Part IVU.K. Income Tax, Corporation Tax and Capital Gains Tax

Chapter IIIU.K. Management: Self-Assessment etc.

Income tax and capital gains taxU.K.

178 Personal and trustee’s returns.U.K.

(1)For subsection (1) of section 8 of the Management Act (personal return) there shall be substituted the following subsections—

“(1)For the purpose of establishing the amounts in which a person is chargeable to income tax and capital gains tax for a year of assessment, he may be required by a notice given to him by an officer of the Board—

(a)to make and deliver to the officer, on or before the day mentioned in subsection (1A) below, a return containing such information as may reasonably be required in pursuance of the notice, and

(b)to deliver with the return such accounts, statements and documents, relating to information contained in the return, as may reasonably be so required.

(1A)The day referred to in subsection (1) above is—

(a)the 31st January next following the year of assessment, or

(b)where the notice under this section is given after the 31st October next following the year, the last day of the period of three months beginning with the day on which the notice is given.

(1B)In the case of a person who carries on a trade, profession, or business in partnership with one or more other persons, a return under this section shall include each amount which, in any relevant statement, is stated to be equal to his share of any income, loss or charge for the period in respect of which the statement is made.

(1C)In subsection (1B) above “relevant statement” means a statement which, as respects the partnership, falls to be made under section 12AB of this Act for a period which includes, or includes any part of, the year of assessment or its basis period.”

(2)For subsection (1) of section 8A of the Management Act (trustee’s return) there shall be substituted the following subsections—

“(1)For the purpose of establishing the amounts in which a trustee of a settlement, and the settlors and beneficiaries, are chargeable to income tax and capital gains tax for a year of assessment, an officer of the Board may by a notice given to the trustee require the trustee—

(a)to make and deliver to the officer, on or before the day mentioned in subsection (1A) below, a return containing such information as may reasonably be required in pursuance of the notice, and

(b)to deliver with the return such accounts, statements and documents, relating to information contained in the return, as may reasonably be so required;

and a notice may be given to any one trustee or separate notices may be given to each trustee or to such trustees as the officer thinks fit.

(1A)The day referred to in subsection (1) above is—

(a)the 31st January next following the year of assessment, or

(b)where the notice under this section is given after the 31st October next following the year, the last day of the period of three months beginning with the day on which the notice is given.”

179 Returns to include self-assessment.U.K.

For section 9 of the Management Act there shall be substituted the following section—

“9 Returns to include self-assessment.

(1)Subject to subsection (2) below, every return under section 8 or 8A of this Act shall include an assessment (a self-assessment) of the amounts in which, on the basis of the information contained in the return, the person making the return is chargeable to income tax and capital gains tax for the year of assessment.

(2)A person shall not be required to comply with subsection (1) above if he makes and delivers his return for a year of assessment—

(a)on or before the 30th September next following the year, or

(b)where the notice under section 8 or 8A of this Act is given after the 31st July next following the year, within the period of two months beginning with the day on which the notice is given.

(3)Where, in making and delivering a return, a person does not comply with subsection (1) above, an officer of the Board shall if subsection (2) above applies, and may in any other case—

(a)make the assessment on his behalf on the basis of the information contained in the return, and

(b)send him a copy of the assessment so made;

and references in the following provisions of this Act to a person’s self-assessment include references to an assessment made on a person’s behalf under this subsection.

(4)Subject to subsection (5) below—

(a)at any time before the end of the period of nine months beginning with the day on which a person’s return is delivered, an officer of the Board may by notice to that person so amend that person’s self-assessment as to correct any obvious errors or mistakes in the return (whether errors of principle, arithmetical mistakes or otherwise); and

(b)at any time before the end of the period of twelve months beginning with the filing date, a person may by notice to an officer of the Board so amend his self-assessment as to give effect to any amendments to his return which he has notified to such an officer.

(5)No amendment of a self-assessment may be made under subsection (4) above at any time during the period—

(a)beginning with the day on which an officer of the Board gives notice of his intention to enquire into the return, and

(b)ending with the day on which the officer’s enquiries into the return are completed.

(6)In this section and section 9A of this Act “the filing date” means the day mentioned in section 8(1A) or, as the case may be, section 8A(1A) of this Act.”