Transitional provisions
29.Paragraph 12 provides transitional provisions for collecting the additional amounts of bank levy that arise from the amendments relating to the increases of the rates of the bank levy and to the paragraphs concerning joint ventures.
30.Paragraph 12(1) states that paragraph 12 applies where an entity (“E”) is charged to the bank levy for an accounting period in respect of a chargeable period that falls wholly or partly on or after 1 January 2012 and one, or more, of the instalment payments for the accounting period in question are due and payable before Royal Assent of Finance Bill 2012.
31.Paragraph 12(2) provides that the effect of the rate changes for 2012, rate changes for 2013 and joint venture amendments are to be ignored when determining the amount of any instalment payment that is due before Royal Assent (“pre-commencement instalment payments”).
32.Paragraph 12(3) provides that where there is at least one instalment payment for the accounting period of E which is due and payable on or after Royal Assent (“post-commencement instalment payments”), the amount of the first such instalment payment is increased by the adjustment amount.
33.Paragraph 12(4) provides that where E does not have any post-commencement instalment payments, the adjustment amount will be due and payable 30 days after Royal Assent.
34.Paragraph 12(5) explains how to determine the “adjustment amount” for the purposes of paragraphs 12(3) and 12(4). The adjustment amount is the difference between the pre-commencement instalment payments calculated firstly on the basis that the effects of the 2012 and 2013 rate changes and joint venture amendments are ignored and then on the basis that the effects of the 2012 and 2013 rate changes and joint venture amendments are not ignored.
35.Paragraph 12(6) ensures that references within the provisions of Corporation Tax (Instalment Payment) Regulations 1998 (S.I. 1998/3175) to regulations 4A to 4D, 5, 5A or 5B of those Regulations are to be read as including references to paragraphs 12(1) to (6).
36.Paragraph 12(7) ensures that section 59D of the Taxes Management Act 1970, which provides the general rule for the collection of corporation tax, is also subject to paragraphs 12(1) to (5).
37.Paragraph 12(8) provides definitions of terms used in this Schedule.