SCHEDULES
F1F1SCHEDULE 3
C1PART III OTHER PUBLIC REVENUE DIVIDENDS, FOREIGN DIVIDENDS AND PROCEEDS OF COUPONS
Sch. 3 Pt. III applied (with modifications) (1.10.1993) by S.I. 1993/2004, reg. 12(2)(b)
Sch. 3 Pt. III applied (with modifications) (1.10.1993) by S.I. 1993/2004, reg. 13(2)(b)
6
1
M1The following persons are chargeable persons for the purposes of this Part of this Schedule—
a
every person (other than the National Debt Commissioners or the Bank of England or the Bank of Ireland) who is entrusted with the payment of any dividends which are payable out of the public revenue of Northern Ireland, or which are payable to any persons in the United Kingdom out of any public revenue other than that of the United Kingdom or Northern Ireland;
b
every person in the United Kingdom who is entrusted with the payment of any foreign dividends;
c
every banker or other person in the United Kingdom who obtains payment of any dividends in such circumstances that the dividends are chargeable to tax under Schedule C, or in the case of foreign dividends, under Schedule D; and
d
every banker in the United Kingdom who sells or otherwise realises coupons, and every dealer in coupons in the United Kingdom who purchases coupons, in such manner that the proceeds of the sale or realisation are chargeable to tax under Schedule C, or in the case of foreign dividends, under Schedule D.
F22
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
F106A
1
2
The tax shall be payable by the chargeable person on behalf of the persons entitled to the dividends or proceeds.
F122A
Payments of tax made on any person’s behalf under this paragraph shall be treated as made for the purpose only of being applied in the discharge of that person’s liability to tax charged (otherwise than by virtue of this paragraph) on the dividends or proceeds to which the payments relate.
3
The tax shall be payable without the making of any assessment.
F134
F15For the purposes of sub-paragraph (1) above the applicable rate shall be—
a
the lower rate, in the case of a foreign dividend which is neither interest nor any other annual payment which is made otherwise than by way of dividend; and
b
the basic rate in any other case.
F166B
Any tax due under paragraph 6A above shall carry interest, at the rate applicable under section 178 of the Finance Act 1989, from the date on which it becomes due until it is paid.
F176C
1
For each quarter in which a person effects a transaction in respect of which he is a chargeable person, he shall make a return to the Board.
2
The return shall specify the chargeable person’s name and address and give, in respect of each such transaction effected by him in the quarter, correct and complete particulars of—
a
the relevant dividends or proceeds, and
b
the income tax on those dividends or proceeds for which he has accounted, or is accountable, under paragraph 6A above.
3
The return shall be made within 30 days from the end of the quarter.
4
In this paragraph and paragraphs 6D to 6F below, “quarter” means any period of three months ending with 31st March, 30th June, 30th September or 31st December.
F186D
1
Any income tax which has become due under paragraph 6A above and particulars of which are included in a return may be assessed on the chargeable person (whether or not it has been paid when the assessment is made) if it, or any part of it, was not paid on or before the date on which it became due.
2
If it appears to the Board that there are any dividends or proceeds particulars of which ought to have been and have not been included in a return, or if the Board are not satisfied with any return, the Board may make an assessment on the chargeable person of the amount, or further amount, of income tax for which he is in their opinion accountable.
3
Where the Board make an assessment under sub-paragraph (2) above they shall specify—
a
which of the months in the quarter was the one in which they consider the transactions in question were effected, or
b
where they consider that the transactions were effected in more than one of the months in the quarter, the proportion of the total amount of the assessment that is to be attributed to each of those months.
4
Any income tax assessed under sub-paragraph (2) above shall be due within 14 days after the issue of the notice of assessment; but for the purposes of paragraph 6B above—
a
it shall be treated as having become due on the fourteenth day following the month specified under sub-paragraph (3)(a) above, or
b
each of the portions of it specified under sub-paragraph (3)(b) above shall be treated as having become due on the fourteenth day following the month to which it is to be attributed.
F196E
1
F20. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
2
For the purposes of sections 34 and 36(1) of the Management Act (time limits for making assessments), an assessment under paragraph 6D above shall be taken to relate to the year of assessment in which the quarter to which the assessment relates ends.
3
F20. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
F216F
If a person has made a payment purporting to be a payment of tax due under paragraph 6A above but it appears to the Board that—
a
he was not liable to make any payment under that paragraph, or
b
the sum paid exceeded his liability under that paragraph,
the Board shall make or allow to be made such repayments, adjustments or set-offs against unpaid tax as they think appropriate.
F37. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
F48. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
F59. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
F610. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
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12
Where income tax in respect of the proceeds of the sale or realisation of any coupon has been accounted for under this Part of this Schedule by any banker or dealer, and the coupon has been subsequently paid in such manner that income tax has been deducted from the payment under any of the provisions of this Schedule, the tax so deducted shall be repaid.
A claim under this paragraph shall be made to the Board.
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1
F8. . . ,the Board may, by notice served on any chargeable person, require that person within such time as may be specified in the notice to make available at his premises for inspection by an officer authorised by the Board all such books and other documents in the possession or control of that person as the officer may reasonably require for the purpose of determining whether any F9return made by that person under paragraph 6C above is correct and complete.
2
The Board may grant a certificate exempting any chargeable person from the provisions of sub-paragraph (1) above, and while the certificate is in force the powers conferred by that sub-paragraph shall not be exercisable in relation to that person; and any such certificate may be revoked at any time by the Board, and may contain such terms and conditions as they think proper.
14
M3In this Part of this Schedule—
“dividends” includes foreign dividends, and
“foreign dividends” has the meaning given by section 123.
Sch. 3 repealed (with effect in accordance with Sch. 7 para. 32 of the repealing Act) by Finance Act 1996 (c. 8), ss. 79, 205, Sch. 7 para. 27, Sch. 41 Pt. 5(2), Note (with Sch. 7 paras. 33-35)