1U.K.TMA 1970 is amended as follows.
2U.K.In section 9A (notice of enquiry), in subsection (5)—
(a)in paragraph (a), omit the final “or”;
(b)for paragraph (b) substitute—
“(b)after a final closure notice has been issued in relation to an enquiry into the return, or
(c)after a partial closure notice has been issued in such an enquiry in relation to the matters to which the amendment relates or which are affected by the amendment,”.
3(1)Section 9B (amendment of return by taxpayer during enquiry) is amended as follows.U.K.
(2)In subsection (1), for “is in progress into the return” substitute “ into the return is in progress in relation to any matter to which the amendment relates or which is affected by the amendment ”.
(3)In subsection (3)—
(a)after “in progress” insert “ in relation to any matter to which the amendment relates or which is affected by the amendment ”;
(b)in paragraph (a), for “the closure notice” substitute “ a partial or final closure notice ”;
(c)in paragraph (b), for “the closure notice is issued” substitute “ a partial closure notice is issued in relation to the matters to which the amendment relates or which are affected by the amendment or, if no such notice is issued, a final closure notice is issued ”.
(4)In subsection (4)—
(a)after “in progress” insert “ in relation to any matter ”;
(b)for “the enquiry is completed” substitute “ a partial closure notice is issued in relation to the matter or, if no such notice is issued, a final closure notice is issued ”.
4(1)Section 9C (amendment of self-assessment during enquiry to prevent loss of tax) is amended as follows.U.K.
(2)In subsection (1), for “is in progress into a return” substitute “ into a return is in progress in relation to any matter ”.
(3)In subsection (2), after “deficiency” insert “ so far as it relates to the matter ”.
(4)In subsection (4)—
(a)after “in progress” insert “ in relation to any matter ”;
(b)for “the enquiry is completed” substitute “ a partial closure notice is issued in relation to the matter or, if no such notice is issued, a final closure notice is issued ”.
5U.K.In section 12ZM (NRCGT returns: notice of enquiry), in subsection (4)—
(a)in paragraph (a), omit the final “or”;
(b)for paragraph (b) substitute—
“(b)after a final closure notice has been issued in relation to an enquiry into the return, or
(c)after a partial closure notice has been issued in such an enquiry in relation to the matters to which the amendment relates or which are affected by the amendment,”.
6(1)Section 12ZN (NRCGT returns: amendment of return by taxpayer during enquiry) is amended as follows.U.K.
(2)In subsection (1), for “is in progress into the return” substitute “ into the return is in progress in relation to any matter to which the amendment relates or which is affected by the amendment ”.
(3)In subsection (3)—
(a)after “in progress” insert “ in relation to any matter to which the amendment relates or which is affected by the amendment ”;
(b)in paragraph (a), for “the closure notice” substitute “ a partial or final closure notice ”;
(c)in paragraph (b), for “the closure notice is issued” substitute “ a partial closure notice is issued in relation to the matters to which the amendment relates or which are affected by the amendment or, if no such notice is issued, a final closure notice is issued ”.
(4)In subsection (4)—
(a)after “in progress” insert “ in relation to any matter ”;
(b)for “the enquiry is completed” substitute “ a partial closure notice is issued in relation to the matter or, if no such notice is issued, a final closure notice is issued ”.
7U.K.In section 12AC (partnership return: notice of enquiry), in subsection (5)—
(a)in paragraph (a), omit the final “or”;
(b)for paragraph (b) substitute—
“(b)after a final closure notice has been issued in relation to an enquiry into the return, or
(c)after a partial closure notice has been issued in such an enquiry in relation to the matters to which the amendment relates or which are affected by the amendment,”.
8(1)Section 12AD (amendment of partnership return by taxpayer during enquiry) is amended as follows.U.K.
(2)In subsection (1), for “is in progress into the return” substitute “ into the return is in progress in relation to any matter to which the amendment relates or which is affected by the amendment ”.
(3)In subsection (3)—
(a)after “in progress” insert “ in relation to any matter to which the amendment relates or which is affected by the amendment ”;
(b)in paragraph (a), for “the closure notice” substitute “ a partial or final closure notice ”;
(c)in paragraph (b), for “the closure notice is issued” substitute “ a partial closure notice is issued in relation to the matters to which the amendment relates or which are affected by the amendment or, if no such notice is issued, a final closure notice is issued ”.
(4)In subsection (4)(a), after “in progress” insert “ in relation to any matter to which the amendment relates or which is affected by the amendment ”.
(5)In subsection (5)—
(a)after “in progress” insert “ in relation to any matter ”;
(b)for “the enquiry is completed” substitute “ a partial closure notice is issued in relation to the matter or, if no such notice is issued, a final closure notice is issued ”.
9U.K.In section 12B (records), in subsection (1)(b)(i), for “28A(1) or 28B(1)” substitute “ 28A(1B) or 28B(1B) ”.
10(1)Section 28ZA (referral of questions during enquiry) is amended as follows.U.K.
(2)In subsection (1), after “of this Act” insert “ in relation to any matter ”.
(3)In subsection (5)—
(a)after “in progress” insert “ in relation to any matter ”;
(b)for “the enquiry is completed” substitute “ a partial closure notice is issued in relation to the matter or, if no such notice is issued, a final closure notice is issued ”.
11U.K.In section 28ZD (effect of referral on enquiry), in subsection (1)—
(a)for paragraph (a) substitute—
“(a)no partial closure notice relating to the question referred shall be given,
(aa)no final closure notice shall be given in relation to the enquiry, and”;
(b)in paragraph (b), for “such a notice” substitute “ a notice referred to in paragraph (a) or (aa) ”.
12(1)Section 28A (completion of enquiry into personal, trustee or NRCGT return) is amended as follows.U.K.
(2)For subsection (1) substitute—
“(1)This section applies in relation to an enquiry under section 9A(1) or 12ZM of this Act.
(1A)Any matter to which the enquiry relates is completed when an officer of Revenue and Customs informs the taxpayer by notice (a “partial closure notice”) that the officer has completed his enquiries into that matter.
(1B)The enquiry is completed when an officer of Revenue and Customs informs the taxpayer by notice (a “final closure notice”) —
(a)in a case where no partial closure notice has been given, that the officer has completed his enquiries, or
(b)in a case where one or more partial closure notices have been given, that the officer has completed his remaining enquiries.”
(3)In subsection (2)—
(a)for “closure notice” substitute “ partial or final closure notice ”;
(b)for “either” substitute “ state the officer's conclusions and ”.
(4)In subsections (3) and (4), for “closure notice” substitute “ partial or final closure notice ”.
(5)In subsection (6), for “a closure notice” substitute “ the partial or final closure notice ”.
(6)After subsection (6) insert—
“(7)In this section “the taxpayer” means the person to whom notice of enquiry was given.
(8)In the Taxes Acts, references to a closure notice under this section are to a partial or final closure notice under this section.”
13(1)Section 28B (completion of enquiry into partnership return) is amended as follows.U.K.
(2)For subsection (1) substitute—
“(1)This section applies in relation to an enquiry under section 12AC of this Act.
(1A)Any matter to which the enquiry relates is completed when an officer of Revenue and Customs informs the taxpayer by notice (a “partial closure notice”) that the officer has completed his enquiries into that matter.
(1B)The enquiry is completed when an officer of Revenue and Customs informs the taxpayer by notice (a “final closure notice”)—
(a)in a case where no partial closure notice has been given, that the officer has completed his enquiries, or
(b)in a case where one or more partial closure notices have been given, that the officer has completed his remaining enquiries.”
(3)In subsection (2)—
(a)for “closure notice” substitute “ partial or final closure notice ”;
(b)for “either” substitute “ state the officer's conclusions and ”.
(4)In subsections (3) and (5), for “closure notice” substitute “ partial or final closure notice ”.
(5)In subsection (7), for “a closure notice” substitute “ the partial or final closure notice ”.
(6)After subsection (7) insert—
“(8)In this section “the taxpayer” means the person to whom notice of enquiry was given or his successor.
(9)In the Taxes Acts, references to a closure notice under this section are to a partial or final closure notice under this section.”
14U.K.In section 29 (assessment where loss of tax discovered), in subsection (5), for paragraph (b) substitute—
“(b)in a case where a notice of enquiry into the return was given—
(i)issued a partial closure notice as regards a matter to which the situation mentioned in subsection (1) above relates, or
(ii)if no such partial closure notice was issued, issued a final closure notice,”.
15U.K.In section 29A (NRCGT disposals: determination of amount which should have been assessed), in subsection (5), for paragraph (b) substitute—
“(b)in a case where a notice of enquiry into the return was given—
(i)issued a partial closure notice as regards a matter to which the situation mentioned in subsection (1) relates, or
(ii)if no such partial closure notice was issued, issued a final closure notice,”.
16U.K.In section 30 (recovery of overpayment of tax etc), in subsection (5)(b), for “28A(1)” substitute “ 28A(1B) ”.
17U.K.In section 30B (amendment of partnership statement where loss of tax discovered), in subsection (6), for paragraph (b) substitute—
“(b)in a case where a notice of enquiry into that return was given—
(i)issued a partial closure notice as regards a matter to which the situation mentioned in subsection (1) above relates, or
(ii)if no such partial closure notice was issued, issued a final closure notice,”.
18U.K.In section 31 (appeals: right of appeal), in subsection (2)—
(a)after “in progress” insert “ in relation to any matter to which the amendment relates or which is affected by the amendment ”;
(b)for “the enquiry is completed” substitute “ a partial closure notice is issued in relation to the matter or, if no such notice is issued, a final closure notice is issued ”.
19U.K.In section 59AA (NRCGT disposals: payments on account of CGT), in subsection (8)(a), for “28A(1)” substitute “ 28A(1B) ”.
20U.K.In section 59B (payment of income tax and capital gains tax), in subsection (4A)(a), for “28A(1)” substitute “ 28A(1B) ”.
21(1)In Schedule 3ZA (date by which payment to be made after amendment etc of self-assessment), paragraph 2 is amended as follows.U.K.
(2)In sub-paragraph (3)(b)—
(a)for the first “the closure notice” substitute “ a partial or final closure notice ”;
(b)for “the day on which the closure notice was given” substitute “ the relevant day ”.
(3)After sub-paragraph (3) insert—
“(4)In sub-paragraph (3)(b), “the relevant day” means—
(a)in the case of an amount of tax that is payable, the day on which the partial or final closure notice was given;
(b)in the case of an amount of tax that is repayable—
(i)if the closure notice was a final closure notice, the day on which that notice was given, and
(ii)if the closure notice was a partial closure notice, the day on which the final closure notice relating to the enquiry was given.”