Taxes Management Act 1970

42 Procedure for making claims. U.K.

(1) Where any provision of the Taxes Acts provides for relief to be given, or any other thing to be done, on the making of a claim, this section shall, unless otherwise provided, have effect in relation to the claim .

(2) Subject to any provision in the Taxes Acts for a claim to be made to the Board, every claim shall be made to an inspector.

(3) An appeal may be brought against the decision of the inspector or the Board on a claim by giving written notice to the inspector or the Board as the case may be within thirty days of receipt of written notice of that decision:

Provided that the time for appealing against the Board’s decision—

(a) under section [278 F1 ] of the principal Act (personal reliefs for non-residents), or

(b) on a question of residence, ordinary residence or domicile, or

(c) in the case of a claim under [subsection 5 of section 614 F1 ] of the principal Act (pension funds for service abroad) on the question whether a fund is one to which [section 615(3) of that Act F1 ] applies, shall be three months from receipt of notice of their decision.

(4) Schedule 2 to this Act shall have effect as respects the Commissioners to whom an appeal lies under this section.

M1 (5) A claim shall be in such form as the Board may determine and the form of claim—

(a) shall provide for a declaration to the effect that all the particulars given in the form are correctly stated to the best of the knowledge and belief of the person making the claim, and

(b) may require—

(i) a return of profits to be made in support of the claim, and

(ii) any such particulars of assets acquired as may be required in a return by virtue of subsections (2) and (3) of section 12 of this Act ,

and, in the case of a claim made by or on behalf of a person who is not resident, or who claims to be not resident or not ordinarily resident or not domiciled, in the United Kingdom, the inspector or the Board may require a statement or declaration in support of the claim to be made by affidavit. F2

(5A) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F2

M2 (6) A claim may be made on behalf of an incapacitated person by his trustee, guardian, tutor or curator; and a person who under Part VIII of this Act has been charged with tax on the profits of another person may make any such claim for relief by discharge or repayment of that tax .

M3 (7) The inspector or the Board may give effect to any claim by discharge of tax or, on proof to the satisfaction of the inspector or the Board that any tax has been paid by the claimant by deduction or otherwise, by repayment of tax .

(8) Where a claim has been made and the claimant subsequently discovers that an error or mistake has been made in the claim, the claimant may make a supplementary claim within the time allowed for making the original claim.

(9) On an appeal on a claim, the Commissioners may vary the decision appealed against whether or not the variation is to the advantage of the appellant.

(10) Where it is necessary, in order to give effect to a claim, or as a result of allowing a claim, to make any adjustment by way of an assessment on any person, the assessment shall not be out of time if it is made within one year of the final determination of the claim.

For the purposes of this subsection, a claim shall not be deemed to be finally determined until the amount recoverable under the claim can no longer be varied, whether by any Commissioners on appeal or by the order of any court.

(10A) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F2

M4 (11) In this section“profits”—

(a) in relation to income tax, means income,

(b) in relation to capital gains tax, means chargeable gains,

(c) in relation to corporation tax, means profits as computed for the purposes of that tax.

(d) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F3 F4

Textual Amendments

F1 Income and Corporation Taxes Act 1988 (c. 1, SIF 63:1) Sch. 29 para. 32.

F2 See Finance Act 1990 s. 97(3), (5)for changes in relation to claims relating to income of accounting periods ending after the appointed day (see Income and Corporation Taxes Act 1988 s. 10)

F3 A development land tax provision added byDevelopment Land Tax Act 1976 (c. 24) Sch.8 para.11. Development Land Tax Act 1976repealed byFinance Act 1985 s.98(6)andSch.27 Part X.

F4 S. 42not to apply to claims under S.I. 1989 No. 469—personal equity plan regulations.

Modifications etc. (not altering text)

C1 S. 42 applied (with modifications) by S.I. 1993/743, reg. 20(3)

C2 S. 42 modified (27.7.1993) by 1993 c. 34, s. 194(4)

C3 See—Taxes Management Act 1970 (c. 9 SIF 63:1) s.119andSch.4 para.4—application ofs.42to claims under repealed provisions.Finance Act 1981 s.134andSch.17 para.18—application ofs.(1)to(5)and(7)to(9)to the special tax on banking depositsIncome and Corporation Taxes Act 1988 (c. 1, SIF 63:1) s. 489(7)—s. 42not to apply to certain claims by self-build societies.Capital Allowances Act 1990 (c. 1, SIF 63:1) s. 17(3)—s. 42to apply to claims to carry back balancing allowances in respect of mining structures etc. Capital Allowances Act 1990 (c. 1, SIF 63:1) s. 140(3)—s. 42not to apply to certain claims for capital allowances for income tax purposes. Capital Allowances Act 1990 (c. 1, SIF 63:1) s. 145(3)—s. 42 to apply to certain claims for capital allowances for corporation tax purposes where relief given by discharge or repayment of tax. Finance Act 1990 s. 100and Sch. 15—s. 42 not to apply for claims for group relief under Income and Corporation Taxes Act 1988 (c. 1, SIF 63:1) Sch. 17Afor accounting periods ending after a day to be appointed (See Income and Corporation Taxes Act 1988 s. 10). Finance Act 1990 s. 102and Sch. 16—s. 42 not to apply to claims for capital allowances made under Capital Allowances Act 1990 (c. 1, SIF 63:1) Sch. A1and falling to be made for accounting periods ending after a day to be appointed (see Income and Corporation Taxes Act 1988 s. 10).Income Tax (Sub-Contractors in the Construction Industry) Regns. 1975 (S.I. 1975 No. 1960) (inPart III Vol.5) regn. 13(2)—application ofs.42to appeals against decisions on claims underregn. 13. Income Tax (Interest Relief) Regulations 1982 (S.I. 1982 No. 1236) (inPart III Vol.5) regn. 14(1)—s.42not applicable to claims under these regulations. Personal Equity Plan Regns. 1986 (S.I. 1986 No. 1948)(in Part III Vol. 5) regn. 26(1)—s. 42not to apply to claims under S.I. 1986 No. 1948. Income Tax (Entertainers and Sportsmen) Regns. 1987 (S.I. 1987 No. 530) (in Part III Vol. 5) Regn. 13—application of s. 42to claims that excessive tax payments made in relation to non-resident entertainers and sportsmen. Occupational Pension Schemes (Additional Voluntary Contributions) Regns. 1987 (S.I. 1987 No. 1749) (in Part III Vol. 5) Regn. 9—s. 42not to apply to claims under S.I. 1987 No. 1749.

C4 SeeCapital Gains Tax Act 1979 (c. 14, SIF 63:2) s.45—returns as respects chargeable gains accruing to a married woman.

C5 SeeIncome and Corporation Taxes Act 1988 (c. 1, SIF 63:1) s. 231—payment of tax credit on dividends etc.

C6 SeeIncome and Corporation Taxes Act 1988 (c. 1, SIF 63:1) s. 824—repayment supplements.

Marginal Citations

M1 1964,1965

1964(M) s.9(6); 1965 Sch.X 6.

M2 1964

(M) s.9(7).

M3 1964

(M) s.9(8)-(11).

M4 1964(M)s.9; 1965 Sch.X 1(1); 1966 Sch. VI 11(1),27(1).