Part 4Property income
Chapter 4Profits of property businesses: lease premiums etc
Determinations affecting liability of more than one person
240Appeals against proposed determinations
1
Subsection (2) applies if it appears to an officer of Revenue and Customs that—
a
a determination is needed of an amount that is to be brought into account as a receipt under this Chapter in calculating the liability to tax of a person (“the first taxpayer”), and
b
the determination may affect the liability to corporation tax, income tax or capital gains tax of other persons.
2
The officer may give notice (a “provisional notice of determination”) to the first taxpayer and the other persons of—
a
the determination the officer proposes to make, and
b
their rights under this section and section 242.
3
A person to whom a provisional notice of determination is given may object to the proposed determination by giving notice (“a notice of objection”) to the officer.
4
The notice of objection must be given within 30 days of the date on which the provisional notice of determination was given.
5
If an officer gives provisional notices of determination and no person gives a notice of objection—
a
a determination must be made by the officer as proposed in the provisional notices, and
b
the determination is not to be called in question in any proceedings.
241Section 240: supplementary
1
A provisional notice of determination under section 240(2) may include a statement of the grounds on which the officer proposes to make the determination.
2
Subsection (1) applies despite any obligation as to secrecy or other restriction on the disclosure of information.
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242Determination by tribunal
1
If a notice of objection is given under section 240(3), the amount mentioned in section 240(1) must be determined in the same way as an appeal.
2
All persons to whom provisional notices of determination have been given under section 240(2) may F1be a party to—
a
any proceedings under subsection (1), and
b
any appeal arising out of those proceedings.
3
Those persons are bound by the determination made in the proceedings or on appeal, whether or not they have taken part in the proceedings.
4
Their successors in title are bound in the same way.