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Change 1
As published
12A UK Economic Interest Groupings and European Economic Interest Groupings.
(1) In this section “grouping” means—
(a) a UK Economic Interest Grouping, or
(b) a grouping registered in a member State and formed in pursuance of Council Regulation (EEC) No. 2137/85 of 25 July 1985 on the European Economic Interest Grouping as it has effect in EU law (a “European Economic Interest Grouping”).
(2) For the purposes of securing that members of a grouping are assessed to income tax and capital gains tax or (as the case may be) corporation tax, an inspector may act under subsection (3) or (4) below.
(3) In the case of a UK Economic Interest Grouping, or a European Economic Interest Grouping that has an establishment registered in Great Britain or Northern Ireland, and inspector may by a notice given to the grouping require the grouping—
(a) to make and deliver to the inspector within the time limited by the notice a return containing such information as may be required in pursuance of the notice, and
(b) to deliver with the return such accounts and statements as may be required in pursuance of the notice.
(4) In the case of any other grouping, an inspector may by a notice given to any member of the grouping resident in the United Kingdom, or if none is to any member of the grouping, require the member—
(a) to make and deliver to the inspector within the time limited by the notice a return containing such information as may be required in pursuance of the notice, and
(b) to deliver with the return such accounts and statements as may be required in pursuance of the notice,
and a notice may be given to any one of the members concerned or separate notices may be given to each of them or to such of them as the inspector thinks fit.
(5) Every return under this section shall include a declaration by the grouping or member making the return to the effect that the return is to the best of the maker’s knowledge correct and complete.
(6) A notice under this section may require different information, accounts and statements for different periods, in relation to different descriptions of income or gains or in relation to different descriptions of member.
(7) Notices under this section may require different information, accounts and statements in relation to different descriptions of grouping.
(8) Subject to subsection (9) below, where a notice is given under subsection (3) above, everything required to be done shall be done by the grouping acting through its manager or, where there is more than one, any of them; but where the manager of a grouping (or each of them) is a person other than an individual, the grouping shall act through the individual, or any of the individuals, designated ... as the representative of the manager (or any of them).
(9) Where the contract for the formation of a grouping provides that the grouping shall be validly bound only by two or more managers acting jointly, any declaration required by subsection (5) above to be included in a return made by a grouping shall be given by the appropriate number of managers.
(10) The reference in subsection (8) to the individual or individuals designated as the representative of the manager is a reference—
(a) in the case of a UK Economic Interest Grouping, to the individual or individuals designated in accordance with regulation 5(1) of the European Economic Interest Grouping Regulations 1989, and
(b) in the case of a European Economic Interest Grouping, to the individual or individuals designated in accordance with Council Regulation (EEC) No. 2137/85 of 25 July 1985 on the European Economic Interest Grouping as it has effect in EU law.
Your change, as a redline
12A UK Economic Interest Groupings and European Economic Interest Groupings.
(1) In this section “grouping” means—
(a) a UK Economic Interest Grouping, or
(b) a grouping registered in a member State and formed in pursuance of Council Regulation (EEC) No. 2137/85 of 25 July 1985 on the European Economic Interest Grouping as it has effect in EU law (a “European Economic Interest Grouping”).
(2) For the purposes of securing that members of a grouping are assessed to income tax and capital gains tax or (as the case may be) corporation tax, an inspector may act under subsection (3) or (4) below.
(3) In the case of a UK Economic Interest Grouping, or a European Economic Interest Grouping that has an establishment registered in Great Britain or Northern Ireland, and inspector may by a notice given to the grouping require the grouping—
(a) to make and deliver to the inspector within the time limited by the notice a return containing such information as may be required in pursuance of the notice, and
(b) to deliver with the return such accounts and statements as may be required in pursuance of the notice.
(4) In the case of any other grouping, an inspector may by a notice given to any member of the grouping resident in the United Kingdom, or if none is to any member of the grouping, require the member—
(a) to make and deliver to the inspector within the time limited by the notice a return containing such information as may be required in pursuance of the notice, and
(b) to deliver with the return such accounts and statements as may be required in pursuance of the notice,
and a notice may be given to any one of the members concerned or separate notices may be given to each of them or to such of them as the inspector thinks fit.
(5) Every return under this section shall include a declaration by the grouping or member making the return to the effect that the return is to the best of the maker’s knowledge correct and complete.
(6) A notice under this section may require different information, accounts and statements for different periods, in relation to different descriptions of income or gains or in relation to different descriptions of member.
(7) Notices under this section may require different information, accounts and statements in relation to different descriptions of grouping.
(8) Subject to subsection (9) below, where a notice is given under subsection (3) above, everything required to be done shall be done by the grouping acting through its manager or, where there is more than one, any of them; but where the manager of a grouping (or each of them) is a person other than an individual, the grouping shall act through the individual, or any of the individuals, designated ... as the representative of the manager (or any of them).
(9) Where the contract for the formation of a grouping provides that the grouping shall be validly bound only by two or more managers acting jointly, any declaration required by subsection (5) above to be included in a return made by a grouping shall be given by the appropriate number of managers.
(10) The reference in subsection (8) to the individual or individuals designated as the representative of the manager is a reference—
(a) in the case of a UK Economic Interest Grouping, to the individual or individuals designated in accordance with regulation 5(1) of the European Economic Interest Grouping Regulations 1989, and
(b) in the case of a European Economic Interest Grouping, to the individual or individuals designated in accordance with Council Regulation (EEC) No. 2137/85 of 25 July 1985 on the European Economic Interest Grouping as it has effect in EU law.
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