The Finance Act 2009, Schedule 51 (Time Limits for Assessments, Claims, etc.) (Appointed Days and Transitional Provisions) Order 2010

EXPLANATORY NOTE

(This note is not part of the Order)

This Order appoints the days on which the amendments made by section 99 of and Schedule 51 to the Finance Act 2009 (c. 10) (“Schedule 51”) come into force. It also contains transitional provisions. Schedule 51 aligns the time limits to four years in most cases for assessments and claims, etc. across aggregates levy, climate change levy, inheritance tax, insurance premium tax, landfill tax, petroleum revenue tax and stamp duty land tax.

Article 2(1) appoints 1st April 2010 as the day on which the amendments made by paragraphs 1 to 4 and 27 to 43 of Schedule 51 come into force. These paragraphs make changes to time limits and associated amendments (subject to the transitional provisions contained in Part 2 of this Order) for insurance premium tax, aggregates levy, climate change levy, landfill tax and also make minor and consequential provision.

Article 2(2) appoints 1st April 2011 as the day on which the amendments made by paragraphs 5 to 26 of Schedule 51 come into force (subject to the transitional provisions contained in Part 2 of this Order). These paragraphs make changes to inheritance tax, stamp duty land tax and petroleum revenue tax.

Articles 3 to 5 contain transitional provisions for the purposes of changes to insurance premium tax time limits. These ensure that the changes do not allow assessments and claims, etc. that are already out of time on 31st March 2011 to be brought back into time and that the changes do not cause assessments and claims, etc. that are in time or not time-barred on 31st March 2011 to be out of time.

Article 6 contains transitional provision for the purpose of changes to section 240(2) IHTA 1984. It ensures that the period for the commencement of proceedings in any case where a loss of tax was brought about deliberately is not extended under the new rules where a chargeable transfer took place on or before 31st March 2011.

Article 7 contains transitional provisions for the purposes of changes to stamp duty land tax, specifically paragraph 8 of Schedule 14 to FA 2003. It ensures that the period for the commencement of proceedings in any case where a person is liable to a penalty involving a loss of tax arising in one of the specified circumstances is not extended under the new rules where that penalty was incurred on or before 31st March 2011.

Articles 8 to 28 contain transitional provisions for the purposes of changes to aggregates levy, climate change levy and landfill tax time limits. These ensure that the changes do not allow assessments and claims that are already out of time on 31st March 2011 to be brought back into time and that the changes do not cause assessments and claims, etc. that are in time or not time-barred on 31st March 2011 to be out of time.

A full impact assessment has not been produced for this instrument as no impact on the private or voluntary sectors is foreseen.