C5C12C13C14C15 PART IV ASSESSMENT AND CLAIMS
Pt. 4 applied (with modifications) by The Income Tax (Employments) Regulations 1993 (S.I. 1993/744), reg. 49(7) (as amended (19.8.1999) by The Income Tax (Employments) (Amendment No. 3) Regulations 1999 (S.I. 1999/2155), regs. 1(1), 7)
Pt. 4 applied (with modifications) (E.W.) (1.4.2000) by Education (Student Loans) (Repayment) Regulations 2000 (S.I. 2000/944), regs. 1(1), 20(1), 45(4)
Pt. 4 applied (with modifications) (N.I.) (1.4.2000) by The Education (Student Loans) (Repayment) Regulations (Northern Ireland) 2000 (S.R. 2000/121), regs. 1, 20(1), 45(4)
Pt. IV applied (with modifications) (6.4.2000) by The Tax Credits (Payment by Employers) Regulations 1999 (S.I. 1999/3219), regs. 1, 12(5)
Claims
C8C9C10C16C17F542 Procedure for making claims etc.
1
Where any provision of the Taxes Acts provides for relief to be given, or any other thing to be done, on the making of a claim, this section shall, unless otherwise provided, have effect in relation to the claim.
F61A
Subject to subsection (3) below, a claim for a relief, an allowance or a repayment of tax shall be for an amount which is quantified at the time when the claim is made.
2
3
F7Subsections (1A) and (2) above shall not apply in relation to any claim which falls to be taken into account in the making of deductions or repayments of tax under section 203 of the principal Act.
F133A
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
F133B
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
F244
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
F254A
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
5
6
In the case of a trade, profession or business carried on by persons in partnership, a claim under any of the provisions mentioned in subsection (7) below shall be made—
a
where subsection (2) above applies, by being included in a F38partnership return, and
b
in any other case, by such one of those persons as may be nominated by them for the purpose.
7
The provisions are—
a
b
section 43(5) of the Finance Act 1989;
F37c
sections 3, 83, 89, 129, 131, 135, 177, 183, 266, 268, 290, 355, 381 and 569 of the Capital Allowances Act; and
d
sections 40B(5), 40D, 41 and 42 of the Finance (No. 2) Act 1992.
8
A claim may be made on behalf of an incapacitated person by his trustee, guardian, tutor or curator; and a person who under Part VIII of this Act has been charged with tax on the profits of another person may make any such claim for relief by discharge or repayment of that tax.
9
Where a claim has been made (whether by being included in a return under section 8, 8A F22... or 12AA of this Act or otherwise) and the claimant subsequently discovers that an error or mistake has been made in the claim, the claimant may make a supplementary claim within the time allowed for making the original claim.
10
11
Schedule 1A to this Act shall apply as respects any claim F18or election which—
a
F12b
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
F1511A
Schedule 1B to this Act shall have effect as respects certain claims for relief involving two or more years of assessment.
F1912
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
13
In this section “profits”—
a
in relation to income tax, means incomeF27, and
b
in relation to capital gains tax, means chargeable gains, and
F28c
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
C4C143 Time limit for making claims.
C2C3C6C7F301
Subject to any provision of the Taxes Acts prescribing a longer or shorter period, no claim for relief in respect of income tax or capital gains tax may be made more than five years after the 31st January next following the year of assessment to which it relates.
2
A claim (including a supplementary claim) which could not have been allowed but for the making of an assessment to income tax or capital gains tax after the year of assessment to which the claim relates may be made at any time before the end of the year of assessment following that in which the assessment was made.
F13
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
C1143AF3Further assessments: claims etc.
1
This section applies where—
F31a
F35... by virtue of section 29 of this Act an assessment to income tax or capital gains tax is made on any person for a year of assessment, and
b
the assessment is not made for the purpose of making good to the Crown any loss of tax attributable to his fraudulent or negligent conduct or the fraudulent or negligent conduct of a person acting on his behalf.
2
Without prejudice to section 43(2) above but subject to section 43B below, where this section applies—
a
any relevant claim, election, application or notice which could have been made or given within the time allowed by the Taxes Acts may be made or given at any time within one year from the end of the F32year of assessment in which the assessment is made, and
b
any relevant claim, election, application or notice previously made or given may at any such time be revoked or varied—
i
in the same manner as it was made or given, and
ii
by or with the consent of the same person or persons who made, gave or consented to it (or, in the case of any such person who has died, by or with the consent of his personal representatives),
except where by virtue of any enactment it is irrevocable.
F22A
In subsection (2) above, “claim, election, application or notice” does not include an election under section 257BA of the principal Act (elections as to transfer of married couple’s allowance) F34or under Schedule 13B to that Act (elections as to transfer of children’s tax credit).
3
For the purposes of this section and section 43B below, a claim, election, application or notice is relevant in relation to an assessment for a F32year of assessment if—
a
b
it or, as the case may be, its revocation or variation has or could have the effect of reducing any of the liabilities mentioned in subsection (4) below.
4
The liabilities referred to in subsection (3) above are—
a
the increased liability to tax resulting from the assessment,
5
Where a claim, election, application or notice is made given, revoked or varied by virtue of subsection (2) above, all such adjustments shall be made, whether by way of discharge or repayment of tax or the making of assessments or otherwise, as are required to take account of the effect of the taking of that action on any person’s liability to tax for any F33year of assessment.
6
The provisions of this Act relating to appeals against decisions on claims shall apply with any necessary modifications to a decision on the revocation or variation of a claim by virtue of subsection (2) above.
43BF4Limits on application of section 43A.
1
If the effect of the exercise by any person of a power conferred by section 43A(2) above—
a
to make or give a claim, election, application or notice, or
b
to revoke or vary a claim, election, application or notice previously made or given,
would be to alter the liability to tax of another person, that power may not be exercised except with the consent in writing of that other person, or where he has died, his personal representatives.
2
Where—
a
a power conferred by subsection (2) of section 43A above is exercised in consequence of an assessment made on a person, and
b
the exercise of the power increases the liability to tax of another person,
that section shall not apply by reason of any assessment made because of that increased liability.
3
In any case where—
a
one or more relevant claims, elections, applications or notices are made, given, revoked or varied by virtue of the application of section 43A above in the case of an assessment, and
b
the total of the reductions in liability to tax which, apart from this subsection, would result from the action mentioned in paragraph (a) above would exceed the additional liability to tax resulting from the assessment,
the excess shall not be available to reduce any liability to tax.
4
Where subsection (3) above has the effect of limiting either the reduction in a person’s liability to tax for more than one period or the reduction in the liability to tax of more than one person, the limited amount shall be apportioned between the periods or persons concerned—
a
except where paragraph (b) below applies, in such manner as may be specified by the inspector by notice in writing to the person or persons concerned, or
b
where the person concerned gives (or the persons concerned jointly give) notice in writing to the inspector within the relevant period, in such manner as may be specified in the notice given by the person or persons concerned.
5
For the purposes of paragraph (b) of subsection (4) above the relevant period is the period of 30 days beginning with the day on which a notice under paragraph (a) of that subsection is given to the person concerned or, where more than one person is concerned, the latest date on which such notice is given to any of them.
Pt. 4 (ss. 29-43B) applied (with modifications) (6.4.1993) by The Income Tax (Sub-contractors in the Construction Industry) Regulations 1993 (S.I. 1993/743), reg. 14(2) (revoked (6.4.2007) by S.I. 2005/2045, Sch. 2)