Finance Act 1989

160 Determinations under TMA s. 88.U.K.

F1[(1)In subsection (1) of section 88 of the Taxes Management Act 1970, for thewords “shall carry” there shall be substituted the words “shall, if aninspector or the Board so determine, carry”.]

[F1(2)The following section shall be inserted after that section—

88A“ Determinations under section 88.

(1)Notice of a determination under section 88 above shall be served on theperson liable to pay the interest to which it relates and shall specify—

(a)the date on which it is issued,

(b)the amount of the tax which carries interest and the assessment by whichthat tax was charged,

(c)the date when for the purposes of section 88 above that tax ought to havebeen paid, and

(d)the time within which an appeal against the determination may be made.

(2)After the notice of a determination under section 88 above has been servedthe determination shall not be altered except in accordance with this section.

(3)A determination under section 88 above may be made at any time—

(a)within six years after the end of the chargeable period for which the taxcarrying the interest is charged (or, in the case of development land tax, ofthe financial year in which the liability for that tax arose), or

(b)within three years after the date of the final determination of the amountof that tax.

(4)An appeal may be brought against a determination under section 88 aboveand, subject to the following provisions of this section, the provisions ofthis Act relating to appeals shall have effect in relation to an appealagainst such a determination as they have effect in relation to an appealagainst an assessment to tax.

(5)On an appeal against a determination under section 88 above section 50(6)to (8) of this Act shall not apply but the Commissioners may—

(a)if it appears to them that the tax carries no interest under that section,set the determination aside,

(b)if the determination appears to them to be correct, confirm thedetermination, or

(c)if the determination appears to them to be incorrect as to the amount oftax or the date on which the tax ought to have been paid, revise thedetermination accordingly.”]

F2(3). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

[F1(4)In section 113 of that Act (form of documents), the following subsectionshall be inserted after subsection (1B)—

“(1C)Where an officer of the Board has decided that an amount of tax carriesinterest under section 88 of this Act and has taken the decisions needed forarriving at the date when for the purposes of that section that tax ought tohave been paid, he may entrust to any other officer of the Boardresponsibility for completing the determination procedure, whether by meansinvolving the use of a computer or otherwise, including responsibility forserving notice of the determination on the person liable to the interest.”]

(5)In section 114 of that Act (want of form not to invalidate), after theword “assessment”, in each place where it occurs, there shall be insertedthe words “or determination”.

[F3(6)In paragraph 5 of Schedule 3 to that Act (rules for assigning proceedingsto Commissioners), the following entry shall be inserted in the first columnafter the entry relating to an appeal against an assessment to capital gainstax— “ An appeal against a determination under section 88 of this Act. ”]