UKPGA-1998-36 Finance Act 1998 UK

In section 36(1) of the Alcoholic Liquor Duties Act 1979 (rate of duty on beer), for “£11.14" there shall be substituted “ £11.50 ”.

This section shall come into force on 1st January 1999.

The Alcoholic Liquor Duties Act 1979 shall be amended as follows.

In Part I of the Table of rates of duty in Schedule 1, in column 2 of the fourth entry (rate of duty per hectolitre on sparkling wine or made-wine of a strength exceeding 5.5 per cent. but less than 8.5 per cent.), for “201.50" there shall be substituted “ 161.20 ”.

In section 62(1A)(a) (rate of duty per hectolitre on sparkling cider of a strength exceeding 5.5 per cent.), for “£37.54" there shall be substituted “ £45.05 ”.

This section shall be deemed to have come into force at 6 o’clock in the evening of 17th March 1998.

For Part I of the Table of rates of duty in Schedule 1 to the Alcoholic Liquor Duties Act 1979 (wine and made-wine of a strength not exceeding 22 per cent.) there shall be substituted—

In section 62(1A) of the Alcoholic Liquor Duties Act 1979 (rates of duty on cider), for paragraphs (b) and (c) there shall be substituted the following paragraphs—

This section shall come into force on 1st January 1999.

Section 42 of the Alcoholic Liquor Duties Act 1979 (drawback on exportation, shipment as stores etc.) shall cease to have effect.

Subsection (1) above shall come into force on such day as the Commissioners of Customs and Excise may by order made by statutory instrument appoint.

In section 6 of the Hydrocarbon Oil Duties Act 1979 (excise duty on imported hydrocarbon oil and on oil produced and delivered for home use), in subsection (1)—

For subsection (2) of that section there shall be substituted the following subsections—

The preceding provisions of this section shall come into force on such day as the Commissioners of Customs and Excise may by order made by statutory instrument appoint.

In section 6(1A) of the Hydrocarbon Oil Duties Act 1979 (rates of duty on hydrocarbon oil)—

In section 11(1) of that Act (rebate on heavy oil)—

In section 13A(1A) of that Act (rebate on unleaded petrol)—

In section 14(1) of that Act (rebate on light oil for use as furnace fuel), for “£0.0200" there shall be substituted “ £0.0218 ”.

This section shall be deemed to have come into force at 6 o’clock in the evening of 17th March 1998.

In section 1 of the Hydrocarbon Oil Duties Act 1979, for subsection (6) (meaning of “ultra low sulphur diesel") there shall be substituted the following subsection—

This section shall be deemed to have come into force at 6 o’clock in the evening of 17th March 1998.

In section 20AAA of the Hydrocarbon Oil Duties Act 1979 (charge to duty on mixtures of oils), after subsection (2) there shall be inserted the following subsection—

In subsection (3) of that section, after “subsection (1)" there shall be inserted“ or (2A) ”.

In section 20AAB of that Act (supplementary provisions about mixing of oils), in subsection (1), after “section 20AAA(1)" there shall be inserted“ or (2A) ”.

In Schedule 2A to that Act (mixtures of oils to which duty applies), after paragraph 7 there shall be inserted the following—

In paragraph 9 of that Schedule (rate of duty for mixtures of heavy oil), after sub-paragraph (1) there shall be inserted the following sub-paragraph—

This section shall be deemed to have come into force at 6 o’clock in the evening of 17th March 1998.

For the Table of rates of duty in Schedule 1 to the Tobacco Products Duty Act 1979 there shall be substituted—

This section shall come into force on 1st December 1998.

For the Table in section 11(2) of the Finance Act 1997 (rates of gaming duty) there shall be substituted the following table—

In section 11(3) of that Act (rate of duty for unregistered gaming), for “ 131/3per cent." there shall be substituted “ 40 per cent. ”

This section has effect in relation to accounting periods beginning on or after 1st April 1998.

In section 23 of the Betting and Gaming Duties Act 1981 (rates of amusement machine licence duty), for the Table in subsection (2) there shall be substituted the following Table—

This section shall apply in relation to any amusement machine licence for which an application is received by the Commissioners of Customs and Excise after 17th March 1998.

In section 21(3A) of the Betting and Gaming Duties Act 1981 (excepted machines), for paragraphs (b) and (c) there shall be substituted the following paragraphs—

This section has effect in relation to the provision of an amusement machine at any time on or after 1st April 1998.

In section 21(3A) of the Betting and Gaming Duties Act 1981 (excepted machines), after paragraph (c) there shall be inserted

After subsection (3A) of that section there shall be inserted the following subsections—

Accordingly, in section 25 of that Act—

This section has effect in relation to the provision of an amusement machine at any time on or after the day on which this Act is passed.

After section 34 of the Finance Act 1994 (fiscal representatives) there shall be inserted the following section—

In section 34(4) of that Act (effect of appointment of fiscal representative), after “subsection (5)" there shall be inserted “ and section 34A ”.

In subsection (1) of section 35A of the Vehicle Excise and Registration Act 1994 (offence of failing to return void licence)—

After subsection (2) of that section there shall be inserted the following subsections—

In section 36 of that Act (additional liability to be imposed on persons convicted of offences under section 35A), for subsection (4) of that section there shall be substituted the following subsections—

After subsection (5) of that section there shall be inserted the following subsection—

The preceding provisions of this section apply to notices sent and orders made on or after the day on which this Act is passed.

Paragraph 5 of Schedule 4 to the Value Added Tax Act 1994 (disposal of business assets) shall be amended as follows.

In sub-paragraph (2)(a) (exception for gifts of small value), for “is" there shall be substituted “ of acquiring or, as the case may be, producing the goods was ”.

After sub-paragraph (2) there shall be inserted the following sub-paragraph—

In sub-paragraph (5) (transactions without consideration to be treated as supplies under paragraph 5 only where the supplier is a person entitled to credit for input tax), for “is" there shall be substituted “ or any of his predecessors is a person who (disregarding this paragraph) has or will become ”.

After that sub-paragraph there shall be inserted the following sub-paragraph—

The preceding provisions of this section apply to any case where the time when the goods are transferred or disposed of or, as the case may be, put to use, used or made available for use is on or after 17th March 1998.

In the Value Added Tax Act 1994 the following section shall be inserted after section 97 (orders, rules and regulations)—

In section 6 of the Value Added Tax Act 1994 (time of supply), after subsection (14) there shall be inserted the following subsection—

This section shall be deemed to have come into force on 17th March 1998.

In subsection (1)(a) of section 36 of the Value Added Tax Act 1994 (bad debts), the words “for a consideration in money" shall be omitted.

In subsection (3) of that section—

After that subsection there shall be inserted the following subsection—

In subsection (5) of that section—

In subsection (6) of that section, in paragraphs (b) and (c) for “a payment" there shall in each place be substituted “ anything received ”.

In subsection (7) of that section, for “part payment" there shall be substituted “ receipt of part of the consideration ”.

Subsections (1) to (3) above have effect in relation to claims made on or after the day on which this Act is passed.

The Taxes Act 1988 shall have effect for the year 1999-00 and subsequent years of assessment with the following amendments—

For the purposes only of applying section 257C of the Taxes Act 1988 (indexation) for the year 1999-00, the amounts specified for the year 1998-99 in subsections (2) and (3) of section 257A of that Act (married couple’s allowance for persons of 65 or more) shall be taken to have been £4,965 and £5,025, respectively.

Corporation tax shall be charged for the financial year 1998 at the rate of 31 per cent.

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Corporation tax shall be charged for the financial year 1999 at the rate of 30 per cent.

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After section 59DA of the Taxes Management Act 1970 there shall be inserted—

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No company resident in the United Kingdom shall be liable to pay advance corporation tax in respect of any qualifying distribution made on or after 6th April 1999.

For the purposes of the Tax Acts, no distribution made on or after 6th April 1999 shall be treated as giving rise to the making of a franked payment.

No franked investment income which is attributable to a distribution made on or after 6th April 1999 shall be used to frank any distributions of a company.

Section 238(3) of the Taxes Act 1988 shall apply for the purposes of subsection (3) above as it applies for the purposes of Chapter V of Part VI of that Act.

Schedule 3 to this Act (which makes provision for and in connection with the abolition of advance corporation tax) shall have effect.

The Treasury may by regulations make provision for or in connection with enabling unrelieved surplus advance corporation tax to be set against liability to corporation tax on profits charged to corporation tax for accounting periods ending on or after 6th April 1999 (and thus to discharge a corresponding amount of any such liability).

Without prejudice to the generality of subsection (1) above, regulations under this section may make provision—

The provision which may be made by regulations under this section includes provision—

The provision which may be made by virtue of subsection (2)(c) above includes provision for or in connection with the recovery of corporation tax from a company which has a prescribed relationship or connection with a company whose liability to corporation tax is or has been discharged by the set-off of unrelieved surplus advance corporation tax.

The provision which may be made by regulations under this section includes provision for or in connection with enabling unrelieved surplus advance corporation tax to be set against liability to a sum charged at step 5 in section 371BC(1) of the Taxation (International and Other Provisions) Act 2010 (controlled foreign companies) as if it were an amount of corporation tax for an accounting period.

In this section “unrelieved surplus advance corporation tax” means the advance corporation tax (if any) which, apart from sub-paragraph (3) of paragraph 12 of Schedule 3 to this Act but otherwise in accordance with that paragraph, would be treated by virtue of section 239(4) of the Taxes Act 1988 as paid in respect of distributions made by a company in the first accounting period of the company to begin on or after 6th April 1999.

The reference in subsection (6) above to an accounting period beginning on or after 6th April 1999 includes a reference to a separate accounting period mentioned in section 245(2) of the Taxes Act 1988 which begins on 6th April 1999.

Regulations under this section—as the Treasury think necessary or expedient for or in connection with giving effect to the provisions of this section.

Regulations under this section which apply any provisions of the Tax Acts may apply those provisions either without modifications or with such modifications as the Treasury think necessary or expedient for or in connection with giving effect to the provisions of this section.

Regulations under this section—

Regulations under this section may make provision in relation to accounting periods beginning before (as well as accounting periods beginning on or after) the date on which the regulations are made.

In this section—“modifications” includes amendments, additions and omissions;“prescribed” means prescribed by regulations made under this section.

Section 90 of the Taxes Management Act 1970 (interest on overdue tax to be paid without deduction of income tax and not to be allowed as a deduction in computing income, profits or losses) shall be amended as follows.

At the beginning there shall be inserted “(1)" and in the subsection (1) so formed—

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Section 826 of the Taxes Act 1988 (interest on tax overpaid) shall be amended as follows.

In subsection (5) (interest on overpaid tax to be paid without deduction of income tax and not to be brought into account in computing profits or income)—

At the beginning of the paragraph (b) formed by subsection (2)(b) above (interest not to be brought into account in computing profits or income) there shall be inserted “subject to subsection (5A) below,".

After subsection (5) there shall be inserted—

The amendments made by subsections (3) and (4) above have effect in relation to interest payable by virtue of any paragraph of section 826(1) of the Taxes Act 1988 if the accounting period mentioned in that paragraph is one which ends on or after the day appointed under section 199 of the Finance Act 1994 for the purposes of Chapter III of Part IV of that Act (corporation tax self-assessment).

Section 51B of the Taxes Act 1988 (which enables provision to be made requiring tax on interest on gilt-edged securities to be accounted for periodically) shall cease to have effect.

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The preceding provisions of this section have effect in relation only to payments of interest falling due on or after such day as the Treasury may by order appoint.

The provisions of Schedule 5 to this Act have effect with respect to tax on rents and other receipts from land. Part I contains amendments relating to the charge to tax under Schedule A or Case V of Schedule D on rents and other receipts from land. Part II contains amendments about relief for losses incurred in a Schedule A business or overseas property business, and the relationship between such relief and other reliefs. Part III contains minor and consequential amendments.

So far as relating to income tax, the provisions of Parts I to III of that Schedule have effect for the year 1998-99 and subsequent years of assessment.

So far as relating to corporation tax, the provisions of Parts I to III of that Schedule come into force on 1st April 1998, subject to the transitional provisions in Part IV of the Schedule.

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In section 156 of the Taxation of Chargeable Gains Act 1992 (replacement of business assets: buildings and land), for subsection (4) substitute—.

The above amendments have effect on and after 17th March 1998, subject to the following transitional provisions. In those provisions—“before commencement” and “after commencement” mean, respectively, before 17th March 1998 and on or after that date; and“the new section 98” means the section as substituted by subsection (1) above.

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In the provisions of the Tax Acts which refer to the subject of the charge under Case I or II of Schedule D as “profits or gains” or “profits and gains" of a trade, profession or vocation—The provisions affected are listed in Schedule 7 to this Act.

The Taxation of Chargeable Gains Act 1992 shall be amended as follows.

After subsection (5) of section 120 (increase of expenditure by reference to tax charged in relation to shares) there shall be inserted the following subsections—

In subsection (7) of that section—

After that subsection there shall be inserted the following subsection—

After section 149A there shall be inserted the following section—

This section has effect in relation to disposals on or after 17th March 1998 of interests and shares acquired on or after that date.

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Subsections (1) and (2) above have effect in relation to—

Subject to subsection (6) below, subsection (2) below applies if—

Where this subsection applies, then, subject to subsections (4) and (5) below—

Subsection (4) below applies if—

Where this subsection applies then, notwithstanding the deemed discontinuance, the old trade and the new trade shall be treated as the same for the purposes of section 83 of the Income Tax Act 2007 (carry-forward of losses against subsequent profits).

An officer of the Board shall not become entitled by virtue of anything in this section to give a direction under paragraph 3(2) of Schedule 20 to the Finance Act 1994 (power to revise assessment so that made on the actual basis) in the case of a person whose trade is deemed under subsection (2) above to cease on 5th April 1998.

Subsection (2) above does not apply if the sub-contractor by notice to an officer of the Board otherwise elects.

An election under subsection (6) above—

In this section “construction trade” means a trade consisting in or including the rendering of services under contracts relating to construction operations (within the meaning of section 74 of the Finance Act 2004).

Where at any time on or after 17th March 1998 and before the day on which this Act is passed any election corresponding to an election under subsection (6) above has been made under a resolution of the House of Commons having effect in accordance with the provisions of the Provisional Collection of Taxes Act 1968, this section has effect, on and after the day on which this Act is passed, as if that election were an election under subsection (6) above.

In section 158 of the Taxes Act 1988 (car fuel) for the Tables in subsection (2) (tables of cash equivalents) there shall be substituted—

This section shall have effect for the year 1998-99 and subsequent years of assessment.

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Schedule 13 to this Act, which amends the provisions mentioned in subsection (2) below, shall have effect.

The provisions are—

Unless the contrary intention appears, the amendments made by that Schedule have effect in relation to shares issued on or after 6th April 1998.

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The amendments made by this section shall be deemed always to have had effect.

The repeal by section 30(4) of the Finance (No. 2) Act 1997 of section 231(2) of the Taxes Act 1988 (payment of tax credit to a company resident in the UK) shall not have effect in relation to any distribution made to a friendly society before 6th April 2004 which is—

In relation to any distribution falling within paragraph (a) or (b) of subsection (1) above—

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Schedule 8 to the Finance (No. 2) Act 1997 (repeals), so far as it relates to any repeal referred to in the preceding provisions of this section, shall have effect subject to those provisions.

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In section 9 of the Taxes Management Act 1970 (self-assessment), in subsection (1), for “subsection (2)" there shall be substituted “ subsections (1A) and (2) ”; and after that subsection there shall be inserted the following subsection—

Subsection (2) above shall have effect for the year 1998-99 and subsequent years of assessment and shall be deemed to have had effect for the years 1996-97 and 1997-98.

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Section 471 of the Taxes Act 1988 (exchange of securities in connection with conversion operations, nationalisation etc.) shall cease to have effect.

Section 472 of that Act (distribution of securities issued in connection with nationalisation etc.) shall cease to have effect.

Subsection (1) above applies in relation to exchanges made after the day on which this Act is passed.

Subsection (2) above applies in relation to issues of securities occurring after that day.

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In section 737D of the Taxes Act 1988 (power by regulations to provide for manufactured payments to be eligible for relief) in subsection (2) (which defines manufactured payment as any manufactured dividend etc) the words “manufactured dividend" shall cease to have effect.

Schedule 23A to the Taxes Act 1988 (manufactured dividends and interest) shall be amended in accordance with subsections (5) to (8) below.

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In paragraph 2(3) (manufactured dividends to which paragraph 2(2) does not apply) paragraph (a) (duty to account for notional ACT) shall cease to have effect.

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In consequence of subsection (6) above, the following provisions shall also cease to have effect—

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Subsections (2) to (8) above have effect in relation to manufactured dividends paid (or treated for the purposes of Schedule 23A to the Taxes Act 1988 as paid) on or after 6th April 1999.

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In the Finance Act 1996—

Subject to subsection (6) below, this section and Schedule 16 to this Act have effect (in relation to provision made or imposed at any time)—

The Schedule 28AA to the Taxes Act 1988 that is inserted by subsection (2) above shall not, in the case of any potentially advantaged person, apply as respects the consequences at any time of the difference between the actual provision and the arm’s length provision if—

Expressions used in subsection (6) above and in Schedule 28AA to the Taxes Act 1988 have the same meanings in that subsection as in that Schedule.

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Part II of Schedule 25 to the Taxes Act 1988 (exempt activities) shall be amended as follows.

In paragraph 9 (activities which constitute investment business) for sub-paragraph (1A) (definition of “intellectual property") there shall be substituted—

In paragraph 11(1) (activities which constitute wholesale, distributive or financial business) for paragraph (c) (banking or any similar business involving the receipt of deposits, loans or both and the making of loans or investments) there shall be substituted—.

In consequence of subsection (3) above—

This section has effect in relation to accounting periods of a controlled foreign company, within the meaning of Chapter IV of Part XVII of the Taxes Act 1988, beginning on or after 17th March 1998.

The provisions of Schedule 18 to this Act have effect in place of—

Schedule 18 to this Act, the Taxes Management Act 1970 and the Tax Acts shall be construed and have effect as if that Schedule were contained in that Act.

The enactments mentioned in Schedule 19 to this Act have effect with the amendments specified there, which are minor amendments and amendments consequential on Schedule 18.

Except as otherwise provided, the provisions of Schedules 18 and 19 to this Act have effect in relation to accounting periods ending on or after the self-assessment appointed day.

In this section “the self-assessment appointed day” means the day appointed by the Treasury under section 199 of the Finance Act 1994 for the purposes of Chapter III of Part IV of that Act (corporation tax self-assessment).

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Schedule 21 to this Act (which makes incidental and consequential provision in connection with the introduction of taper relief) shall have effect.

This section and those two Schedules have effect for the year 1998-99 and subsequent years of assessment.

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In section 13 of that Act (attribution of gains to non-resident companies), the following subsection shall be inserted after subsection (11)—

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Subject to subsection (7) below, the preceding provisions of this section have effect in relation to disposals on or after 6th April 1998.

This section does not affect the computation of the amount of so much of any gain as—

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In subsection (3) of that section (interpretation), for “ “a new holding” is" there shall be substituted “ “a section 104 holding” is ”.

For subsection (4) of that section there shall be substituted the following subsection—

In the following enactments for the words “new holding", wherever they occur, there shall be substituted “ section 104 holding ”, namely—

The preceding provisions of this section have effect in relation to any disposal on or after 6th April 1998 of any securities (whenever acquired).

The powers of the Treasury to make provision by regulations under one or more of—shall include power to provide, to such extent as appears to them to be appropriate for purposes connected with the enactment of this section and section 124 below, for any provision contained in any such regulations to have effect retrospectively in relation to such times falling on or after 17th March 1998 as may be specified in the regulations.

After section 106 of the Taxation of Chargeable Gains Act 1992 there shall be inserted the following section—

In subsection (1) of section 105 of that Act (disposal and acquisition on the same day), for “The following provisions" there shall be substituted “ Paragraphs (a) and (b) below ”; and for subsection (2) of that section there shall be substituted the following subsection—

In section 107 of that Act (general identification rules) for subsections (1) and (2) there shall be substituted the following subsections—

In section 108 of that Act (relevant securities), at the beginning there shall be inserted the following subsection—

In that section—

In each of section 151B(1) and (7) of that Act and paragraph 4(2) of Schedule 5C to that Act (disapplication of share pooling and identification rules in relation to shares in a VCT), for “107" there shall be substituted “ 106A ”.

Subject to subsection (8) below, the preceding provisions of this section have effect in relation to any disposal on or after 6th April 1998.

For the purposes of capital gains tax for the year 1997-98 (but not for the purposes of corporation tax), the following provisions have effect in relation to any disposal of securities made on or after 17th March 1998 and before 6th April 1998, that is to say—

In subsection (8) above “securities” means any securities within the meaning of section 104 of the Taxation of Chargeable Gains Act 1992 or any relevant securities within the meaning of section 108 of that Act.

In subsection (1) of section 110 of the Taxation of Chargeable Gains Act 1992 (indexation allowance for section 104 holdings), for “This" there shall be substituted “ For the purposes of corporation tax this ”.

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Subject to subsection (5) below, the preceding provisions of this section have effect in relation to disposals on or after 6th April 1998.

This section does not affect the computation of the amount of so much of any gain as—

For sections 141 and 142 of the Taxation of Chargeable Gains Act 1992 (stock dividends) there shall be substituted the following section—

This section applies to any share capital issued on or after 6th April 1998.

After section 10 of the Taxation of Chargeable Gains Act 1992 there shall be inserted the following section—

In section 9(3) of that Act (exclusion from charge of persons temporarily resident), for “section 10(1)" there shall be substituted “ sections 10(1) and 10A ”.

In section 96 of that Act (payments by and to companies), after subsection (9) there shall be inserted the following subsections—

This section has effect—

In section 76 of the Taxation of Chargeable Gains Act 1992 (disposal of interests in settled property)—

The subsections inserted after subsection (1) are as follows—

The subsection inserted after subsection (2) is as follows—

This section has effect in relation to any disposal on or after 6th March 1998.

After section 86 of the Taxation of Chargeable Gains Act 1992 there shall be inserted the following section—

In section 97(1) to (5), (7) and (8) of that Act (interpretation of sections 87 to 96), for the words “sections 87", wherever occurring, there shall be substituted “ sections 86A ”.

This section has effect where the year of departure is the year 1997-98 or any subsequent year of assessment.

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In subsection (1) of section 88 of that Act (charge on beneficiaries of a settlement treated as resident outside the United Kingdom if the settlor is or has been domiciled and resident in the United Kingdom)—

Subject to subsection (4) below, the preceding provisions of this section apply for the year 1998-99 and subsequent years of assessment and shall be deemed to have applied for the year 1997-98.

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In paragraph 2 of Schedule 5 to the Taxation of Chargeable Gains Act 1992 (test whether settlor has interest)—

For sub-paragraph (7) of that paragraph, there shall be substituted the following sub-paragraph—

Schedule 22 to this Act (which makes transitional provision and consequential amendments in connection with the provisions of this section) shall have effect.

The preceding provisions of this section and Schedule 22 to this Act apply for the year 1998-99 and subsequent years of assessment and shall be deemed to have applied for the year 1997-98.

In paragraph 9 of Schedule 5 to the Taxation of Chargeable Gains Act 1992 (which sets out when a settlement is a qualifying settlement for the purposes of the attribution of gains to the settlor), after sub-paragraph (1) there shall be inserted the following sub-paragraphs—

Sub-paragraph (2) of that paragraph shall not have effect for the purpose of determining whether any settlement is a qualifying settlement in the year 1999-00 or any subsequent year of assessment.

After sub-paragraph (6) of that paragraph there shall be inserted the following sub-paragraph—

After sub-paragraph (10) of that paragraph there shall be inserted the following sub-paragraphs—

In construing section 86(1)(e) of the Taxation of Chargeable Gains Act 1992 (which specifies the amount by reference to which a charge arises under that section) as regards a particular year of assessment and in relation to a settlement created before 19th March 1991 which—no account shall be taken of disposals made before 6th April 1999 (whether for the purpose of arriving at gains or for the purpose of arriving at losses).

Schedule 23 (which makes transitional provision in connection with the coming into force of this section) shall have effect.

After section 101 of the Taxation of Chargeable Gains Act 1992, there shall be inserted the following section—

In section 179 of that Act (company ceasing to be a member of a group), after subsection (2B) there shall be inserted the following subsection—

Subsections (1) and (2) above apply to any company which becomes an investment trust for an accounting period beginning on or after 17th March 1998.

In subsection (4) of section 139 of the Taxation of Chargeable Gains Act 1992 (reconstruction or amalgamation involving transfer of a business), after “investment trust" there shall be inserted “ or a venture capital trust. ”

After the section 101A of that Act inserted by section 133 above there shall be inserted the following section—

After subsection (1A) of section 101 of that Act there shall be inserted the following subsection—

Subsection (1) above applies to transfers made on or after 17th March 1998.

Subsections (2) and (3) above apply to a company in respect of which an approval for the purposes of Part 6 of the Income Tax Act 2007 (venture capital trusts) has effect as from a time falling on or after 17th March 1998.

In section 171 of the Taxation of Chargeable Gains Act 1992 (transfers within a group), after the word “or" at the end of paragraph (c) of subsection (2) there shall be inserted the following paragraph—

After the section 101B of that Act inserted by section 134 above there shall be inserted the following section—

In section 179 of that Act (company ceasing to be a member of a group), after the subsection (2C) inserted by section 133 above there shall be inserted the following subsection—

Subsection (1) above applies to disposals made on or after 17th March 1998.

Subsections (2) and (3) above apply to a company in respect of which an approval for the purposes of Part 6 of the Income Tax Act 2007 (venture capital trusts) has effect as from a time falling on or after 17th March 1998.

In section 170(9) of the Taxation of Chargeable Gains Act 1992 (meaning of “company” in sections 170 to 181), after the word “and" at the end of paragraph (c) there shall be inserted the following paragraph—.

In subsection (2) of section 171 of that Act (transfers within a group), after the word “or" at the end of the paragraph (cc) inserted by section 135 above there shall be inserted the following paragraph—

After subsection (4) of that section there shall be inserted the following subsection—

Subsection (1) above applies for the purpose of determining, in relation to times on and after 17th March 1998, whether a friendly society is a company within the meaning of the provisions of sections 170 to 181 of the Taxation of Chargeable Gains Act 1992.

Subsections (2) and (3) above apply in relation to disposals made on or after 17th March 1998.

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In subsection (3) of section 213 of that Act (carry back of losses in respect of deemed annual disposal by insurance companies)—

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Subsection (3) above has effect in relation to any intervening period ending on or after 17th March 1998.

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In section 179(2B) of the Taxation of Chargeable Gains Act 1992 (cases where there is a connection between groups successively left by a company)—

Subsection (1) above has effect in relation to a company in any case in which the time of the company’s ceasing to be a member of the second group is on or after 17th March 1998.

In Schedule 6 to the Taxation of Chargeable Gains Act 1992 (retirement relief etc.), paragraph 13(1) (amount available for relief: basic rule) shall have effect, in relation to qualifying disposals in a year of assessment specified in the first column of the following Table, as if—

The following provisions, namely—shall cease to have effect in relation to disposals in the year 2003-04 and subsequent years of assessment.

In section 157 of that Act (trade carried on by family company), for the words “within the meaning of Schedule 6" there shall be substituted the words “ that is to say, a company the voting rights in which are exercisable, as to not less than 5 per cent., by him ”.

In subsection (8) of section 165 of that Act (relief for gifts of business assets), for paragraph (a) there shall be substituted the following paragraphs—.

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Subsections (3) to (5) above have effect in relation to the year 2003-04 and subsequent years of assessment.

The following provisions of the Taxation of Chargeable Gains Act 1992 shall cease to have effect, namely—

In subsection (1) above—

Section 26 of the Inheritance Tax Act 1984 (gifts for public benefit) shall not apply to any transfer of value made on or after 17th March 1998.

Accordingly, in that Act, in relation to any transfer of value made on or after 17th March 1998—

In relation to any property becoming the property of any person on or after 17th March 1998, in section 56(4) and (7) of that Act (exclusion of exemptions in relation to the acquisition of reversionary interests), for the words “to 26", in each place where they occur, there shall be substituted “ to 25 ”.

In section 76 of that Act (tax not charged on property becoming property held for charitable purposes etc.)—

Subsection (4) above has effect in relation to property which ceases to be relevant property, or to be property to which any of sections 70 to 74 of the Inheritance Tax Act 1984 or paragraph 8 of Schedule 4 to that Act applies, on or after 17th March 1998.

In relation to any property becoming the property of a body on a transfer of value made on or after 17th March 1998, in section 161(2)(b) of that Act (related property), for “25 or 26" there shall be substituted “ or 25 ”.

In relation to any disposal on or after 17th March 1998, in section 258(2) of the Taxation of Chargeable Gains Act 1992 (gains on disposal of works of art etc.), in paragraph (a), for “1984 Act" there shall be substituted “ Inheritance Tax Act 1984 (“the 1984 Act") ”.

In section 27 of the Inheritance Tax Act 1984 (exemption for transfers into maintenance funds for historic buildings etc.), at the beginning of subsection (1) there shall be inserted “ Subject to subsection (1A) below, ” and after that subsection there shall be inserted the following subsection—

This section has effect in relation to transfers of value made on or after 17th March 1998.

Schedule 6A to the Finance Act 1994 (premiums liable to tax at the higher rate) shall be amended as follows.

For paragraph 4 (travel insurance) there shall be substituted—

Except as provided by subsection (4) below, subsections (1) and (2) above have effect in relation to a premium which falls to be regarded for the purposes of Part III of the Finance Act 1994 as received under a taxable insurance contract by an insurer on or after 1st August 1998.

Subsections (1) and (2) above do not have effect in relation to a premium if the premium—

In the application of sections 67A to 67C of the Finance Act 1994 in relation to the increase in insurance premium tax effected by this section and the exception from that increase—

Section 52A of the Finance Act 1994 (certain fees to be treated as premiums under higher rate contracts) shall be amended as follows.

In subsection (5) (which defines a “taxable intermediary" as a person falling within subsection (6) of that section etc) after “subsection (6)" there shall be inserted “ or (6A) ”.

For subsections (6) and (7) there shall be substituted—

In subsection (9) (definitions) the definition of “tour operator" and “travel agent" shall be omitted.

The amendments made by this section have effect in relation to payments in respect of fees charged on or after 1st August 1998.

In section 1(1) of the Provisional Collection of Taxes Act 1968 (taxes in relation to which resolutions may have temporary statutory effect), after “insurance premium tax," there shall be inserted “ landfill tax, ”.

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Section 55 of the Finance Act 1963 and section 4 of the Finance Act Northern Ireland) 1963 (both of which provide for rates of stamp duty on conveyance or transfer on sale) shall each be amended as follows.

In subsection (1)(d) (rate of £1.50p for every £100 etc where consideration does not exceed £500,000 and the instrument is certified at that amount) for “£1.50p" there shall be substituted“ £2 ”.

In subsection (1)(e) (rate of £2 for every £100 etc) for “£2" there shall be substituted“ £3 ”.

This section shall apply to instruments executed on or after 24th March 1998, except where the instrument in question is executed in pursuance of a contract made on or before 17th March 1998.

This section shall be deemed to have come into force on 24th March 1998.

Where an instrument which is chargeable with stamp duty in Great Britain and in Northern Ireland has been stamped in either of those parts of the United Kingdom—

An instrument which, by virtue of paragraph (b) of subsection (1) above, is not deemed to have been duly stamped in a part of the United Kingdom unless and until stamped with a stamp denoting an amount equal to the excess mentioned in that paragraph may, notwithstanding anything in section 15 of the Stamp Act 1891, be stamped with such a stamp without payment of any penalty at any time within 30 days after it has first been received in that part of the United Kingdom.

In section 22 of the Stamp Duties Management Act 1891 (discontinuance of dies) for the words from “London" to “Gazettes" there shall be substituted “ London, Edinburgh and Belfast Gazettes ”.

Section 29 of the Government of Ireland Act 1920 (the provisions of which are either spent or re-enacted with modifications in subsection (1) above) shall cease to have effect.

The saving in Part I of Schedule 6 to the Northern Ireland Constitution Act 1973 (repeals) for orders made under section 69 of the Government of Ireland Act 1920 shall cease to have effect in relation to Part IV of the Government of Ireland (Adaptation of the Taxing Acts) Order 1922 (the provisions of which are either spent or re-enacted with modifications in subsections (2) and (3) above).

In section 95 of the Finance Act 1986 (depositary receipts; exceptions) in subsection (3) (exchanges) after paragraph (b) there shall be added— “ and the shares in company Y are held under a depositary receipt scheme. ”

At the end of that section there shall be added—

In section 97 of the Finance Act 1986 (clearance services: exceptions) in subsection (4) (exchanges) after paragraph (b) there shall be added— “ and the shares in company Y are held under a clearance services scheme. ”

At the end of that section there shall be added—

In section 99(10) of the Finance Act 1986 (which makes provision in relation to the interpretation of “chargeable securities” in sections 93, 94, 96 and 97A)—

This section applies where the issue by company X referred to in section 95(3) or (6) or 97(4) or (7) of the Finance Act 1986 is an issue on or after 1st May 1998.

Paragraph 3A of Schedule 3 to the Oil Taxation Act 1975 (market value of light gases) shall have effect, and be deemed always to have had effect, with the insertion of the following sub-paragraph after sub-paragraph (3)—

Paragraph 12 of Schedule 2 to the Oil Taxation Act 1983 (purchase of oil at place of extraction) shall have effect and, in relation to light gases disposed of or appropriated at any time on or after 3rd May 1994, be deemed to have had effect—

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This section applies to securities issued by or on behalf of the Treasury, here referred to as Treasury securities.

Any powers which relate to Treasury securities and which are conferred on the Treasury in a capacity other than issuer may be exercised by them, and no rule of law preventing a person contracting with himself shall prevent them exercising the powers.

The powers referred to in subsection (2) above include powers to acquire, hold and transfer securities and to make agreements with regard to them.

If Treasury securities are acquired under powers conferred on the Treasury, until they are transferred or redeemed they shall be treated as held by the persons for the time being constituting the Treasury.

In section 8 of the Treasury Bills Act 1877 (mode of issue of Treasury bills) the following shall be substituted for paragraph (1)—

This section shall apply in relation to issues made on or after such day as the Treasury may appoint by order made by statutory instrument.

Subject to the following provisions of this section, any gilt-edged security issued before 6th April 1998 without FOTRA conditions shall be treated in relation to times on or after that date as if—

Where a gilt-edged security falls to be treated as mentioned in subsection (1) above that treatment shall have effect—

No charge to tax shall be treated as arising under section 65 of the Inheritance Tax Act 1984 (property becoming excluded property) by reason only of the coming into force of this section.

In this section “FOTRA conditions” means any such conditions about exemption from taxation as are authorised in relation to the issue of a gilt-edged security by virtue of section 22 of the Finance (No. 2) Act 1931.

In this section “the post-1996 Act conditions” means the FOTRA conditions with which 7.25% Treasury Stock 2007 was first issued by virtue of section 22 of the Finance (No. 2) Act 1931.

In this section “gilt-edged securities” means any securities which are gilt-edged securities for the purposes of the Taxation of Chargeable Gains Act 1992.

This section does not apply to any 3½% War Loan 1952 Or After which was issued with a condition authorised by virtue of section 47 of the Finance (No. 2) Act 1915.

Subject to subsection (2) below, in each of the following provisions (which provide for annual statements of account as respects years ending with 31st December to be prepared in relation to deposits with the National Savings Bank), that is to say—for “31st December" there shall be substituted “ 31st March ”.

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In section 19(2) of the National Savings Bank Act 1971 (delivery of statement under section 19(1) to the Comptroller and Auditor General), for the words from “before the end of May" to “that year" there shall be substituted “ before the end of August next following the end of any period for which a statement falls to be prepared under subsection (1) above, transmit the statement for that period ”.

In section 20 of that Act (adjustment of balances)—

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The Treasury may, to such extent as appears to them appropriate in connection with any of the matters falling within subsection (2) below, by regulations modify the application and effect as respects—of any enactment or subordinate legislation relating to any matter for which the Commissioners for Her Majesty’s Revenue and Customs are responsible and to which section 7 of the Commissioners for Revenue and Customs Act 2005 (former Inland Revenue matters) applies.

The matters falling within this subsection are—

Without prejudice to the generality of subsection (1) above, the power conferred by that subsection includes power by regulations to provide—

The power to make regulations under this section includes—

The power to make regulations under this section shall be exercisable by statutory instrument subject to annulment in pursuance of a resolution of the House of Commons.

In this section—“enactment” includes any enactment contained in this Act (other than this section) and any enactment passed after this Act;“other member State” means a member State other than the United Kingdom;“subordinate legislation” has the same meaning as in the Interpretation Act 1978.

References in this section to the adoption of the single currency are references to the adoption of the single currency in accordance with the Treaty establishing the European Community, and the reference in subsection (3)(a) above to that currency shall be construed accordingly.

The enactments mentioned in Schedule 27 to this Act (which include spent provisions) are hereby repealed to the extent specified in the third column of that Schedule.

The repeals specified in that Schedule have effect subject to the commencement provisions and savings contained or referred to in the notes set out in that Schedule.

In sub-paragraph (1) of paragraph 3 of Schedule 1 to the 1994 Act (annual rates of vehicle excise duty for buses), after “bus" there shall be inserted “ with respect to which the reduced pollution requirements are not satisfied ”.

After that sub-paragraph there shall be inserted the following sub-paragraph—

In sub-paragraph (6) of that paragraph, for “which falls" there shall be substituted.

In paragraph 6 of that Schedule (annual rates of vehicle excise duty for vehicles used for exceptional loads), in sub-paragraph (2), for “the heavy tractive unit rate" there shall be substituted “ the rate specified in sub-paragraph (2A). ”

After that sub-paragraph there shall be inserted the following sub-paragraph—

Sub-paragraph (3A) of that paragraph shall cease to have effect.

In paragraph 7 of that Schedule (annual rates of vehicle excise duty for haulage vehicles), in sub-paragraph (1)(b), for “the general haulage vehicle rate" there shall be substituted “ the rate specified in sub-paragraph (3A) ”.

In sub-paragraph (3) of that paragraph, for “which falls" there shall be substituted.

After that sub-paragraph there shall be inserted the following sub-paragraph—

Sub-paragraphs (4), (5) and (6) of that paragraph shall cease to have effect.

In sub-paragraph (1) of paragraph 9 of that Schedule (annual rates of vehicle excise duty for rigid goods vehicles), after “which" there shall be inserted “ is not a vehicle with respect to which the reduced pollution requirements are satisfied and which ”.

In sub-paragraph (3) of that paragraph, for the words from “which has" to the end of the sub-paragraph there shall be substituted

In sub-paragraph (4) of that paragraph, for “which falls" there shall be substituted.

Sub-paragraph (5) of that paragraph shall cease to have effect.

In sub-paragraph (1) of paragraph 11 of that Schedule (annual rates of vehicle excise duty for tractive units), after “which" there shall be inserted “ is not a vehicle with respect to which the reduced pollution requirements are satisfied and which ”.

In sub-paragraph (3) of that paragraph, for the words from “which has" to the end of the sub-paragraph there shall be substituted

In sub-paragraph (4) of that paragraph, for “which falls" there shall be substituted.

Sub-paragraph (5) of that paragraph shall cease to have effect.

Paragraph 22 of Schedule 2 to that Act (exemption in relation to vehicle testing) shall be amended as follows.

In sub-paragraph (1)—

In sub-paragraph (2), after “vehicle weight test" there shall be inserted “ , a reduced pollution test ”.

In sub-paragraph (2A), after “compulsory test", in each place it occurs, there shall be inserted “ or a reduced pollution test ”.

In sub-paragraph (3), after “compulsory test" there shall be inserted “ , or a reduced pollution test, ”.

After sub-paragraph (6A) there shall be inserted the following sub-paragraph—

In sub-paragraph (6B), for “or vehicle weight test" there shall be substituted “ , a vehicle weight test or a reduced pollution test ”.

In sub-paragraphs (8) and (9), the word “or” shall be inserted at the end of paragraphs (a) and (c) and after paragraph (c) there shall be inserted the following paragraph—

Subject to sub-paragraph (2) below, the preceding provisions of this Schedule shall come into force in relation to licences issued on or after such day as the Secretary of State may by order made by statutory instrument appoint; and different days may be appointed under this sub-paragraph for different purposes.

Paragraphs 1, 2, 15 and 16 above come into force with the passing of this Act.

Section 11 of the Alcoholic Liquor Duties Act 1979 (relief from duty on imported goods not for human consumption containing spirits) shall be amended as follows.

At the beginning there shall be inserted “ (1) ”.

At the end there shall be inserted—

Section 13AB of the Hydrocarbon Oil Duties Act 1979 (misuse of kerosene) shall be amended as follows.

For subsection (1)(a) there shall be substituted—.

For subsection (2)(a) there shall be substituted—.

Section 2 of the Finance (No. 2) Act 1992 (power to provide for drawback of excise duty) shall be amended as follows.

In subsection (3) (cancellation of drawback) paragraph (b) and the word “and" immediately preceding it shall be omitted.

After subsection (3) there shall be inserted—

In section 12A of the Finance Act 1994 (other assessments relating to excise duty matters) subsection (3) (amount assessed deemed to be duty due) shall be amended as follows.

At the end of paragraph (b) the word “or" shall be omitted and after that paragraph there shall be inserted—.

In paragraph (c) after “13," there shall be inserted “ 13AB, ” and after that paragraph there shall be inserted—.

In section 12B of the Finance Act 1994, subsection (2) (meaning of relevant time) shall be amended as follows.

After paragraph (e) there shall be inserted—.

In paragraph (f) after “13," there shall be inserted “ 13AB, ”.

After paragraph (g) there shall be inserted—.

Section 109 of the Taxes Management Act 1970 (corporation tax on close company in connection with loans to participators etc) shall be amended as follows.

In subsection (3A) (interest under section 87A on so much of tax under section 419 of Taxes Act 1988 as is referable to amount of loan or advance repaid shall not be payable in respect of any period after repayment made)—

This paragraph has effect in relation to the release or writing off of the whole or part of a debt on or after 6th April 1999.

In section 826(2) of the Taxes Act 1988 (which defines “the material date” for the purposes of interest on overpaid corporation tax) at the beginning there shall be inserted “ Subject to section 826A(2), ”.

After section 826 of the Taxes Act 1988 there shall be inserted—

In section 178 of the Finance Act 1989 (setting of rates of interest) in subsection (2)(m) (which lists the provisions of the Taxes Act 1988 to which the section applies) for “and 826" there shall be substituted “ 826 and 826A(1)(b) ”.

In section 826 of the Taxes Act 1988 (interest on tax overpaid) in subsection (3) (date from which interest runs on a repayment of income tax, or a payment of tax credit, to a company) for the words from “the material date is" to “for the accounting period" there shall be substituted “ the material date is the day after the end of the accounting period ”.

This paragraph has effect in relation to accounting periods ending on or after the day appointed under section 199 of the Finance Act 1994 for the purposes of Chapter III of Part IV of that Act (corporation tax self-assessment).

In section 826 of the Taxes Act 1988 (interest on tax overpaid) after subsection (8) there shall be inserted—

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The amendments made by this paragraph have effect in relation to interest on repayments of corporation tax paid for accounting periods ending on or after the day appointed under section 199 of the Finance Act 1994 for the purposes of Chapter III of Part IV of that Act (corporation tax self-assessment).

Section 87A of the Taxes Management Act 1970 (interest on overdue corporation tax etc) shall be amended as follows.

In each of subsections (4), (4A) and (6) (which refer to corporation tax becoming due and payable as mentioned in subsection (1) of that section) for the words “as mentioned in subsection (1) above" there shall be substituted “ as mentioned in subsection (8) below ”.

After subsection (7) there shall be inserted—

After subsection (8) there shall be inserted—

The amendments made by this paragraph have effect where the accounting period whose due and payable date falls to be determined is an accounting period ending on or after the day appointed under section 199 of the Finance Act 1994 for the purposes of Chapter III of Part IV of that Act (corporation tax self-assessment).

In sub-paragraph (5) above “due and payable date”, in relation to an accounting period, means the date on which corporation tax for that period becomes, or (as the case may be) would become, due and payable.

Section 826 of the Taxes Act 1988 (interest on tax overpaid) shall be amended as follows.

In each of subsections (7), (7A), (7B) and (7C) (which refer to corporation tax becoming due and payable as mentioned in subsection (2) of that section) for the words “as mentioned in subsection (2) above" there shall be substituted “ as mentioned in subsection (7D) below ”.

After subsection (7CA) there shall be inserted—

After subsection (7D) there shall be inserted—

The amendments made by this paragraph have effect where the accounting period whose due and payable date falls to be determined is an accounting period ending on or after the day appointed under section 199 of the Finance Act 1994 for the purposes of Chapter III of Part IV of that Act (corporation tax self-assessment).

In sub-paragraph (5) above “due and payable date”, in relation to an accounting period, means the date on which corporation tax for that period becomes, or (as the case may be) would become, due and payable.

Section 40 of the Taxes Act 1988 (tax treatment of receipts and outgoings on sale of land) is amended as follows.

In subsection (1) for “become receivable or payable on his behalf" substitute “ been received or paid by him ”.

In subsection (3)(b), for the words from “had become receivable" to the end substitute “ had been received or paid directly by him immediately before the time to which the apportionment is made ”.

After subsection (4) insert—.

Omit subsection (5).

Schedule 8 to the Taxation of Chargeable Gains Act 1992 (leases) is amended as follows.

In paragraph 5 (exclusion of premiums taxed under Schedule A, etc.)—

In paragraph 6(2), for the words from “on which tax is paid" onwards substitute “ brought into account by virtue of section 35 of the Taxes Act (charge on assignment of a lease granted at an undervalue) as a receipt of a Schedule A business (within the meaning of that Act) ”.

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For paragraph 7A substitute—.

This Part of this Schedule makes provision with respect to the application of the provisions of Parts I to III of this Schedule for corporation tax purposes.

In this Part of this Schedule—“before commencement” and “after commencement” mean, respectively, before 1st April 1998 and on or after that date; and“the new rules” means the provisions of the Tax Acts relating to Schedule A taxation or, as the case may be, to the taxation under Case V of Schedule D of income from land outside the United Kingdom, as they have effect after commencement.

To the extent that receipts or expenses have been taken into account before commencement, they shall not be taken into account again under the new rules after commencement.

Nothing in section 43 of the Finance Act 1989 (computation of profits: effect of delayed payment of emoluments) shall be construed as affecting the rule in sub-paragraph (1) above.

Where relief under section 41 of the Taxes Act 1988 (relief for rent, etc. not paid) has been given in respect of an amount before commencement, any receipt after commencement shall be taken into account under the new rules.

Any writing off of an amount after commencement shall be taken into account under the new rules, even where it relates to a receipt brought into account before commencement.

A loss to which this paragraph applies which a company would, apart from this Schedule, have been entitled to carry forward under section 396 of the Taxes Act 1988 (Case VI losses) shall be treated after commencement as a loss of an earlier period within section 392A or 392B of that Act and accordingly available to be set off under those provisions.

This paragraph applies to a loss sustained in a business or transaction of a kind that after commencement would be treated as carried on or entered into in the course of a Schedule A business or overseas property business carried on by the company.

The provisions of Parts I to III of this Schedule do not apply in relation to a source which ceases in the course of a company’s transitional accounting period to be a source within the charge to tax under Schedule A or Case V or VI of Schedule D in relation to that company and any other person.

This paragraph does not apply if the company acquired the source in that accounting period or in the preceding twelve months.

In Schedule 12 to the Finance Act 1997 (leasing arrangements: finance leases and loans), the following provisions (which apply concepts from Case I of Schedule D in relation to rent taxed under Schedule A) shall cease to have effect in accordance with this paragraph.

Paragraphs 3(6), 6(9)(b), 8(1) to (7) and 20(b) do not apply in relation to periods of account beginning on or after 1st April 1998. A “period of account” means a period for which accounts are made up.

Paragraph 8(8) does not apply if the time mentioned in that provision is on or after 1st April 1998.

Paragraph 8(9) does not apply if the time mentioned in paragraph (a) of that provision is on or after 1st April 1998.

The amount required by way of adjustment must be calculated (in accordance with paragraph 3) and—

An amount chargeable to tax under this paragraph—

An amount allowable under this paragraph as a deduction in computing profits is treated as an expense of the trade, profession or vocation in the first period for which the new basis is adopted.

The amount of the adjustment is calculated as follows. First step Add together any amounts representing the extent to which, comparing the two bases, profits were understated (or losses overstated) on the old basis:

The references in this paragraph to items being brought into account in a period of account before the change of basis are to their being brought into account—For the purposes of paragraph (a) a trade, profession or vocation is not regarded as the same if section 113(1) or 337(1) of the Taxes Act 1988 applies (deemed discontinuance on change of persons carrying on trade, profession or vocation).

This paragraph provides for the spreading of the adjustment charge in certain cases where an individual—

The cases in which this paragraph applies are where a change of basis is made to comply with that section—

Where this paragraph applies the adjustment charge is spread over ten years of assessment, as follows.

In each of the nine years of assessment beginning with that in which the whole amount would otherwise be chargeable to tax, an amount equal to whichever is the less of—is treated as arising and chargeable to tax. For the purposes of paragraph (b) the profits of the profession or vocation means the profits as computed for the purposes of Case II of Schedule D, leaving out of account any allowances or charges under the the Capital Allowances Act .

In the tenth year of assessment the balance of the adjustment charge is treated as arising and chargeable to tax.

If before the whole of the adjustment charge has been charged to tax the profession or vocation—the preceding provisions of this paragraph continue to apply, but with the omission of the alternative limit in sub-paragraph (4)(b) by reference to profits of the profession or vocation.

This paragraph has effect subject to any election under paragraph 5.

A person who under paragraph 4 is chargeable to tax for a year of assessment on an amount representing part of an adjustment charge may elect that the amount treated as income arising in that year of assessment should be increased.

The election must be made—

The election must specify the amount to be treated as income arising in the year of assessment, which may be any amount up to the whole of the adjustment charge so far as not previously charged to tax.

Where an election has been made, paragraph 4 applies in relation to any subsequent year of assessment as if the original amount of the adjustment charge were reduced by the additional amount treated as arising in the year for which the election was made.

In the case of a trade, profession or vocation carried on in partnership, the amount of any adjustment under this Schedule shall be computed—

Subject to the following provisions of this paragraph, each partner’s share of any amount chargeable to tax under paragraph 2 shall be determined according to the profit-sharing arrangements for the twelve months ending immediately before the date on which the new accounting basis was adopted.

If paragraph 4 applies (spreading of adjustment charge in certain cases), then, subject to sub-paragraph (4) below—

If paragraph 4(6) applies (effect of discontinuance of profession or vocation), then—

For the purposes of this paragraph—

The provisions of section 111 of the Taxes Act 1988 (general provisions as to taxation of partnerships), except subsection (1) (partnership not to be treated as separate entity), do not apply to the extent that the preceding provisions of this paragraph apply.

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In subsections (1) and (2) of section 150A of the Taxation of Chargeable Gains Act 1992 (enterprise investment schemes), the word “eligible" shall cease to have effect.

In subsection (4)(a) of that section, for the words “issued to a person at different times a disposal relates" there shall be substituted the words “ acquired by an individual at different times a disposal relates to ”.

In subsection (5) of that section, for the words “Sections 104, 105 and 107" there shall be substituted the words “ Sections 104, 105 and 106A ”.

For subsection (6) of that section there shall be substituted the following subsections—

In subsection (8A)(a) of that section, the word “preferential", in the second place where it occurs, shall cease to have effect.

After subsection (8C) of that section there shall be inserted the following subsection—

After subsection (10) of that section there shall be inserted the following subsection—

In this paragraph—

In subsection (1) of section 150B of that Act (enterprise investment scheme: reduction of relief), the word “eligible" shall cease to have effect.

This paragraph has effect in relation to disposals made on or after 6th April 1998.

In sub-paragraph (1)(b) of paragraph 1, after the words “in accordance with" there shall be inserted the words “ section 164F or 164FA, ”.

For sub-paragraphs (2) and (3) of that paragraph there shall be substituted the following sub-paragraphs—

In sub-paragraph (1) of paragraph 3—

Sub-paragraph (2) of that paragraph shall cease to have effect.

After sub-paragraph (5) of that paragraph there shall be inserted the following sub-paragraph—

For sub-paragraphs (2) to (4) of paragraph 4 there shall be substituted the following sub-paragraphs—

In sub-paragraph (5)(b) of that paragraph, for the words “the assumptions for which sub-paragraph (3) above provides" there shall be substituted the words “ sub-paragraphs (3) to (4A) above ”.

This paragraph has effect in relation to disposals made on or after 6th April 1998.

In subsection (8) of section 293 of the Taxes Act 1988 (qualifying companies), for the words “Subject to sections 308 and 309" there shall be substituted the words “ Subject to sections 304A, 308 and 309 ”.

This paragraph has effect in relation to new shares (within the meaning of section 304A of the Taxes Act 1988) issued on or after 6th April 1998.

At the beginning of subsection (1) of section 299 of the Taxes Act 1988 (disposals of shares) there shall be inserted the words “Subject to section 304(5),".

For subsection (4) of that section there shall be substituted the following subsections—

This paragraph has effect in relation to disposals made on or after 6th April 1998.

After subsection (6) of section 304 of the Taxes Act 1988 (husband and wife) there shall be inserted the following subsection—

This paragraph has effect in relation to disposals made on or after 6th April 1998.

After that section there shall be inserted the following section—

This paragraph has effect in relation to new shares (within the meaning of section 304A of the Taxes Act 1988) issued on or after 6th April 1998.

In subsection (4)(a) of section 150 of the Taxation of Chargeable Gains Act 1992 (business expansion schemes)—

In subsection (5) of that section, for the words “Notwithstanding anything in section 107(1) and (2), section 107 does not apply" there shall be substituted the words “ Sections 104, 105 and 106A do not apply ”.

In subsection (7) of that section, for the words “eligible shares" there shall be substituted the words “ shares in respect of which relief has been given and not withdrawn ”.

In subsection (8) of that section, the word “eligible" shall cease to have effect.

In subsection (8A)(a) of that section, the word “preferential", in the second place where it occurs, shall cease to have effect.

After subsection (8C) of that section there shall be inserted the following subsection—

After subsection (11) of that section there shall be inserted the following subsection—

In this paragraph—

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... This Schedule has effect in relation to chargeable events happening on or after 6th April 1998.

Section 747 of the Taxes Act 1988 (imputation of chargeable profits and creditable tax of controlled foreign companiesimputation of chargeable profits and creditable tax of controlled foreign companies) shall be amended as follows.

In subsection (1) (which provides that the provisions of the Chapter shall apply in relation to an accounting period of a company if the Board have reason to believe certain things and so direct)—shall cease to have effect.

In subsection (3) (apportionment of controlled foreign company’s chargeable profits and creditable tax among the persons with an interest in the company) for “Where, by virtue of a direction under subsection (1) above," there shall be substituted “ Subject to section 748, where ”.

In subsection (4)—

In subsection (5) (tax not to be assessed and recoverable from the resident company unless, among other things, at least 10 per cent. of the controlled foreign company’s chargeable profits are apportioned to the resident company or persons connected or associated with it)—

Section 748 of the Taxes Act 1988 (limitations on direction-making power) shall be amended as follows.

In subsection (1) (no direction to be given if the conditions specified in any of the paragraphs of the subsection are satisfied) for the words preceding paragraph (a) there shall be substituted—.

In paragraph (d) of that subsection (cases where chargeable profits do not exceed £20,000 etc) for “£20,000" there shall be substituted “ £50,000 ”.

After that paragraph there shall be inserted

After subsection (1) there shall be inserted—

Subsection (2) (which relates to directions under section 747) shall cease to have effect.

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Also in subsection (3), for “no direction may be given under section 747(1) with respect to that accounting period if it appears to the Board that" there shall be substituted “ no apportionment under section 747(3) falls to be made as regards that accounting period if it is the case that ”.

For the side-note to the section, there shall be substituted “ Cases where section 747(3) does not apply. ”

Section 750 of the Taxes Act 1988 (territories with a lower level of taxation) shall be amended as follows.

In subsection (1) (which refers to certain provisions of section 749)—

In subsection (3), for paragraph (a) (which refers to a direction under section 747(1) and a declaration under paragraph 11(3) of Schedule 24) there shall be substituted—.

Section 751 of the Taxes Act 1988 (accounting periods and creditable tax) shall be amended as follows.

In subsection (1) (occasions on which an accounting period begins) in paragraph (b) (company commencing to carry on business)—

In subsection (5) (direction may specify accounting period where beginning or end appears uncertain)—

In subsection (5) (power to amend so as to specify true accounting period where further facts come to the knowledge of the Board after making a direction)—

After subsection (5) there shall be inserted—

In subsection (6) (meaning of “creditable tax") for “in respect of which a direction is given under section 747(1)" there shall be substituted “ as regards which an apportionment under section 747(3) falls to be made ”.

Section 754 of the Taxes Act 1988 (assessment, recovery and postponement of tax) shall be amended as follows.

In subsection (1) (provisions of section 747(4)(a) relating to assessment and recovery of a sum as if it were an amount of corporation tax to be taken as applying all enactments applying generally to corporation tax, including certain described enactments)—

After subsection (1) there shall be inserted—

For subsection (2) (which provides for any sum assessable and recoverable under section 747(4)(a) to be regarded as corporation tax which falls to be assessed for the accounting period in which ends the accounting period of the controlled foreign company and which makes provision as to the contents of a notice of assessment) there shall be substituted—

After subsection (2) there shall be inserted—

For subsection (3) (appeals) there shall be substituted the following subsections—

Subsection (4) shall cease to have effect.

In subsection (6) (power of Board to serve notice of liability to tax on another company with the same interest where tax assessed by virtue of section 752(6) remains unpaid by the assessable company)—

In subsection (7) (liability for interest where notice of liability to tax is served)—

In subsection (8) (recovery of tax and interest from the assessable company where the responsible company fails to pay within the time allowed) for “assessable" there shall be substituted “ chargeable ”.

Section 756 of the Taxes Act 1988 (interpretation and construction of Chapter IV) shall be amended as follows.

In subsection (1), after “In this Chapter” there shall be inserted the following definition—.

In Schedule 24 to the Taxes Act 1988 (assumptions for calculating chargeable profits, creditable tax and corresponding United Kingdom tax of foreign companies) paragraph 1 shall be amended as follows.

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Sub-paragraph (4) (assumption for applying provisions of Schedule 24 which refer to the first accounting period for which a direction is given in cases where, as respects the accounting period in question and any earlier ones, no direction has been given) shall be amended in accordance with sub-paragraphs (7) to (9) below.

In paragraph (a) (necessity to determine chargeable profits) after “to determine" there shall be inserted “ in the case of any person ”.

For paragraph (b) (no direction given) there shall be substituted—.

For the words following paragraph (b) (assumption for the purpose of the provisions in question that the accounting period is the first for which a direction is given) there shall be substituted—

Paragraph 4 of Schedule 24 to the Taxes Act 1988 (assumption that claims or elections giving maximum relief have been made, subject to notice to the contrary) shall be amended as follows.

In sub-paragraph (1A)(a) (sub-paragraph (2) to apply to accounting period of foreign company in respect of which a direction is given) for “a direction is given under section 747(1)" there shall be substituted “ an apportionment under section 747(3) falls to be made ”.

In sub-paragraph (2) (notice to be given to the Board at any time not later than the expiry of the appropriate period etc)—

In consequence of sub-paragraph (3)(b) above, sub-paragraph (2A) shall cease to have effect.

In sub-paragraph (3) (majority interest in foreign company) in paragraph (b) for “an assessment" there shall be substituted “ any liability ”.

In sub-paragraph (3A) (application of sub-paragraph (3) to ADP exempt periods)—

Paragraph 9 of Schedule 24 to the Taxes Act 1988 (losses in pre-direction accounting periods) shall be amended as follows.

For “pre-direction", wherever occurring, there shall be substituted “ pre-apportionment ”.

In sub-paragraph (1) (which provides that, subject to sub-paragraph (2), the paragraph applies where the foreign company incurs a loss in an accounting period preceding the first in respect of which a direction is given etc)—

Sub-paragraph (2) (which provides that the paragraph does not apply where a declaration is made under paragraph 11(3)) shall cease to have effect.

In sub-paragraph (3) (assumption that pre-direction period was first accounting period in respect of which a direction was given) for “a direction was given under section 747(1)" there shall be substituted “ an apportionment under section 747(3) fell to be made ”.

For sub-paragraph (4) (claim to be made by notice given to Board within 60 days of notice under section 753(1) or (3) relating to starting period etc) there shall be substituted—

Sub-paragraph (5) (which provides for an assumption that Chapter IV was in force before the beginning of the first of the pre-direction periods, and which is of no further practical utility) shall cease to have effect.

Sub-paragraph (6) (no account to be taken of declaration under paragraph 11(3)) shall cease to have effect.

At the end of the paragraph there shall be added—

Paragraph 6 of Schedule 25 to the Taxes Act 1988 (exemption for controlled foreign companies engaged in exempt activities) shall be amended as follows.

In sub-paragraph (1)(c) (which provides that for a company to be engaged in exempt activities, any of sub-paragraphs (2) to (4) must apply) for “(4)" there shall be substituted “ (4A) ”.

In sub-paragraph (2)(b) (which in certain cases requires less than 50 per cent. of gross trading receipts to be derived from connected or associated persons or persons who have an interest in the company at any time during the accounting period) for “an interest in the company at any time during" there shall be substituted “ a 25 per cent. assessable interest in the company in the case of ”.

In sub-paragraph (3) (local holding companies) in paragraph (b) (controlled companies which are not themselves holding companies but which are otherwise engaged in exempt activities)—

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After sub-paragraph (4B) there shall be inserted—

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After sub-paragraph (5) there shall be inserted—

Paragraph 12 of Schedule 25 to the Taxes Act 1988 (meaning of “holding company" in paragraphs 6 and 8(3)) shall be amended as follows.

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In sub-paragraph (5) (exclusion of income derived from certain sources) in paragraph (a)—

In Schedule 26 to the Taxes Act 1988 (reliefs against liability for tax in respect of chargeable profits apportioned to UK resident company) paragraph 1 (trading losses and group relief etc) shall be amended as follows.

In sub-paragraph (1) (set-off against liability to tax under section 747(4)(a) where UK resident company entitled to deduction in respect of relevant allowance) the following provisions shall cease to have effect—

In sub-paragraph (2)(a) (which defines the appropriate accounting period as that for which by virtue of section 754(2) the company is regarded as assessed to corporation tax in respect of the chargeable profits concerned) for “regarded as assessed to corporation tax" there shall be substituted “ chargeable to tax by virtue of this Chapter ”.

Sub-paragraph (4) (time limit for making claims for group relief) shall cease to have effect.

Sub-paragraph (6) (which modifies section 43 of the Taxes Management Act 1970 in its application for the purposes of the paragraph) shall cease to have effect.

Paragraph 3 of Schedule 26 to the Taxes Act 1988 (gains on disposal of shares in controlled foreign companies) shall be amended as follows.

In sub-paragraph (1), for paragraph (a) (which refers to a direction having been given in respect of an accounting period of a controlled foreign company) there shall be substituted—.

Accordingly, in paragraphs (b) and (c) of sub-paragraph (1), for the words “the direction period", in each place where they occur, there shall be substituted “ the apportionment period ”.

In paragraph (d) of sub-paragraph (1) (which refers to a sum being, under section 747(1)(a), assessed and recoverable from a company) for “assessed on and recoverable from" there shall be substituted “ chargeable on ”.

In sub-paragraph (3), for “the direction period" there shall be substituted “ the apportionment period ”.

In sub-paragraph (4), in the words following paragraph (c), for “assessed and recoverable" there shall be substituted “ chargeable under section 747(4)(a) ”.

After subsection (6) there shall be inserted—

Paragraph 4 of Schedule 26 to the Taxes Act 1988 (dividends from the controlled foreign company) shall be amended as follows.

In sub-paragraph (1), for paragraph (a) (which refers to a direction having been given in respect of an accounting period of a controlled foreign company) there shall be substituted—.

Accordingly, in paragraph (b) of that sub-paragraph for “subsection (3) of that section" there shall be substituted “ that subsection ”.

In sub-paragraph (2) (which refers to sums assessed on and recoverable from companies in accordance with s.747(4)(a)) for “assessed on and recoverable from" there shall be substituted “ chargeable on ”.

In sub-paragraph (5)(a) (which refers to the amount of tax assessed on and recoverable from the company in accordance with s.747(4)(a)) for “assessed on and recoverable from" there shall be substituted “ chargeable on ”.

The preceding provisions of this Schedule have effect as respects accounting periods of companies resident in the United Kingdom which end on or after the corporation tax self-assessment appointed day.

Where by virtue of sub-paragraph (1) above any question as to liability (if any) to tax by virtue of Chapter IV of Part XVII of the Taxes Act 1988 as respects any particular accounting period of a non-resident company which ends before the corporation tax self-assessment appointed day falls to be determined—such separate determinations and computations shall be made as are necessary for determining the liability of the companies which fall within paragraph (a) above and the liability of the companies which fall within paragraph (b) above.

For the purposes of sub-paragraph (2) above—

In this paragraph—“accounting period”, in relation to a non-resident company, has the same meaning as it has in Chapter IV of Part XVII of the Taxes Act 1988;“the corporation tax self-assessment appointed day” means the day which is the appointed day for the purposes of section 199 of the Finance Act 1994 (corporation tax self-assessment);“non-resident company” means a company resident outside the United Kingdom.

A company which—must give notice to an officer of Revenue and Customs that it is so chargeable.

But a company is not required to give notice under sub-paragraph (1) in respect of an accounting period if for the period—

A notice required to be given under this paragraph must be given within twelve months from the end of the accounting period.

Where sub-paragraph (1A) would apply as regards a company if the company were to make a claim to obtain relief under section 6(2)(a) or (3)(a) of TIOPA 2010 in respect of a disposal that has an appropriate connection to a collective investment vehicle for the purposes of paragraph 6 of Schedule 5AAA to TCGA 1992, the company is not required to make such a claim in order to obtain relief in respect of the disposal (despite section 6(6) of TIOPA 2010).

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An officer of Revenue and Customs may by notice require a company to deliver a return (a “company tax return") of such information, accounts, statements and reports—as may reasonably be required by the notice.

Different information, accounts, statements and reports may be required from different descriptions of company.

A company tax return must include a declaration by the person making the return that the return is to the best of his knowledge correct and complete.

The return must be delivered to the officer of the Board by whom the notice was issued not later than the filing date.

Sub-paragraph (1)(b) has effect as if the reference to the Corporation Tax Acts included a reference to sections 911 and 912 of the Income Tax Act 2007.

Her Majesty's Revenue and Customs may from time to time publish requirements as to the information, accounts, statements and reports which a company must deliver as part of its company tax return where the company has a tax liability by virtue of paragraph 50 or 51 of Schedule 19 to the Finance Act 2011 (the bank levy); and such information, accounts, statements and reports must be delivered as if the notice to the company under paragraph 3(1) had required them to be delivered (and paragraph 4 is to be read accordingly).

The publication of any requirements under sub-paragraph (1) does not stop a notice under paragraph 3(1) requiring the delivery of any additional information, accounts, statements and reports as part of a company tax return.

A notice requiring a company tax return must specify the period to which the notice relates.

If an accounting period of the company ended during (or at the end of) the specified period, a return is required for that accounting period. If there is more than one, a separate company tax return is required for each of them.

If sub-paragraph (2) does not apply but an accounting period of the company began during the specified period, a company tax return is required for the part of the specified period before the accounting period began.

If the company was outside the charge to corporation tax for the whole of the specified period, a company tax return is required for the whole of the specified period.

If none of the above provisions applies, no company tax return is required in response to the notice.

A notice requiring a company tax return may be given on or after the self-assessment appointed day in relation to a period beginning before that day.

Where the effect of such a notice is to require a return for an accounting period ending before that day, the provisions of the Tax Acts apply as if it were a notice under section 11 of the Taxes Management Act 1970.

The provisions of this Act relating to company tax returns, or amending other provisions of the Tax Acts so as to refer to such returns, do not affect the operation of those Acts in relation to such a notice.

Every company tax return for an accounting period must include an assessment (a “self-assessment") of the amount of tax which is payable by the company for that period—

For this purpose a company tax return is regarded as a return for an accounting period if the period is treated in the return as an accounting period and is not longer than twelve months, even though it is not, or may not be, an accounting period.

A residential property developer must include in its company tax return for an accounting period a statement of—unless sub-paragraph(2) applies in relation to the accounting period.

This sub-paragraph applies where it is reasonable to assume that the developer would have no liability to residential property developer tax in relation to the accounting period if no amount were deducted in the calculation at section 38 of the Finance Act 2022 in relation to that accounting period in respect of any—

Terms used in Part 2 of the Finance Act 2022 have the same meaning in this paragraph as in that Part (unless the contrary intention appears).

A company which has made any qualifying levy profits or loss in an accounting period must include in its company tax return for the accounting period a statement of—

Terms used in the Energy (Oil and Gas) Profits Levy Act 2022 have the same meaning in this paragraph as in that Act.

The amount of tax payable for an accounting period is calculated as follows. First step Calculate the corporation tax chargeable on the company’s profits: Take the amount of the company’s profits for that period on which corporation tax is chargeable (see section 4(1) and (2) of the Corporation Tax Act 2010). Apply the rate or rates of corporation tax applicable to the company (other than the restitution payments rate). Second step Then give effect to any reliefs or set-offs available against corporation tax chargeable on profits: Any reduction under Part 3A or Chapter 3A of Part 8 of the Corporation Tax Act 2010 (marginal relief for companies with small profits). Any relief under Part V of Schedule 15 to the Finance Act 2000 (corporate venturing scheme: investment relief). Any relief under Part 7 of the Corporation Tax Act 2010(community investment tax relief). Any double taxation relief under under sections 2 and 6 of TIOPA 2010 or under section 18(1)(b) and (2) of that Act. Any set off for advance corporation tax under section 239 of the Taxes Act 1988 or under regulations made under section 32 of this Act. Third step Then add any amounts assessable or chargeable as if they were corporation tax (reduced by any reliefs specific to those amounts): Any amount due under section 455 or 464A of the Corporation Tax Act 2010 (tax on a loan, advance or benefit to a participator). Any sum chargeable under section 269DA of that Act (surcharge on banking companies). Any sum chargeable under section 330(1) of that Act (supplementary charge in respect of ring fence trades). Any sum charged at step 5 in section 371BC(1) of the Taxation (International and Other Provisions) Act 2010 (controlled foreign companies). Any amount of the bank levy chargeable by virtue of paragraph 50 or 51 of Schedule 19 to the Finance Act 2011 (the bank levy). Any amount of residential property developer tax chargeable by virtue of section 33 of the Finance Act 2022. Any amount chargeable by virtue of section 1 of the Energy (Oil and Gas) Profits Levy Act 2022. Fourth step Then deduct any amounts to be set off against the company’s overall tax liability for that period: Any amount to be set off under section 967 or 968 of the Corporation Tax Act 2010 (income tax borne by deduction). Any amount to be set off under section 246N or 246Q of the Taxes Act 1988 (advance corporation tax paid in respect of foreign income dividend). Fifth step Calculate the corporation tax chargeable on any profits of the company that are charged as restitution interest. Find the amount in respect of which the company is chargeable for the period under the charge to corporation tax on income under Part 8C of CTA 2010. Apply the restitution payments rate in accordance with section 357YK(1) of that Act. The amount of tax payable for the accounting period is the sum of the amounts resulting from the first to fourth steps and this step.

Sub-paragraph (1B) applies if an amount of the bank levy chargeable by virtue of paragraph 50 or 51 of Schedule 19 to the Finance Act 2011 (the bank levy) is added at the third step.

Any deductions made at the fourth step are to be treated as made from all other amounts before being made from the amount of the bank levy.

Except as otherwise provided, references in this Schedule to the amount of tax payable by a company for an accounting period are to the amount shown in the company’s self-assessment as the amount payable.

No claim to which this paragraph applies may be made by a company before it delivers a company tax return for the period to which the claim relates.

This paragraph applies to a claim by a company for any repayment of income tax called for by virtue of—This is subject to sub-paragraphs (2A) and (2B).

This paragraph does not apply to a claim by a company for repayment of income tax treated as having been paid by virtue of—

This paragraph also does not apply to a claim by a company for repayment of income tax deducted at source from income which is exempt from tax by virtue of—

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This paragraph applies to a claim by a company for relief under Part V of Schedule 15 to the Finance Act 2000 (corporate venturing scheme: investment relief).

In Part VII of this Schedule (general provisions as to claims and elections) paragraphs 57 to 59 contain provisions as to the circumstances in which a claim or election may or must be made, or is to be treated as having been made, in a company tax return.

A claim to which Part VIII, IX or IXA of this Schedule applies (claims for group relief, capital allowances, first-year tax credits, R&D expenditure credits or R&D tax relief) can only be made by being included in a company tax return (see paragraphs 67, 79, 83ZA and 83B).

A claim to which Part 9B of this Schedule applies (claims for land remediation tax credit and life assurance company tax credit) can only be made by being included in a company tax return (see paragraph 83H).

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A claim to which Part 9D of this Schedule applies (certain claims under Parts 14A to 15E of the Corporation Tax Act 2009) can only be made by being included in a company tax return (see paragraph 83T).

An election under section 1179B of the Corporation Tax Act 2009 (opting into Part 14A of that Act) can only be made by being included in a company tax return.

An election under section 1182(7) of the Corporation Tax Act 2009(election not to be a film production company) can only be made by being included in a company tax return (see section 1182(8)(a) of that Act).

An election under section 1216AE(7) of the Corporation Tax Act 2009 (election not to be a television production company) can only be made by being included in a company tax return (see section 1216AE(8)(a) of that Act).

An election under section 1217AB(6) of the Corporation Tax Act 2009 (election not to be a video games development company) can only be made by being included in a company tax return (see section 1217AB(7)(a) of that Act).

In the case of a company which—the power to require the delivery of accounts as part of the return is limited to such accounts, containing such information and having annexed to them such documents, as are required to be prepared under that Act.

Sub-paragraph (1) does not affect—

A company tax return of a company which carries on a trade, profession or business in partnership must include any amount which in a relevant partnership statement is stated to be its share of any income, loss, consideration, tax, credit or charge.

A “relevant partnership statement” means a statement under section 12AB of the Taxes Management Act 1970 for the period for which the return is made or a period which includes that period or any part of it.

The filing date for a company tax return is the last day of whichever of the following periods is the last to end—

In sub-paragraph (1) “relevant period of account” means, in relation to a return for an accounting period, the period of account of the company in which the last day of that accounting period falls.. . .

A company may amend its company tax return by notice to an officer of Revenue and Customs.

The notice must be in such form as an officer of Revenue and Customs may require.

The notice must contain such information and be accompanied by such statements as an officer of Revenue and Customs may reasonably require.

Except as otherwise provided, an amendment may not be made more than twelve months after—

An officer of Revenue and Customs may amend a company tax return so as to correct—

A correction under this paragraph is made by notice to the company concerned.

No such correction may be made more than nine months after—

A correction under this paragraph is of no effect if the company—

Notice under sub-paragraph (4)(b) must be given—