Finance Act 1994

18 Consequential modifications of enactments

(1) Subject to subsection (2) below, references in the Management Act to a penalty shall not include references to a penalty under this Chapter.

(2) Section 117 of the Management Act (execution and distress against revenue traders) shall have effect—

(a) as if any amount assessed as due from any person by way of a penalty under this Chapter, not being an amount in relation to which subsection (4) below applies, were an amount of excise duty payable by that person; and

(b) with the substitution, in subsection (7A)—

(i) for “estimated under section 116A above” of “assessed under section 12 of the Finance Act 1994”; and

(ii) for the word “estimated”, in the second and third places where it occurs, of “assessed”.

(3) Section 127 of the Management Act (determination of disputes as to duties on imported goods) shall cease to have effect; and for subsection (5) of section 40 of the [1983 c. 55.] Value Added Tax Act 1983 (which provides for there to be no appeal with respect to any matter falling to be determined in accordance with section 127 of the Management Act) there shall be substituted the following subsection—

“(5) No appeal shall lie under this section with respect to the subject-matter of any decision which by virtue of section 24 above is a decision to which section 14 of the Finance Act 1994 (decisions subject to review) applies unless the decision—

(a) relates exclusively to one or both of the following matters, namely whether or not section 16(3) above applies in relation to the importation of the goods in question and (if it does not) the rate of tax charged on those goods; and

(b) is not one in respect of which notice has been given to the Commissioners under section 14 of that Act requiring them to review it.”

(4) Sections 28 and 29 of the [1981 c. 63.] Betting and Gaming Duties Act 1981 (distress and poinding) shall apply, as they apply in relation to any amount recoverable by way of general betting duty, in relation to any amount assessed as due from any person by way of a penalty incurred under this Chapter with respect to conduct connected with a duty or licence under that Act.

(5) In section 29A(1)(d) of that Act of 1981 (certificate to be evidence of certain matters), for the words “or estimate made in pursuance of this Act” there shall be substituted “made in pursuance of this Act or in any assessment made under section 12 of the Finance Act 1994”.

(6) In section 35(1)(c) of the [1993 c. 34.] Finance Act 1993 (certificate to be evidence of certain matters), for the words “in an estimate made under section 116A of the Customs and Excise Management Act 1979” there shall be substituted “in any assessment made under section 12 of the Finance Act 1994”.

(7) In section 827 of the Taxes Act 1988 (VAT penalties etc.), after subsection (1) there shall be inserted the following subsection—

“(1A) Where a person is liable to make a payment by way of a penalty under any of sections 8 to 11 of the Finance Act 1994 (penalties relating to excise), that payment shall not be allowed as a deduction in computing any income, profits or losses for any tax purposes.”

(8) Subsections (1), (2) and (4) above shall be without prejudice to section 13(5) above; and subsection (7) above shall have effect in relation to any chargeable period ending after the coming into force of the provision which provides for the imposition of the penalty in question.