Section 186: Air Passenger Duty: Miscellaneous Provision
Summary
1.Section 186 introduces legislation to give HM Revenue & Customs (HMRC) the power to implement special accounting arrangements in relation to annual accounting and to specify the detail of these arrangements in regulations.
Details of the Section
2.Subsection 1 inserts new subsections (2A) to (2D) into section 38 of Finance Act 1994 (FA 1994).
3.New subsection (2A) provides that payments based on an estimate of liability may be required at prescribed times during a prescribed period.
4.New subsection (2B) and (2C) provide that such payments are to be calculated in accordance with the regulations, and are to be treated as payments made on account of the person's duty liability for the period.
5.New subsection (2D) provides that where this results in an overpayment of duty, the regulations must make provision that this is to be repaid or treated as duty paid for other periods, or both.
6.Subsections 2 and 3 inserts 'South Sudan' into Part 2 of Schedule 5A to FA 1994, and applies this change from 9 July 2011.
Background
7.To help minimise administrative burdens HMRC are introducing an accounting scheme which will allow operators to submit annual returns. This section provides that payments on account may be required and that the calculation of these amounts and the time when they must be paid are prescribed in regulations.
8.The section also updates the list of territories in Schedule 5A to include South Sudan, which was formally recognised on 9 July 2011.