Oil Taxation Act 1975

[F1 9 (1) If F2 ... it appears to the Board that the relevant amount was incorrectly stated [F3 in a notice of a decision under paragraph 3 above given to the responsible person for an oil field], the Board may before the expiry of [F4 the permitted period] serve on the responsible Person a notice stating what appears to the Board to be the correct amount (referred to below as “the notice of variation”). U.K.

F5 (1A) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F5 (1B) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F5 (1C) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(2) In this paragraph “the relevant amount”, in relation to a notice of a decision on a claim under paragraph 3 above, means any one or more of the following—

(a) the amount of expenditure allowed on the claim;

(b) the amount of that expenditure allowed as qualifying for supplement under section 2(9)(b)(ii) of this Act;

(c) where different percentages were stated in that notice to apply to different parts of that expenditure for the purpose of calculating the supplement, each of those parts of that expenditure.

F6 (2A) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

[F7 (2B) In this paragraph “permitted period” means the period of 4 years beginning with the date on which the notice of the decision under paragraph 3 was given (but see sub-paragraph (2C)).

(2C) Where the relevant amount was overstated in the notice of decision as a result of an inaccuracy in a statement or declaration made by the responsible person (or a person acting on behalf of the responsible person) in connection with the claim—

(a) if the inaccuracy was careless, the permitted period is extended to 6 years, and

(b) if the inaccuracy was deliberate, the permitted period is extended to 20 years.]

(3) The responsible person may, by notice in writing given to the Board not more than thirty days after the notice of variation was served on him, appeal F8 ... against the notice of variation.

(4) A notice of appeal under sub-paragraph (3) shall state the grounds on which the appeal is brought.

(5) An appeal under this paragraph may at any time [F9 before it is notified to the tribunal] be abandoned by notice in writing given to the Board by the responsible person.

(6) A notice of variation may be withdrawn at any time before it becomes effective.

(7) In any case where—

(a) the responsible person gives notice of appeal against a notice of variation, and

(b) before the appeal is determined by the [F10 tribunal], the Board and the responsible person agree as to what the relevant amount ought to be,

the notice of variation shall have effect subject to such modifications as may be necessary to give effect to that agreement; and thereupon the appeal shall be treated as having been abandoned.

(8) On an appeal [F11 that is notified to the tribunal] against a notice of variation the [F12 tribunal] may vary the notice, quash the notice or dismiss the appeal; and the notice may be varied whether or not the variation is to the advantage of all or any of the participators in the oil field in question.

(9) Where a notice of variation relating to a decision on a claim becomes effective, the relevant amount shall be taken for the purposes of this Part of this Act as having been reduced or increased, as the case may require, on the date on which notice of the decision was given, by such amount as may be necessary to give effect to that notice, and the Board may make such computations under section 2 of this Act and such assessments or determinations or such amendments of assessments or determinations as may be necessary in consequence of that reduction or increase.

(10) A notice of variation becomes effective for the purposes of this paragraph either—

(a) on the expiry of the period during which notice of appeal against the notice of variation may be given F13 ... under sub-paragraph (3) above without such notice of appeal being given; or

(b) where such notice of appeal is given, when the notice of variation can no longer be varied or quashed by the [F14 tribunal] or by the order of any court.

F15 (11) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

[F16 (12) For the purposes of this section, an inaccuracy in a statement or declaration made by the responsible person (or a person acting on behalf of the responsible person) is careless if it is due to a failure by the person to take reasonable care.

(13) An inaccuracy in a statement or declaration made by the responsible person (or a person acting on behalf of the responsible person) is to be treated as careless if—

(a) the responsible person, the person who acted on behalf of the responsible person or any person who becomes the responsible person for the oil field after the statement or declaration is made discovers the inaccuracy some time after it is made, and

(b) that person fails to take reasonable steps to inform Her Majesty's Revenue and Customs.]]

Textual Amendments

F1 Sch. 5 para. 9 added by Finance Act 1983 (c. 49), s. 40(1)

F2 Words in Sch. 5 para. 9(1) omitted (1.4.2011) by virtue of Finance Act 2009 (c. 10), s. 99(2), Sch. 51 para. 24(2)(a); S.I. 2010/867, art. 2(2)

F3 Words in Sch. 5 para. 9(1) substituted (1.4.2011) by Finance Act 2009 (c. 10), s. 99(2), Sch. 51 para. 24(2)(b); S.I. 2010/867, art. 2(2)

F4 Words in Sch. 5 para. 9(1) substituted (1.4.2011) by Finance Act 2009 (c. 10), s. 99(2), Sch. 51 para. 24(2)(c); S.I. 2010/867, art. 2(2)

F5 Sch. 5 para. 9(1A)-(1C) omitted (1.4.2011) by virtue of Finance Act 2009 (c. 10), s. 99(2), Sch. 51 para. 24(3); S.I. 2010/867, art. 2(2)

F6 Sch. 5 para. 9(2A) omitted (1.4.2011) by virtue of Finance Act 2009 (c. 10), s. 99(2), Sch. 51 para. 24(3); S.I. 2010/867, art. 2(2)

F7 Sch. 5 para. 9(2B)(2C) inserted (1.4.2011) by Finance Act 2009 (c. 10), s. 99(2), Sch. 51 para. 24(4); S.I. 2010/867, art. 2(2)

F8 Words in Sch. 5 para. 9(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. 81(2)

F9 Words in Sch. 5 para. 9(5) inserted (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. 81(3)

F10 Word in Sch. 5 para. 9(7) 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. 81(4)

F11 Words in Sch. 5 para. 9(8) inserted (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. 81(5)(a)

F12 Word in Sch. 5 para. 9(8) 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. 81(5)(b)

F13 Words in Sch. 5 para. 9(10)(a) 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. 81(6)

F14 Word in Sch. 5 para. 9(10)(b) 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. 81(7)

F15 Sch. 5 para. 9(11) omitted (1.4.2011) by virtue of Finance Act 2009 (c. 10), s. 99(2), Sch. 51 para. 24(5); S.I. 2010/867, art. 2(2)

F16 Sch. 5 para. 9(12)(13) inserted (1.4.2011) by Finance Act 2009 (c. 10), s. 99(2), Sch. 51 para. 24(6); S.I. 2010/867, art. 2(2)

Modifications etc. (not altering text)

C1 See Oil Taxation Act 1983 (c. 56), s. 14 in relation to the re-opening of decisions for claim periods ending on or after 30 June 1982

C2 Sch. 5 para. 9 modified (3.5.1994) by 1994 c. 9, ss. 231, 232(8)(a), 234, Sch. 22 paras. 9(4), 10, 11