Corporation Tax Act 2009

1303 Penalties[F1 , interest and VAT surcharges] [F1 and interest] U.K.

F1

(1) In calculating profits for any corporation tax purpose, no deduction is allowed for any penalty or interest mentioned in the first column of the following table.

(2) This is the table—

Penalty or interest	Description of tax, levy or duty
Penalty under any of sections 60 to 70 of VATA 1994	Value added tax
[F2 Interest under section 101 of FA 2009 in respect of an amount of value added tax]
Penalty under any of sections 8 to 11 of FA 1994	Excise duties
Penalty under any of paragraphs 12 to 19 of Schedule 7 to FA 1994	Insurance premium tax
Interest under paragraph 21 of that Schedule
Penalty under any provision of Part 5 of Schedule 5 to FA 1996	Landfill tax
Interest under paragraph 26 or 27 of that Schedule
Penalty under any provision of Schedule 6 to FA 2000	Climate change levy
Interest under any of paragraphs 70, 81 to 85 and 109 of that Schedule
Penalty under any provision of Part 2 of FA 2001	Aggregates levy
Interest under any of paragraphs 5 to 9 of Schedule 5 to, paragraph 6 of Schedule 8 to and paragraph 5 of Schedule 10 to FA 2001
Penalty under section 25 or 26 of FA 2003	[F3 Customs duties]
Penalty under any provision of Part 4 of FA 2003	Stamp duty land tax
Interest under any provision of that Part
[F4 Interest under section 101 of FA 2009 in connection with sums required to be deducted under section 61 of FA 2004 (construction industry)]
[F5 Penalty under Schedule 24 to FA 2007	Various taxes and excise duties]
[F5 Penalty under Schedule 41 to FA 2008	Various taxes and excise duties]
[F6 Penalty under Schedule 16 to F(No. 2)A 2017	Various taxes]

(3) [F7 In calculating profits for any corporation tax purpose, no deduction is allowed for any surcharge under section 59 of VATA 1994. ]

Textual Amendments

F1 Words in s. 1303 heading substituted (1.1.2023 for specified purposes, 6.4.2024 for specified purposes) by Finance Act 2021 (c. 26), s. 118(2), Sch. 27 para. 36(a); S.I. 2022/1278, reg. 2(3)(4)(c); S.I. 2024/440, reg. 2

F2 Words in s. 1303(2) table substituted (with effect in accordance with art. 1(3)(b) of the amending S.I.) by The Finance Act 2009, Sections 101 and 102 (Value Added Tax) (Late Payment Interest and Repayment Interest) (Exceptions and Consequential Amendments) Order 2022 (S.I. 2022/1298), arts. 1(3)(a), 5(3)

F3 Words in s. 1303(2) substituted (13.9.2018 for specified purposes, 31.12.2020 in so far as not already in force) by Taxation (Cross-border Trade) Act 2018 (c. 22), s. 57(1)(a), Sch. 7 para. 157 (with savings and transitional provisions in S.I. 2020/1449, reg. 3 and 2020 c. 26, Sch. 2 para. 7(7)-(9)); S.I. 2020/1642, reg. 4(a)

F4 Words in s. 1303(2) substituted (with effect in accordance with art. 1(2) of the amending S.I.) by The Finance Act 2009, Sections 101 and 102 (Interest on Late Payments and Repayments) (Consequential Amendments) Order 2014 (S.I. 2014/1283), art. 1(1), Sch. para. 6

F5 Words in s. 1303(2) added (1.4.2010) by The Finance Act 2008 (Penalties for Errors and Failure to Notify etc) (Consequential Amendments) Order 2010 (S.I. 2010/530), art. 1, Sch. para. 10

F6 Words in s. 1303(2) table inserted (with effect in accordance with Sch. 16 para. 62 of the amending Act) by Finance (No. 2) Act 2017 (c. 32), Sch. 16 para. 60

F7 S. 1303(3) omitted (1.1.2023 for specified purposes, 6.4.2024 for specified purposes) by virtue of Finance Act 2021 (c. 26), s. 118(2), Sch. 27 para. 36(b); S.I. 2022/1278, reg. 2(3)(4)(c); S.I. 2024/440, reg. 2

Modifications etc. (not altering text)

C1 Pt. 20 Ch. 1 applied (with effect in accordance with s. 148 of the amending Act) by Finance Act 2012 (c. 14), s. 92(4) (with s. 147, Sch. 17)