Finance Act 1998

52(1)The provisions of paragraphs 41 to 48 relating to discovery assessments apply to an amount to which this [F1sub-paragraph] applies as if it were unpaid tax, unless—U.K.

(a)it is assessable under those provisions apart from this paragraph, or

(b)it is recoverable under section 826(8A) of the Taxes Act 1988 (interest overpaid which is recoverable in same way as interest charged).

(2)[F2Sub-paragraph (1)] applies to an amount paid to a company by way of—

(a)repayment of tax (or income tax) F3... ,

(b)repayment supplement under section 825 of the Taxes Act 1988,

F4(bza). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F5(ba). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

[F6(bb)land remediation tax credit or life assurance company tax credit under [F7Part 14 of the Corporation Tax Act 2009],] or

F8(bc). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F9(bd). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F9(be). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F9(bf). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F9(bg). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F9(bh). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F9(bi). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(c)interest paid under section 826 of [F10the Taxes Act 1988],

to the extent that it ought not to have been paid.

[F11(2A)The provisions of paragraphs 41 and 45 to 48 relating to discovery assessments apply to an amount paid to a company by way of—

(a)first-year tax credit under Schedule A1 to the Capital Allowances Act;

(b)R&D expenditure credit under [F12Chapter 1A of Part 13] of the Corporation Tax Act 2009;

(c)R&D tax credit under Chapter 2 or 7 of Part 13 of that Act, [F13or

(d)creative sector credit,]

but only to the extent that the company was not, or is no longer, entitled to the credit.]

[F14(2B)In this paragraph, “creative sector credit” means—

(a)audiovisual expenditure credit or video game expenditure credit under Chapter 3 of Part 14A of the Corporation Tax Act 2009,

(b)film tax credit under Part 15 of that Act,

(c)television tax credit under Part 15A of that Act,

(d)video game credit under Part 15B of that Act,

(e)theatre tax credit under Part 15C of that Act,

(f)orchestra tax credit under Part 15D of that Act, or

(g)museums and galleries exhibition credit under Part 15E of that Act.]

(3)For the purposes of this paragraph—

(a)an amount is regarded as paid if it is allowed by way of set-off, and

(b)an amount is regarded as a repayment if it was intended as repayment but exceeds the amount paid by the company.

F15(4). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(5)An assessment to recover—

(a)an amount of tax repaid to a company in respect of an accounting period, or interest on any such repayment,

[F16(aa)an amount of R&D expenditure credit paid to a company for an accounting period,]

[F17(ab)an amount of R&D tax credit paid to a company for an accounting period,]

[F18(ac)an amount of land remediation tax credit or life assurance company tax credit paid to a company for an accounting period,] or

F19(ad). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F20(ae). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

[F21(af)an amount of first-year tax credit under Schedule A1 to the Capital Allowances Act paid to a company for an accounting period,]

F22(ag). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F22(ah). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F22(ai). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F22(aj). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F22(ak). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

[F23(al)an amount of creative sector credit paid to a company for an accounting period, or]

(b)an amount of income tax repaid to a company in respect of a payment received by the company in an accounting period, or interest on any such repayment,

shall be treated as an assessment to tax for [F24that accounting period].

(6)The sum assessed shall carry interest at the prescribed rate for the purposes of section 87A of the M1Taxes Management Act 1970 (interest on overdue corporation tax, etc.) from the date when the payment being recovered was made until payment.