the same meaning as in [F178Chapter 3 of Part 5 of the Corporation Tax Act 2010].]
Textual Amendments
F173Words in Sch. 18 para. 77A(1) substituted (with effect in accordance with s. 1184(1) of the amending Act) by Corporation Tax Act 2010 (c. 4), s. 1184(1), Sch. 1 para. 297(13)(a) (with Sch. 2)
F174Words in Sch. 18 para. 77A(2)(b) substituted (with effect in accordance with s. 1184(1) of the amending Act) by Corporation Tax Act 2010 (c. 4), s. 1184(1), Sch. 1 para. 297(13)(b) (with Sch. 2)
F175Words in Sch. 18 para. 77A(8) substituted (13.8.2009) by The Finance Act 2009, Schedule 47 (Consequential Amendments) Order 2009 (S.I. 2009/2035), art. 1, Sch. para. 38
F176Words in Sch. 18 para. 77A(8)(a) substituted (with effect in accordance with s. 1184(1) of the amending Act) by Corporation Tax Act 2010 (c. 4), s. 1184(1), Sch. 1 para. 297(13)(c) (with Sch. 2)
F177Words in Sch. 18 para. 77A(8)(b) substituted (with effect in accordance with s. 1184(1) of the amending Act) by Corporation Tax Act 2010 (c. 4), s. 1184(1), Sch. 1 para. 297(13)(d) (with Sch. 2)
F178Words in Sch. 18 para. 77A(10) substituted (with effect in accordance with s. 1184(1) of the amending Act) by Corporation Tax Act 2010 (c. 4), s. 1184(1), Sch. 1 para. 297(13)(e) (with Sch. 2)
Modifications etc. (not altering text)
C53Sch. Pt. IX applied (22.3.2001 with effect as mentioned in s. 579(1) of the amending Act) by 2001 c. 2, s. 135(5) (with Sch. 3 Pt. IV paras. 54, 55)
[F17978U.K.This Part of this Schedule applies to claims for allowances under the Capital Allowances Act which—
(a)are made for corporation tax purposes, and
(b)are required under section 3 of that Act to be included in a tax return.]
Textual Amendments
[F18079(1)A claim for capital allowances must be included in the claimant company’s company tax return for the accounting period for which the claim is made.]U.K.
(2)It may be included in the return originally made or by amendment.
Textual Amendments
80U.K.A claim for capital allowances must specify the amount claimed, which must be an amount which is quantified at the time the claim is made.
81U.K.A claim for capital allowances may be amended or withdrawn by the claimant company only by amending its company tax return.
82(1)A claim for capital allowances may be made, amended or withdrawn at any time up to whichever is the last of the following dates—U.K.
(a)the first anniversary of the filing date for the company tax return of the claimant company for the accounting period for which the claim is made;
(b)if notice of enquiry is given into that return, 30 days after the enquiry is completed;
(c)if after such an enquiry [F7an officer of Revenue and Customs] [F59amends] the return under paragraph 34(2), 30 days after notice of the amendment is issued;
(d)if an appeal is brought against such an amendment, 30 days after the date on which the appeal is finally determined.
(2)A claim for capital allowances may be made, amended or withdrawn at a later time if [F7an officer of Revenue and Customs] [F59allows] it.
(3)The time limits otherwise applicable to amendment of a company tax return do not apply to an amendment to the extent that it makes, amends or withdraws a claim for capital allowances within the time allowed by or under this paragraph.
(4)The references in sub-paragraph (1) to an enquiry into a company tax return do not include an enquiry restricted to a previous amendment making, amending or withdrawing a claim for capital allowances.
An enquiry is so restricted if—
(a)the scope of the enquiry is limited as mentioned in paragraph 25(2), and
(b)the amendment giving rise to the enquiry consisted of the making, amending or withdrawing of a claim for capital allowances.
Textual Amendments
F7Words in Sch. 18 substituted (18.4.2005) by Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(a); S.I. 2005/1126, art. 2(2)(h)
F59Words in Sch. 18 substituted (18.4.2005) by virtue of Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(c); S.I. 2005/1126, art. 2(2)(h)
83(1)This paragraph applies if the effect of a claim for capital allowances is to reduce the amount available by way of capital allowances for another accounting period of the company for which a company tax return has been delivered.U.K.
(2)The company has 30 days within which to make any necessary amendments of the company tax return for that other period.
(3)If it does not do so, [F7an officer of Revenue and Customs] may by notice in writing to the company amend the return to make it consistent with the amount available by way of capital allowances.
(4)The time limits otherwise applicable to amendment of a company tax return do not prevent an amendment being made under sub-paragraph (2) or (3).
(5)An appeal may be brought by the company against any such amendment.
(6)Notice of appeal must be given—
(a)in writing,
(b)within 30 days after notice of the amendment was issued,
(c)to the officer of the Board by whom the notice of amendment was issued.
Textual Amendments
F7Words in Sch. 18 substituted (18.4.2005) by Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(a); S.I. 2005/1126, art. 2(2)(h)
[F18183ZA(1)Subject as follows, this Part of this Schedule applies to claims for a first-year tax credit under Schedule A1 to the Capital Allowances Act as it applies to claims for allowances under that Act.U.K.
(2)A company tax return in which a claim to a first-year tax credit is made must specify—
(a)the plant or machinery to which the relevant first-year expenditure relates,
(b)the amount of the relevant first-year expenditure incurred in respect of that plant or machinery, and
(c)the date on which that expenditure was incurred.
(3)Where an order under section 45B or 45I of that Act (first-year allowance available only if relevant certificate in force) applies in relation to the plant or machinery, the company tax return must be accompanied by the relevant certificate.
F182(4). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
F183(5). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .]
Textual Amendments
F181Sch. 18 para. 83ZA inserted (with effect in accordance with Sch. 25 para. 9 of the amending Act) by Finance Act 2008 (c. 9), Sch. 25 para. 8(5)
F182Sch. 18 para. 83ZA(4) omitted (1.4.2009) by virtue of Finance Act 2008 (c. 9), s. 122(2), Sch. 40 para. 21(f); S.I. 2009/571, art. 2
F183Sch. 18 para. 83ZA(5) omitted (1.4.2009) by virtue of Finance Act 2008 (c. 9), s. 122(2), Sch. 40 para. 21(f); S.I. 2009/571, art. 2
Textual Amendments
F184Sch. 18 Pt. 9A (paras. 83A-83F) inserted (28.7.2000 with effect as mentioned in s. 69(1) of the amending Act) by 2000 c. 17, s. 69(2), Sch. 21 para. 4
F185Words in Sch. 18 Pt. 9A heading substituted (with effect in accordance with Sch. 15 para. 27 of the amending Act) by Finance Act 2013 (c. 29), Sch. 15 para. 7(4)
83AU.K.This Part of this Schedule applies [F186to—
(a)claims for R&D expenditure credits under Chapter 6A of Part 3 of the Corporation Tax Act 2009, and
(b)claims for R&D tax relief under Part 13 of that Act.]
Textual Amendments
F186Words in Sch. 18 para. 83A substituted (with effect in accordance with Sch. 15 para. 27 of the amending Act) by Finance Act 2013 (c. 29), Sch. 15 para. 7(2)
83B(1)A [F187claim to which this Part of this Schedule applies] must be made by being included in the claimant company’s company tax return for the accounting period for which the claim is made.U.K.
(2)It may be included in the return originally made or by amendment.
Textual Amendments
F187Words in Sch. 18 para. 83B(1) substituted (with effect in accordance with Sch. 3 para. 10 of the amending Act) by Finance Act 2006 (c. 25), Sch. 3 para. 4(a)
83CU.K.A [F188claim to which this Part of this Schedule applies] must specify the amount of the [F189credit or] relief claimed, which must be an amount quantified at the time the claim is made.
Textual Amendments
F188Words in Sch. 18 para. 83C substituted (with effect in accordance with Sch. 3 para. 10 of the amending Act) by Finance Act 2006 (c. 25), Sch. 3 para. 4(b)
F189Words in Sch. 18 para. 83C inserted (with effect in accordance with Sch. 15 para. 27 of the amending Act) by Finance Act 2013 (c. 29), Sch. 15 para. 7(3)
83DU.K.A [F190claim to which this Part of this Schedule applies] may be amended or withdrawn by the claimant company only by amending its company tax return.
Textual Amendments
F190Words in Sch. 18 para. 83D substituted (with effect in accordance with Sch. 3 para. 10 of the amending Act) by Finance Act 2006 (c. 25), Sch. 3 para. 4(c)
83E(1)A [F191claim to which this Part of this Schedule applies] may be made, amended or withdrawn at any time up to the first anniversary of the filing date for the company tax return of the claimant company for the accounting period for which the claim is made.U.K.
(2)The claim may be made, amended or withdrawn at a later date if [F7an officer of Revenue and Customs] [F59allows] it.
Textual Amendments
F7Words in Sch. 18 substituted (18.4.2005) by Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(a); S.I. 2005/1126, art. 2(2)(h)
F59Words in Sch. 18 substituted (18.4.2005) by virtue of Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(c); S.I. 2005/1126, art. 2(2)(h)
F191Words in Sch. 18 para. 83E(1) substituted (with effect in accordance with Sch. 3 para. 10 of the amending Act) by Finance Act 2006 (c. 25), Sch. 3 para. 4(d)
F19283FU.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .]
Textual Amendments
F192Sch. 18 para. 83F omitted (1.4.2009) by virtue of Finance Act 2008 (c. 9), s. 122(2), Sch. 40 para. 21(f); S.I. 2009/571, art. 2
Textual Amendments
F193Sch. 18 Pt. 9B inserted (11.5.2001 with effect as mentioned in s. 70 of the amending Act) by virtue of 2001 c. 9, s.70, Sch. 23 para. 6
F194Words in Sch. 18 Pt. 9B heading inserted (with effect in accordance with Sch. 7 paras. 27, 28 of the amending Act) by Finance Act 2009 (c. 10), Sch. 7 para. 25
83GU.K.This Part of this Schedule applies to claims for—
(a)land remediation tax credits under [F195section 1151 of the Corporation Tax Act 2009] (“land remediation tax credits”), and
(b)life assurance company tax credits under [F196section 1164 of that Act] (“life assurance company tax credits”).
Textual Amendments
F195Words in Sch. 18 para. 83G(a) substituted (with effect in accordance with s. 1329(1) of the amending Act) by Corporation Tax Act 2009 (c. 4), s. 1329(1), Sch. 1 para. 454(9)(a) (with Sch. 2 Pts. 1, 2)
F196Words in Sch. 18 para. 83G(b) substituted (with effect in accordance with s. 1329(1) of the amending Act) by Corporation Tax Act 2009 (c. 4), s. 1329(1), Sch. 1 para. 454(9)(b) (with Sch. 2 Pts. 1, 2)
F19783H(1)A claim for a land remediation tax credit or a life assurance company tax credit must be made by being included in the claimant company’s company tax return for the accounting period for which the claim is made.U.K.
(2)It may be included in the return originally made or by amendment.
Textual Amendments
F197Sch. 18 Pt. 9B para. 83H inserted (11.5.2001 with effect as mentioned in s. 70 of the amending Act) by 2001 c. 9, s. 70, Sch. 23 para. 6
F19883IU.K.A claim for a land remediation tax credit or a life assurance company tax credit must specify the amount of the tax credit claimed, which must be an amount quantified at the time the claim is made.
Textual Amendments
F198Sch. 18 Pt. 9B para. 83I inserted (11.5.2001 with effect as mentioned in s. 70 of the amending Act) by 2001 c. 9, s. 70, Sch. 23 para. 6
F19983JU.K.A claim for a land remediation tax credit or a life assurance company tax credit may be amended or withdrawn by the claimant company only by amending its company tax return.
Textual Amendments
F199Sch. 18 Pt. 9B para. 83J inserted (11.5.2001 with effect as mentioned in s. 70 of the amending Act) by 2001 c. 9, s. 70, Sch. 23 para. 6
F20083K(1)A claim for a land remediation tax credit or a life assurance company tax credit may be made, amended or withdrawn at any time up to the first anniversary of the filing date for the company tax return of the claimant company for the accounting period for which the claim is made.U.K.
(2)The claim may be made, amended or withdrawn at a later date if [F7an officer of Revenue and Customs] [F59allows] it.
Textual Amendments
F7Words in Sch. 18 substituted (18.4.2005) by Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(a); S.I. 2005/1126, art. 2(2)(h)
F59Words in Sch. 18 substituted (18.4.2005) by virtue of Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(c); S.I. 2005/1126, art. 2(2)(h)
F200Sch. 18 Pt. 9B para. 83K inserted (11.5.2001 with effect as mentioned in s. 70 of the amending Act) by 2001 c. 9, s. 70, Sch. 23 para. 6
F20183LU.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ]
Textual Amendments
F201Sch. 18 para. 83L omitted (1.4.2009) by virtue of Finance Act 2008 (c. 9), s. 122(2), Sch. 40 para. 21(f); S.I. 2009/571, art. 2
Textual Amendments
F202Sch. 18 Pt. 9BA repealed (with effect in accordance with s. 1329(1) of the amending Act) by Corporation Tax Act 2009 (c. 4), s. 1329(1), Sch. 1 para. 454(10), Sch. 3 Pt. 1 (with Sch. 2 Pts. 1, 2)
F20283LAU.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
F20283LBU.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
F20283LCU.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
F20283LDU.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
F20283LEU.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Textual Amendments
F203Sch. 18 Pt. 9C repealed (with effect in accordance with s. 1329(1) of the amending Act) by Corporation Tax Act 2009 (c. 4), s. 1329(1), Sch. 1 para. 454(11), Sch. 3 Pt. 1 (with Sch. 2 Pts. 1, 2)
U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Textual Amendments
F204Sch. 18 Pt. 9D inserted (1.1.2007) by Finance Act 2006 (c. 25), s. 53(1), Sch. 5 para. 29; S.I. 2006/3399, art. 2
83SU.K.This Part of this Schedule applies to claims for film tax relief.
83T(1)A claim to which this Part of this Schedule applies must be made by being included in the claimant company's tax return for the accounting period for which the claim is made.U.K.
(2)It may be included in the return originally made or by amendment.
83UU.K.A claim to which this Part of this Schedule applies must specify the amount of the relief claimed, which must be an amount quantified at the time the claim is made.
83VU.K.A claim to which this Part of this Schedule applies may be amended or withdrawn by the claimant company only by amending its company tax return.
83W(1)A claim to which this part of this Schedule applies may be made, amended or withdrawn at any time up to the first anniversary of the filing date for the company tax return of the claimant company for the accounting period for which the claim is made.U.K.
(2)The claim may be made, amended or withdrawn at a later date if an officer of Revenue and Customs allows it.
F20583XU.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .]
Textual Amendments
F205Sch. 18 para. 83X omitted (1.4.2009) by virtue of Finance Act 2008 (c. 9), s. 122(2), Sch. 40 para. 21(f); S.I. 2009/571, art. 2
Textual Amendments
F206Sch. 18 para. 84 and cross-heading repealed (with effect in accordance with s. 1329(1) of the amending Act) by Corporation Tax Act 2009 (c. 4), s. 1329(1), Sch. 1 para. 454(12), Sch. 3 Pt. 1 (with Sch. 2 Pts. 1, 2)
F20684U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
85(1)This paragraph applies where a company carrying on insurance business delivers a company tax return based wholly or partly on accounts drawn up using the method described in [F207paragraph 58 in Section E of Part 2 of Schedule 3 to the Large and Medium-sized Companies and Groups (Accounts and Reports) Regulations 2008].U.K.
That paragraph provides for a technical provision to be made in the accounts which is later replaced by a provision for estimated claims outstanding.
(2)Where this paragraph applies—
(a)the company may make any amendments of its return arising from the replacement of the technical provision at any time within twelve months from the date on which the provision was replaced, and
(b)[F7an officer of Revenue and Customs] may give notice of enquiry into the return at any time up to two years from that date.
(3)Nothing in this paragraph prevents notice of enquiry being given at any later time in accordance with the general rule in paragraph 24(3).
Textual Amendments
F7Words in Sch. 18 substituted (18.4.2005) by Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(a); S.I. 2005/1126, art. 2(2)(h)
F207Words in Sch. 18 para. 85(1) substituted (1.10.2009) by The Companies Act 2006 (Consequential Amendments) (Taxes and National Insurance) Order 2009 (S.I. 2009/1890), arts. 1(1), 5(2)(b)
F20886U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Textual Amendments
F208Sch. 18 para. 86 repealed (19.7.2007) by Finance Act 2007 (c. 11), Sch. 10 para. 16(7), Sch. 27 Pt. 2(10)
87(1)This paragraph applies where a company tax return is delivered by a friendly society which is required by section [F2095.2 of the [F210IPRU (FSOC)]] to cause an investigation to be made into its financial condition at least once in every period of three years.U.K.
(2)Where this paragraph applies—
(a)the society may make any amendments of its return arising from the relevant investigation at any time within 15 months from the date as at which that investigation is carried out, and
(b)[F7an officer of Revenue and Customs] may give notice of enquiry into the return at any time up to 27 months from that date.
(3)“The relevant investigation” means—
(a)if the return is for a period as at the end of which there is carried out an investigation under section [F2095.2 of the [F211IPRU (FSOC)]] into the financial condition of the society, that investigation;
(b)if the return is not for such a period, the first such investigation to be made into the financial condition of the company as at the end of a subsequent period.
[F212(4)In this paragraph, “IPRU (FSOC)” means the Interim Prudential Sourcebook for Friendly Societies made by the Prudential Regulation Authority under the Financial Services and Markets Act 2000.]
Textual Amendments
F7Words in Sch. 18 substituted (18.4.2005) by Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(a); S.I. 2005/1126, art. 2(2)(h)
F209Words in Sch. 18 paras. 87(1)(3) substituted (1.12.2001 with effect as mentioned in art. 103(5) of the amending S.I.) by S.I. 2001/3629, art. 103(4)(a)(5)
F210Words in Sch. 18 para. 87(1) substituted (1.4.2013) by The Financial Services Act 2012 (Consequential Amendments) Order 2013 (S.I. 2013/636), art. 1(2), Sch. para. 5(2)
F211Words in Sch. 18 para. 87(3)(a) substituted (1.4.2013) by The Financial Services Act 2012 (Consequential Amendments) Order 2013 (S.I. 2013/636), art. 1(2), Sch. para. 5(3)
F212Sch. 18 para. 87(4) substituted (1.4.2013) by The Financial Services Act 2012 (Consequential Amendments) Order 2013 (S.I. 2013/636), art. 1(2), Sch. para. 5(4)
Textual Amendments
F213Sch. 18 Pt. 10A inserted (with effect in accordance with s. 381(1) of the amending Act) by Taxation (International and Other Provisions) Act 2010 (c. 8), s. 381(1), Sch. 7 para. 108(2) (with Sch. 9 paras. 1-9, 22)
87A(1)Sub-paragraph (2) applies if at any time a company ceases to be resident in the United Kingdom in the course of the formation of an SE by merger, whether or not the company continues to exist after the formation of the SE.U.K.
(2)The other Parts of this Schedule apply after that time, but in relation to liabilities accruing and matters arising before that time—
(a)as if the company were still resident in the United Kingdom, and
(b)if the company has ceased to exist, as if the SE were the company.
87B(1)Sub-paragraph (2) applies if at any time an SE—U.K.
(a)transfers its registered office from the United Kingdom, and
(b)ceases to be resident in the United Kingdom.
(2)The other Parts of this Schedule apply after that time, but in relation to liabilities accruing and matters arising before that time, as if the SE were still resident in the United Kingdom.
87CU.K.In this Part “SE” means a European public limited-liability company (or Societas Europaea) within the meaning of Council Regulation (EC) No. 2157/2001 on the Statute for a European company.]
88(1)This paragraph applies to an amount stated in a company tax return for an accounting period which is required to be included in the return and which affects or may affect—U.K.
(a)the tax payable by the company making the return for another accounting period, or
(b)the tax liability of another company for any accounting period.
(2)If such an amount can no longer be altered it is taken to be conclusively determined for the purposes of the Corporation Tax Acts in relation to that other period or other company.
Sub-paragraphs (3) to (5) explain what is meant by can no longer be altered.
(3)An amount is regarded as one that can no longer be altered if—
(a)the period specified in paragraph 15(4) (general period for amendment by company) has ended,
(b)any enquiry into the return has been completed F214... ,
(c)if [F7an officer of Revenue and Customs] [F59amends] the return under paragraph [F21534], the period within which an appeal may be brought against that amendment has ended, and
(d)if an appeal is brought, the appeal has been finally determined.
(4)If the return is amended by the company under a provision that allows an amendment after the end of the period specified in paragraph 15(4), an amount affected by the amendment ceases to be regarded as one that can no longer be altered until after whichever is the last of the following—
(a)the end of the period within which notice of enquiry into the return may be given in consequence of the amendment;
(b)if such a notice is given, [F216the completion of the enquiry];
(c)if [F7an officer of Revenue and Customs] [F59amends] the return under paragraph [F21734], the end of the period within which an appeal against that amendment may be brought;
(d)if an appeal is brought, the date on which the appeal is finally determined.
(5)If the return is amended by [F7an officer of Revenue and Customs] under paragraph 83(3) (consequential amendment of return where amount available by way of capital allowances is reduced), an amount affected by the amendment ceases to be regarded as one that can no longer be altered until after—
(a)the end of the period within which an appeal against that amendment may be brought, or
(b)if an appeal is brought, the date on which the appeal is finally determined.
(6)For the purposes of this paragraph an amount carried forward from a period for which a return was made under section 11 of the M14Taxes Management Act 1970 is not regarded as one required to be included in a company tax return for a later period.
(7)Nothing in this paragraph affects any power to make an assessment other than a self-assessment or the power to make a discovery determination.
[F218(8)Nothing in this paragraph affects a power of the company making the return to make a claim under paragraph 51 (claim for relief for overpaid tax).]
Textual Amendments
F7Words in Sch. 18 substituted (18.4.2005) by Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(a); S.I. 2005/1126, art. 2(2)(h)
F59Words in Sch. 18 substituted (18.4.2005) by virtue of Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(c); S.I. 2005/1126, art. 2(2)(h)
F214Words in Sch. 18 para. 88(3)(b) omitted (1.4.2010) by virtue of Finance Act 2008 (c. 9), s. 119(10)(a)(13); S.I. 2009/405, art. 2
F215Word in Sch. 18 para. 88(3)(c) substituted (1.4.2010) by Finance Act 2008 (c. 9), s. 119(10)(b)(13); S.I. 2009/405, art. 2
F216Words in Sch. 18 para. 88(4)(b) substituted (1.4.2010) by Finance Act 2008 (c. 9), s. 119(10)(c)(13); S.I. 2009/405, art. 2
F217Word in Sch. 18 para. 88(4)(c) substituted (1.4.2010) by Finance Act 2008 (c. 9), s. 119(10)(d)(13); S.I. 2009/405, art. 2
F218Sch. 18 para. 88(8) inserted (with effect in accordance with s. 100(2) of the amending Act) by Finance Act 2009 (c. 10), Sch. 52 para. 16
Marginal Citations
F21989U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Textual Amendments
F219Sch. 18 para. 89 repealed (1.4.2008 for specified purposes, 1.7.2008 for specified purposes, 1.1.2009 for specified purposes, 1.4.2009 in so far as not already in force) by Finance Act 2007 (c. 11), s. 97(2), Sch. 24 para. 29(c), Sch. 27 Pt. 5(5); S.I. 2008/568, art. 2(a)(b)(c)(d)(e)(f) (with art. 3) (see also S.I. 2009/56, Sch. 1 para. 265)
90(1)This paragraph applies where a company incurs more than one penalty whose amount falls to be determined by reference to the tax payable by it for an accounting period.U.K.
(2)Each penalty after the first shall be reduced so that the total amount of the penalties, so far as determined by reference to any particular part of the tax, does not exceed whichever is, or but for this paragraph would be, the greater or greatest of them, so far as so determined.
91U.K.An act or omission such as is mentioned in section 98B of the M15Taxes Management Act 1970 (European Economic Interest Groupings: acts or omissions attracting penalties) on the part of a grouping, or a member of a grouping, is treated as the act or omission of each member of the grouping for the purposes of—
paragraphs 43 and 46(2) (assessment in case of fraud or negligence), and
paragraphs 61(2) and 65(1) (consequential claims in case of such an assessment).
92(1)This paragraph applies in relation to any appeal under this Schedule.U.K.
(2)The notice of appeal shall specify the grounds of appeal.
F220(3). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Textual Amendments
F220Sch. 18 para. 92(3) omitted (1.4.2009) by virtue of The Transfer of Tribunal Functions and Revenue and Customs Appeals Order 2009 (S.I. 2009/56), art. 1(2), Sch. 1 para. 266
F22193U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Textual Amendments
F221Sch. 18 para. 93 omitted (1.4.2009) by virtue of The Transfer of Tribunal Functions and Revenue and Customs Appeals Order 2009 (S.I. 2009/56), art. 1(2), Sch. 1 para. 267
F22294U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Textual Amendments
F222Sch. 18 para. 94 omitted (1.4.2009) by virtue of The Transfer of Tribunal Functions and Revenue and Customs Appeals Order 2009 (S.I. 2009/56), art. 1(2), Sch. 1 para. 267
F22395U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Textual Amendments
F223Sch. 18 para. 95 repealed (18.4.2005) by Commissioners for Revenue and Customs Act 2005 (c. 11), s. 53(1), Sch. 4 para. 68(b), Sch. 5; S.I. 2005/1126, art. 2(2)(h)(i)
96U.K.In this Schedule “the self-assessment appointed day” means the day appointed by the Treasury under section 199 of the M16Finance Act 1994 for the purposes of Chapter III of Part IV of that Act (corporation tax self-assessment).
97U.K.Any reference in the Tax Acts (however expressed) to a person being assessed to tax, or being charged to tax by an assessment, include a reference to his being so assessed, or being so charged—
(a)by a self-assessment under this Schedule, or an amendment of such a self-assessment, or
(b)by a determination under paragraph 36 or 37 of this Schedule (which, until superseded by a self-assessment, has effect as if it were one).
Textual Amendments
F224Sch. 18 para. 97A and cross-heading inserted (with effect in accordance with s. 381(1) of the amending Act) by Taxation (International and Other Provisions) Act 2010 (c. 8), s. 381(1), Sch. 8 para. 321(6) (with Sch. 9 paras. 1-9, 22)
97AU.K.In this Schedule “TIOPA 2010” means the Taxation (International and Other Provisions) Act 2010.]
98U.K.In this Schedule the expressions listed below are defined or otherwise explained by the provisions indicated—
the Board | paragraph 95(6) |
closure notice | paragraph 32(1) |
company tax return | paragraph 3(1) |
delivery (in relation to company tax return) | paragraph 4 |
discovery assessment | paragraph 41(1) |
discovery determination | paragraph 41(2) |
filing date | paragraph 14 |
Inland Revenue | paragraph 95 |
notice of enquiry | paragraph 24(1) |
notice requiring company tax return | paragraph 3(1) |
[F225SE (in Part 10A) | paragraph 87C] |
self-assessment | paragraph 7 |
self-assessment appointed day | paragraph 96 |
tax | paragraph 1 (and see paragraphs 63(3) and 64(5)) |
tax payable | paragraph 8 |
[F226TIOPA 2010 | paragraph 97A] |
wrong period (return for) | paragraph 26(2) to (4) |
Textual Amendments
F225Words in Sch. 18 para. 98 inserted (with effect in accordance with s. 381(1) of the amending Act) by Taxation (International and Other Provisions) Act 2010 (c. 8), s. 381(1), Sch. 7 para. 108(3) (with Sch. 9 paras. 1-9, 22)
F226Words in Sch. 18 para. 98 inserted (with effect in accordance with s. 381(1) of the amending Act) by Taxation (International and Other Provisions) Act 2010 (c. 8), s. 381(1), Sch. 8 para. 321(7) (with Sch. 9 paras. 1-9, 22)