Part I Customs and Excise

C1Chapter II Appeals and Penalties

Annotations:
Modifications etc. (not altering text)
C1

Pt. 1 Chapter 2 (ss. 7-19) applied (17.3.2000) by S.I. 2000/426, art. 5

Assessments to excise duty or to penalties

C2I112 Assessments to excise duty.

C31

Subject to subsection (4) below, where it appears to the Commissioners—

a

that any person is a person from whom any amount has become due in respect of any duty of excise; and

b

that there has been a default falling within subsection (2) below,

the Commissioners may assess the amount of duty due from that person to the best of their judgement and notify that amount to that person or his representative.

2

The defaults falling within this subsection are—

a

any failure by any person to make, keep, preserve or produce as required or directed by or under any enactment any returns, accounts, books, records or other documents;

b

any omission from or inaccuracy in any returns, accounts, books, records or other documents which any person is required or directed by or under any enactment to make, keep, preserve or produce;

c

any failure by any person to take or permit to be taken any step which he is required under Schedule 1 or 3 to the M1Betting and Gaming Duties Act 1981 F1or Schedule 1 to the Finance Act 1997 to take or to permit to be taken;

d

any unreasonable delay in performing any obligation the failure to perform which would be a default falling within this subsection.

3

Where an amount has been assessed as due from any person and notified in accordance with this section, it shall, subject to any appeal under section 16 below, be deemed to be an amount of the duty in question due from that person and may be recovered accordingly, unless, or except to the extent that, the assessment has subsequently been withdrawn or reduced.

4

An assessment of the amount of any duty of excise due from any person shall not be made under this section at any time after whichever is the earlier of the following times, that is to say—

a

subject to subsection (5) below, the end of the period of F2three years beginning with the time when his liability to the duty arose; and

b

the end of the period of one year beginning with the day on which evidence of facts, sufficient in the opinion of the Commissioners to justify the making of the assessment, comes to their knowledge;

but this subsection shall be without prejudice, where further evidence comes to the knowledge of the Commissioners at any time after the making of an assessment under this section, to the making of a further assessment within the period applicable by virtue of this subsection in relation to that further assessment.

5

Subsection (4) above shall have effect as if the reference in paragraph (a) to F2three years were a reference to twenty years in the case of any assessment to any amount of duty the assessment or payment of any of which has been postponed or otherwise affected by—

a

conduct in respect of which any person (whether or not the person assessed)—

i

has become liable to a penalty under section 8 above, or

ii

has been convicted of an offence of fraud or dishonesty; or

b

any conduct in respect of which proceedings for an offence of fraud or dishonesty would have been commenced or continued against any person (whether or not the person assessed), but for their having been compounded under section 152(a) of the Management Act.

6

The reference in subsection (4) above to the time when a person’s liability to a duty of excise arose are references—

a

in the case of a duty of excise on goods, to the excise duty point; and

b

in any other case, to the time when the duty was charged.

7

In this section references to an offence of fraud or dishonesty include references to an offence under any of the following provisions, that is to say-

a

sections 100(3), 136(1), 159(6), 167(1), 168(1), 170(1) and (2) and 170B(1) of the Management Act,

b

section 24(6) of the M2Betting and Gaming Duties Act 1981 and paragraph 13(3) of Schedule 1, F3. . . and paragraph 16(1) of Schedule 3 to that Act,

c

section 31(1) and (3) of the M3Finance Act 1993, and

d

section 41(1) and (3) below,

and also include references to attempting or conspiring to commit an offence of fraud or dishonesty and to inciting the commission of such an offence.

8

In this section “representative”, in relation to a person appearing to the Commissioners to be a person from whom any amount has become due in respect of any duty of excise, means his personal representative F4, trustee in bankruptcy or interim or permanent trustee, any receiver or liquidator appointed in relation to that person or any of his property or any other person acting in a representative capacity in relation to that person.