Finance Act 2009

Stamp duty land tax

16 (1) Paragraph 8 of Schedule 14 (time limit for determination of penalties) is amended as follows.

(2) In sub-paragraph (2)—

(a) for “six years” substitute “4 years”, and

(b) after “began to be incurred” insert “(“the relevant date”)”.

(3) In sub-paragraph (3), insert at the end “(subject to any of the following provisions of this paragraph allowing a longer period)”.

(4) After sub-paragraph (4) insert—

“(4A) Where a person is liable to a penalty in a case involving a loss of tax brought about carelessly by the person (or by another person acting on that person’s behalf), the penalty may be determined, or the proceedings may be brought, at any time not more than 6 years after the relevant date (subject to sub-paragraphs (4B) and (5)).

(4B) Where a person is liable to a penalty in a case involving a loss of tax—

(a) brought about deliberately by the person (or by another person acting on that person’s behalf),

(b) attributable to a failure by the person to comply with an obligation under section 76(1) or paragraph 3(3)(a), 4(3)(a) or 8(3)(a) of Schedule 17A, or

(c) attributable to arrangements in respect of which the person has failed to comply with an obligation under section 309, 310 or 313 of the Finance Act 2004 (obligation of parties to tax avoidance schemes to provide information to Her Majesty’s Revenue and Customs),

the penalty may be determined, or the proceedings may be brought, at any time not more than 20 years after the relevant date.

(4C) Paragraph 31A of Schedule 10 (losses brought about carelessly or deliberately) applies for the purpose of this paragraph.”