Law

Taxes Management Act 1970

United Kingdom · statute

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In force since 2026-06-25, as the publisher states.

Copy read on 2026-11-08. The page it was read from

Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.

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Contents: 330 provisions
  1. Title and introductory text
  2. 1 Responsibility for certain taxes
  3. 2 General Commissioners
  4. 2A General Commissioners: costs and expenses in legal proceedings.
  5. 3 Clerk to General Commissioners.
  6. 3A General Commissioners and clerks: indemnity.
  7. 4 Special Commissioners.
  8. 4A Deputy Special Commissioners.
  9. 5 General and Special Commissioners.
  10. 6 Declarations on taking office.
  11. 7 Notice of liability to income tax and capital gains tax.
  12. 7A Disregard of certain NRCGT gains for purposes of section 7
  13. 8 Personal return.
  14. 8ZA Interpretation of section 8(4A)
  15. 8A Trustee’s return.
  16. 8B Withdrawal by HMRC of notice under section 8 or 8A
  17. 8C Returns so far as relating to capital gains tax
  18. 9 Returns to include self-assessment.
  19. 9ZA Amendment of personal or trustee return by taxpayer
  20. 9ZB Correction of personal or trustee return by Revenue
  21. 9A Notice of enquiry
  22. 9B Amendment of return by taxpayer during enquiry
  23. 9C Amendment of self-assessment during enquiry to prevent loss of tax
  24. 9D Choice between different Cases of Schedule D
  25. 10 Notice of liability to corporation tax.
  26. 11 Return of profits.
  27. 11A Notice of liability to capital gains tax.
  28. 11AA Return of profits to include self-assessment.
  29. 11AB Power to enquire into return of profits.
  30. 11AC Modifications of sections 11AA and 11AB in relation to non-annual accounting of general insurance business.
  31. 11AD Modifications of sections 11AA and 11AB for insurance companies with non-annual actuarial investigations.
  32. 11AE Modifications of sections 11AA and 11AB for friendly societies with non-annual actuarial investigations.
  33. 12 Information about chargeable gains.
  34. 12ZA Interpretation of sections 12ZB to 12ZN
  35. 12ZB NRCGT return
  36. 12ZBA Elective NRCGT return
  37. 12ZC Single return in respect of two or more non-resident CGT disposals
  38. 12ZD NRCGT returns: grant and exercise of options
  39. 12ZE NRCGT return to include advance self-assessment
  40. 12ZF The “amount notionally chargeable”
  41. 12ZG Cases where advance self-assessment not required
  42. 12ZH NRCGT returns and annual self-assessment: section 8
  43. 12ZI NRCGT returns and annual self-assessment: section 8A
  44. 12ZJ Sections 12ZA to 12ZI: determination of residence status
  45. 12ZK Amendment of NRCGT return by the taxpayer
  46. 12ZL Correction of NRCGT return by HMRC
  47. 12ZM Notice of enquiry
  48. 12ZN Amendment of return by taxpayer during enquiry
  49. 12AA Partnership return.
  50. 12AAA Withdrawal by HMRC of notice under section 12AA
  51. 12AB Partnership return to include partnership statement.
  52. 12ABZA Partnership returns: overseas partners in investment partnerships etc
  53. 12ABZAA Returns relating to LLP not carrying on business etc with view to profit
  54. 12ABZB Partnership return conclusive as to partnership shares
  55. 12ABA Amendment of partnership return by taxpayer
  56. 12ABB Correction of partnership return by Revenue
  57. 12AC Notice of enquiry
  58. 12AD Amendment of partnership return by taxpayer, or referral of dispute, during enquiry
  59. 12ADA AIFM firms
  60. 12AE Choice between different Cases of Schedule D
  61. 12A UK Economic Interest Groupings and European Economic Interest Groupings.
  62. 12B Records to be kept for purposes of returns.
  63. 12C Digital reporting and record-keeping
  64. 12D Returns made otherwise than pursuant to a notice
  65. 13 Persons in receipt of taxable income belonging to others.
  66. 14 Return of lodgers and inmates.
  67. 15 Return of employees' earnings etc.
  68. 15A Non-resident's staff are UK client's employees for section 15 purposes
  69. 16 Fees, commissions, etc.
  70. 16A Agency workers.
  71. 17 Interest paid or credited by banks, building societies, etc. without deduction of income tax.
  72. 18 Interest paid without deduction of income tax.
  73. 18A Other payments and licences etc.
  74. 18B Savings income: regulations about European and international aspects
  75. 18C Regulations under section 18B: provision about “paying agents”
  76. 18D Content of regulations under section 18B: supplementary provision
  77. 18E Interpretation of sections 18B to 18D: “prescribed” etc
  78. 19 Information for purposes of charge on profits of UK property businesses or under Schedule A.
  79. 19A Power to call for documents for purposes of certain enquiries.
  80. 20 Power to call for documents of taxpayer and others.
  81. 20A Power to call for papers of tax accountant.
  82. 20B Restrictions on powers under section 20A.
  83. 20BA Orders for the delivery of documents.
  84. 20BB Falsification etc. of documents.
  85. 20C Entry with warrant to obtain documents.
  86. 20CC Procedure where documents etc. are removed.
  87. 20D Interpretation of ss.20 to 20C.
  88. 21 Stock jobbers’ transactions.
  89. 22 Additional particulars for surtax.
  90. 23 Power to obtain copies of registers of securities.
  91. 24 Power to obtain information as to income from securities.
  92. 25 Issuing houses, stockbrokers, auctioneers, etc.
  93. 26 Nominee shareholders.
  94. 27 Settled property.
  95. 28 Non-resident companies and trusts.
  96. 28ZA Referral of questions during enquiry
  97. 28ZB Withdrawal of notice of referral
  98. 28ZC Regulations with respect to referrals
  99. 28ZD Effect of referral on enquiry
  100. 28ZE Effect of determination
  101. 28A Completion of enquiry into personal or trustee return ...
  102. 28AA Amendment of return of profits made for wrong period.
  103. 28AB Provisions supplementary to section 28AA.
  104. 28B Completion of enquiry into partnership return
  105. 28C Determination of tax where no return delivered.
  106. 28D Determination of corporation tax where no return delivered.
  107. 28E Determination of corporation tax where notice complied with in part.
  108. 28F Corporation tax determinations: supplementary.
  109. 28G Determination of amount notionally chargeable where no NRCGT return delivered
  110. 28H Simple assessments by HMRC: personal assessments
  111. 28I Simple assessments by HMRC: trustees
  112. 28J Power to withdraw a simple assessment
  113. 29 Assessment where loss of tax discovered.
  114. 29A Non-resident CGT disposals: determination of amount which should have been assessed
  115. 30 Recovery of overpayment of tax, etc.
  116. 30A Assessing procedure.
  117. 30AA Assessing income tax on trustees and personal representatives
  118. 30B Amendment of partnership statement where loss of tax discovered.
  119. 30C Transfer pricing records: carelessness for the purposes of section 29
  120. 30D Transfer pricing records: carelessness for the purposes of section 30B
  121. 31 Appeals: right of appeal
  122. 31A Appeals: notice of appeal
  123. 31AA Taxpayer's right to query simple assessment
  124. 31B Appeals: appeals to General Commissioners
  125. 31C Appeals: appeals to Special Commissioners
  126. 31D Appeals: election to bring appeal before Special Commissioners
  127. 32 Double assessment.
  128. 33 Recovery of overpaid tax etc
  129. 34 Ordinary time limit of 4 years.
  130. 34A Ordinary time limit for self-assessments
  131. 35 Time limit: income received after year for which it is assessable
  132. 36 Loss of tax brought about carelessly or deliberately etc
  133. 36A Loss of tax involving offshore matter or offshore transfer
  134. 37 Neglect: income tax and capital gains tax.
  135. 37A Effect of assessment where allowances transferred.
  136. 38 Modification of s.37 in relation to partnerships.
  137. 39 Neglect: corporation tax.
  138. 40 Assessment on personal representatives.
  139. 41 Leave of General or Special Commissioners required for certain assessments.
  140. 41A Determination procedure
  141. 41B Reduction of determination
  142. 41C Time limits
  143. 42 Procedure for making claims etc.
  144. 43 Time limit for making claims.
  145. 43A Further assessments: claims etc.
  146. 43B Limits on application of section 43A.
  147. 43C Consequential claims etc
  148. 43D Claims for double taxation relief in relation to petroleum revenue tax
  149. 43E Making of income tax claims by electronic communications etc
  150. 43F Effect of directions under section 43E
  151. 44 General Commissioners.
  152. 45 Quorum of Special Commissioners.
  153. 46 General and Special Commissioners.
  154. 46A Regulations about jurisdiction.
  155. 46B Questions to be determined by Special Commissioners.
  156. 46C Jurisdiction of Special Commissioners over certain claims included in returns.
  157. 46D Questions to be determined by the relevant tribunal.
  158. 47 Special jurisdiction relating to tax on chargeable gains.
  159. 47A . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
  160. 47B Special jurisdiction relating to Business Expansion Scheme.
  161. 47C Meaning of tribunal
  162. 48 Application to appeals and other proceedings
  163. 49 Late notice of appeal
  164. 49A Appeal: HMRC review or determination by tribunal
  165. 49B Appellant requires review by HMRC
  166. 49C HMRC offer review
  167. 49D Notifying appeal to the tribunal
  168. 49E Nature of review etc
  169. 49EA Nature of review: penalties under Schedule 24 to FA 2021
  170. 49F Effect of conclusions of review
  171. 49FA Effect of conclusions of review: penalties under Schedule 24 to FA 2021
  172. 49G Notifying appeal to tribunal after review concluded
  173. 49H Notifying appeal to tribunal after review offered but not accepted
  174. 49I Interpretation of sections 49A to 49H
  175. 50 Procedure.
  176. 51 Power of Commissioners to obtain information from appellant.
  177. 52 Evidence.
  178. 53 Appeals against summary determination of penalties.
  179. 54 Settling of appeals by agreement.
  180. 54A No questioning in appeal of amounts of certain social security income
  181. 54B Notifications of taxable amounts of certain social security income
  182. 54C Interpretation of sections 54A and 54B: “appropriate officer” etc
  183. 55 Recovery of tax not postponed.
  184. 56 Payment of tax where there is a further appeal
  185. 56A Appeals from the Special Commissioners.
  186. 56B Regulations about practice and procedure.
  187. 56C Power of Special Commissioners to order costs.
  188. 56D Power of Special Commissioners to publish reports of decisions.
  189. 57 Regulations about appeals.
  190. 57A . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
  191. 57B . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
  192. 58 Proceedings in tax cases in Northern Ireland.
  193. 59 Election for county court in Northern Ireland.
  194. 59A Payments on account of income tax.
  195. 59AZA Payments on account of capital gains tax: disposals of land etc
  196. 59AA Non-resident CGT disposals: payments on account of capital gains tax
  197. 59AB Amounts payable on account: recovery
  198. 59B Payment of income tax and capital gains tax: assessments other than simple assessments.
  199. 59BA Payment of income tax and capital gains tax: simple assessments
  200. 59BB CGT exit charge payment plans
  201. 59C Surcharges on unpaid income tax and capital gains tax.
  202. 59D General rule as to when corporation tax is due and payable.
  203. 59DA Claim for repayment in advance of liability being established.
  204. 59E Further provision as to when corporation tax is due and payable.
  205. 59F Arrangements for paying tax on behalf of group members
  206. 59FA CT exit charge payment plans
  207. 59FB CT payment plans for tax on certain transactions with EEA residents
  208. 59G Managed payment plans
  209. 59H Balancing of instalments for the purposes of section 59G
  210. 60 Issue of demand notes and receipts.
  211. 61 Distraint by collectors.
  212. 62 Priority of claim for tax.
  213. 63 Recovery of tax in Scotland
  214. 63A Sheriff officer’s fees and outlays.
  215. 64 Priority of claim for tax in Scotland.
  216. 65 Magistrates’ courts.
  217. 66 County courts.
  218. 67 Inferior courts in Scotland.
  219. 68 High Court, etc.
  220. 69 Recovery of penalty ... or interest
  221. 70 Evidence.
  222. 70A Payments by cheque.
  223. 71 Bodies of persons.
  224. 72 Trustees, guardians, etc., of incapacitated persons.
  225. 73 Further provision as to infants.
  226. 74 Personal representatives.
  227. 75 Receivers appointed by a court.
  228. 76 Protection for certain trustees, agents and receivers.
  229. 77 Application of Part VII to capital gains tax.
  230. 77A . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
  231. 77B Pre-conditions for serving secondary-liability notice
  232. 77C Secondary-liability notices
  233. 77D Payments under secondary-liability notices
  234. 77E Exception for certain pre-1974 cases
  235. 77F Issue, cancellation and effect of exemption certificates
  236. 77G Liabilities for assessments made after exemption certificate cancelled
  237. 77H Calculations under sections 77C(3) and 77G(7)
  238. 77I Information
  239. 77J Meaning of “related to a licence” as respects tax, or profits or gains
  240. 77K Other definitions in Part 7A
  241. 78 Method of charging non-residents.
  242. 79 Profits from branch or agency.
  243. 80 Charge on percentage of turnover.
  244. 81 Taxation on basis of merchanting profit.
  245. 82 Savings.
  246. 83 Responsibilities and indemnification of persons in whose name a non-resident person is chargeable.
  247. 84 Gains from branch or agency.
  248. 85 Application of Part VIII to corporation tax.
  249. 85A . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
  250. 86 Interest on overdue income tax and capital gains tax.
  251. 86A . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
  252. 87 Interest on overdue income tax deducted at source
  253. 87A Interest on overdue corporation tax etc.
  254. 88 Interest on tax recovered to make good loss due to taxpayer’s fault.
  255. 88A Determinations under section 88.
  256. 89 The prescribed rate of interest.
  257. 90 Interest on tax payable gross
  258. 91 Effect on interest of reliefs.
  259. 91A . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
  260. 92 Remission in certain cases of interest on tax in arrear by reason of exchange restrictions.
  261. 93 Failure to make return for income tax and capital gains tax.
  262. 93A Failure to make partnership return.
  263. 94 Failure to make return for corporation tax.
  264. 95 Incorrect return or accounts for income tax or capital gains tax.
  265. 95A Incorrect partnership return or accounts.
  266. 96 Incorrect return or accounts for corporation tax.
  267. 97 Incorrect return or accounts: supplemental.
  268. 97AA Failure to produce documents under section 19A.
  269. 97A Two or more tax-geared penalties in respect of the same tax.
  270. 98 Special returns, etc.
  271. 98A Special penalties in the case of certain returns.
  272. 98B UK Economic Interest Groupings and European Economic Interest Groupings.
  273. 98C Notification under Part 7 of Finance Act 2004
  274. 99 Assisting in preparation of incorrect return, etc.
  275. 99A Certificates of non-liability to income tax.
  276. 99B Declarations under Chapter 2 of Part 15 of ITA 2007
  277. 100 Determination of penalties by officer of the Board.
  278. 100A Provisions supplementary to section 100.
  279. 100B Appeals against penalty determinations.
  280. 100C Penalty proceedings before First-tier Tribunal .
  281. 100D Penalty proceedings before court.
  282. 101 Evidence for purposes of proceedings relating to penalties.
  283. 102 Mitigation of penalties.
  284. 103 Time limits for penalties.
  285. 103ZA Disapplication of sections 100 to 103 in the case of certain penalties
  286. 103A Interest on penalties.
  287. 104 Saving for criminal proceedings.
  288. 105 Admissibility of evidence not affected by offer of settlement etc.
  289. 106 Refusal to allow a deduction of income tax, and avoidance of agreements for payment without deduction.
  290. 106A Offence of fraudulent evasion of income tax
  291. 106B Offence of failing to give notice of being chargeable to tax
  292. 106C Offence of failing to deliver return
  293. 106D Offence of making inaccurate return
  294. 106E Exclusions from offences under sections 106B to 106D
  295. 106F Offences under sections 106B to 106D: supplementary provision
  296. 106G Penalties for offences under sections 106B to 106D
  297. 106H Regulations under sections 106E and 106F
  298. 107 Criminal liability for false statements made to obtain allowances.
  299. 107A Relevant trustees.
  300. 108 Responsibility of company officers.
  301. 109 Corporation tax on close company in connection with loans or benefits to participators etc.
  302. 109A Residence of companies
  303. 109B Provisions for securing payment by company of outstanding tax
  304. 109C Penalty for company's failure to comply with section 109B
  305. 109D Penalty for other persons if company fails to comply with section 109B
  306. 109E Liability of other persons for unpaid tax
  307. 109F Interpretation of sections 109B to 109E
  308. 110 Valuation of land: power of entry.
  309. 111 Valuation of assets: power to inspect.
  310. 112 Loss, destruction or damage to assessments, returns, etc.
  311. 113 Form of returns and other documents.
  312. 114 Want of form or errors not to invalidate assessments, etc.
  313. 115 Delivery and service of documents.
  314. 115A Electronic lodgement of tax returns, etc.
  315. 116 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
  316. 117 Action of ejectment in Northern Ireland.
  317. 118 Interpretation.
  318. 119 Commencement and construction.
  319. 120 Short title.
  320. SCHEDULE A1 Digital reporting and record-keeping
  321. SCHEDULE 1AA Orders for production of documents
  322. SCHEDULE 1AB Recovery of overpaid tax etc
  323. SCHEDULE 1A Claims etc. not included in returns
  324. SCHEDULE 1B Claims for relief involving two or more years
  325. SCHEDULE 3ZA Date by which payment to be made after amendment or correction of self-assessment
  326. SCHEDULE 3ZAA CGT exit charge payment plans
  327. SCHEDULE 3ZB CT exit charge payment plans
  328. SCHEDULE 3ZC CT Payment plans for tax on certain transactions with EEA residents
  329. SCHEDULE 3A Electronic lodgement of tax returns, etc.
  330. SCHEDULE 4 SAVINGS AND TRANSITORY PROVISIONS

Proposed changes to this act

No one has proposed a change to this act yet.

330 provisions

12ZG Cases where advance self-assessment not required

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12ZH NRCGT returns and annual self-assessment: section 8

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12ZI NRCGT returns and annual self-assessment: section 8A

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12ZJ Sections 12ZA to 12ZI: determination of residence status

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12ZK Amendment of NRCGT return by the taxpayer

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12ZL Correction of NRCGT return by HMRC

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12ZM Notice of enquiry

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12ZN Amendment of return by taxpayer during enquiry

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12AA Partnership return.

(1) Where a trade, profession or business is carried on by two or more persons in partnership, for the purpose of facilitating the establishment of the following amounts, namely— (a) the amount in which each partner chargeable to income tax for any year of assessment is so chargeable and the amount payable by way of income tax by each such partner, and (b) the amount in which each partner chargeable to corporation tax for any period is so chargeable, an officer of the Board may act under subsection (2) or (3) below (or both). (1A) For the purposes of subsection (1) above— (a) the amount in which a partner is chargeable to income tax or corporation tax is a net amount, that is to say, an amount which takes into account any relief or allowance for which a claim is made; and (b) the amount payable by a partner by way of income tax is the difference between the amount in which he is chargeable to income tax and the aggregate amount of any income tax deducted at source ... (1B) Where a partnership to which subsection (1) applies (“the reporting partnership”) includes a partner which is itself a partnership, references in subsections (1) and (1A) to a partner include an indirect partner in the reporting partnership. (1C) For the purposes of this section, a person is an indirect partner in the reporting partnership if the person is a partner in— (a) a partnership which is a partner in the reporting partnership, or (b) any partnership which is an indirect partner in the reporting partnership by virtue of the preceding application of this subsection. (2) An officer of the Board may by a notice given to the partners require such person as is identified in accordance with rules given with the notice or a successor of his— (a) to make and deliver to the officer in respect of such period as may be specified in the notice, on or before such day as may be so specified, 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. (3) An officer of the Board may by notice given to any partner require the partner or a successor of his— (a) to make and deliver to the officer in respect of such period as may be specified in the notice, on or before such day as may be so specified, a return containing such information as may reasonably be required in pursuance of the notice, and (b) to deliver with the return such accounts and statements as may reasonably be so required; and a notice may be given to any one partner or separate notices may be given to each partner or to such partners as the officer thinks fit. (4) In the case of a partnership which includes one or more individuals, a notice under subsection (2) or (3) above may specify different days depending on whether a return in respect of a year of assessment (Year 1) is electronic or non-electronic. (4A) The day specified for a non-electronic return must not be earlier than 31st October of Year 2. (4B) The day specified for an electronic return must not be earlier than 31st January of Year 2. (4C) But subsections (4A) and (4B) are subject to the following two exceptions. (4D) Exception 1 is that if the notice is given after 31st July in Year 2 (but on or before 31st October)— (a) the day specified for a non-electronic return must be after the end of the period of three months beginning with the date of the notice, and (b) the day specified for an electronic return must not be earlier than 31st January. (4E) Exception 2 is that if the notice is given after 31st October in Year 2, the day specified for a return (whether or not electronic) must be after the end of the period of three months beginning with the date of the notice. (5) In the case of a partnership which includes one or more companies, a notice may specify different dates depending on whether a notice in respect of a relevant period is electronic or non-electronic. (5A) The day specified for a non-electronic return must not be earlier than the end of the period of nine months beginning at the end of the relevant period. (5B) The day specified for an electronic return must not be earlier than the first anniversary of the end of the relevant period. (5C) But where the notice is given more than nine months after the end of the relevant period, the day specified for a return (whether or not electronic) must be after the end of the period of three months beginning with the date of the notice. (5D) For the purposes of this section “relevant period” means the period in respect of which the return is required. (5E) The Commissioners— (a) shall prescribe what constitutes an electronic return for the purposes of this section, and (b) may make different provision for different cases or circumstances. (5F) Where a person is required to make and deliver a return under this section, the person may be required by an officer of His Majesty’s Revenue and Customs to include in the return any information that is specified or described in regulations made by the Commissioners (whether or not the information is relevant for the purpose mentioned in subsection (1)). (5G) The Commissioners may only specify or describe information in regulations under subsection (5F) if the Commissioners consider that the information is relevant for the purpose of the collection and management of any of the taxes listed in section 1. (5H) A person who fails to comply with a requirement imposed on them by virtue of subsection (5F) is liable to a penalty of £60. (5I) Regulations under subsection (5F) may make different provision for different purposes. (6) Every return under this section shall include— (a) a declaration of the name, residence and tax reference of each of the persons who have been partners— (i) for the whole of the relevant period, or (ii) for any part of that period, and, in the case of a person falling within sub-paragraph (ii) above, of the part concerned; and (b) a declaration by the person making the return to the effect that it is to the best of his knowledge correct and complete. But see section 12ABZA. (7) Every return under this section shall also include, if the notice under subsection (2) or (3) above so requires— (a) with respect to any disposal of partnership property during a period to which ... the return relates, the like particulars as if the partnership were liable to tax on any chargeable gain accruing on the disposal, ... (b) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (8) A notice under this section may require different information, accounts and statements for different periods or in relation to different descriptions of source of income. (9) Notices under this section may require different information, accounts and statements in relation to different descriptions of partnership. (10) In this section “residence”, in relation to a company, means its registered office. (10A) In this Act a “partnership return” means a return in pursuance of a notice under subsection (2) or (3) above. (10B) If— (a) a partner in a partnership is partner as trustee for a beneficiary who is absolutely entitled to the partner's share of the profits of the partnership, and (b) the beneficiary is chargeable to tax on those profits, references in this Act to the partner include references to the beneficiary. (11) In this Act “successor”, in relation to a person who is required to make and deliver, or has made and delivered, a partnership return, but is no longer available, means— (a) where a partner is for the time being nominated for the purposes of this subsection by a majority of the relevant partners, that partner; and (b) where no partner is for the time being so nominated, such partner as— (i) in the case of a notice under subsection (2) above, is identified in accordance with rules given with that notice; or (ii) in the case of a notice under subsection (3) above, is nominated for the purposes of this subsection by an officer of the Board; and “predecessor” and “successor”, in relation to a person so nominated or identified, shall be construed accordingly. (12) For the purposes of subsection (11) above a nomination under paragraph (a) of that subsection, and a revocation of such a nomination, shall not have effect in relation to any time before notice of the nomination or revocation is given to an officer of the Board. (13) In this section “relevant partner” means a person who was a partner at any time during the period for which the return was made or is required, or the personal representatives of such a person.

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12AAA Withdrawal by HMRC of notice under section 12AA

(1) This section applies to a partner who is required by a notice under section 12AA to deliver a return. (2) Before the end of the withdrawal period, the partner may request HMRC to withdraw the notice. (3) But no request may be made if the partner has delivered a return under section 12AA in pursuance of the notice. (4) If, on receiving a request, HMRC decide to withdraw the notice under section 12AA they must do so by giving the partner a notice under this section. (5) A notice under this section must specify the date on which the notice under section 12AA is withdrawn. (6) For the purposes of subsection (2) “the withdrawal period” means— (a) in the case of a partnership which includes one or more companies, the period of 2 years beginning with the end of the period in respect of which the return under section 12AA was required by the notice under that section, (b) in the case of any other partnership, the period of 2 years beginning with the end of the year of assessment to which the notice under section 12AA relates, or (c) in the case of any partnership, such extended period as HMRC may agree with the partner in exceptional circumstances. (7) Withdrawal of a notice under section 12AA in relation to the period in respect of which the return under that section was required or year of assessment (as the case may be) does not prevent HMRC from serving a further notice under section 12AA requiring a partner to deliver a return in relation to that period or year. (8) References in subsections (2) to (6) to the partner include references to a successor of the partner (see section 12AA(11)). (9) See paragraph 17B of Schedule 55 to FA 2009 as to the cancellation of liability to a penalty under any paragraph of that Schedule by including provision in a notice under this section. (9) See paragraph 21 of Schedule 24 and paragraph 16 of Schedule 25 to the Finance Act 2021 as to the cancellation of liabilities under those Schedules by including provision in a notice under this section.

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12AB Partnership return to include partnership statement.

(1) Every partnership return shall include a statement (a partnership statement) of the following amounts, namely— (a) in the case of the period in respect of which the return is made and each period of account ending within that period— (i) the amount of income or loss from each source which, on the basis of the information contained in the return and taking into account any relief or allowance a section 42(7) claim for which is included in the return, has accrued to or has been sustained by the partnership for the period in question, (ia) the amount of the consideration which, on that basis, has accrued to the partnership in respect of each disposal of partnership property during that period, and (ii) each amount of income tax which, on that basis, has been deducted or treated as deducted from any income of the partnership, or treated as paid on any such income, for that period, ... (iii) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (iv) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (b) in the case of each such period as is mentioned in paragraph (a) above and each of the partners, the amount which, on that basis and (where applicable) taking into account any such relief or allowance, is equal to his share of that income, loss, consideration or tax. (1A) Where at any time in a period mentioned in subsection (1)(a) the reporting partnership is a partner in another partnership which carries on a trade, profession or business— (a) income or loss that the reporting partnership accrues or sustains thereby is to be treated for the purposes of subsection (1)(a)(i) as from a source that is separate from any of its other sources of income or loss, (b) consideration in respect of the disposal of partnership property that the reporting partnership accrues thereby is to be treated for the purposes of subsection (1)(a)(ia) as from a source that is separate from any of its other sources of consideration, (c) income tax which has been deducted or treated as deducted from, or paid on, any income that the reporting partnership accrues thereby is to be treated for the purposes of subsection (1)(a)(ii) as being deducted or treated as deducted from, or paid on, a source of income that is separate from any of its other sources of income, and (d) amounts specified in the partnership statement under subsection (1)(a) must include— (i) each amount which is stated to be equal to the reporting partnership's share of income, loss, consideration or tax in any partnership statement made under this section in relation to the other partnership for the period for which the return is made or a period which includes that period or any part of it, and (ii) a statement as to which of the assumptions in subsection (1B) was applied in calculating that amount. (1B) If at any time in a period mentioned in subsection (1)(a) the reporting partnership includes a partner which is itself a partnership (“the participating partnership”), the amounts referred to in subsection (1)(b) must be calculated and included in the partnership statement applying each of the following assumptions to the participating partnership— (a) that it is a UK resident individual; (b) that it is a non-UK resident individual; (c) that it is a UK resident company; (d) that it is a non-UK resident company. (1C) But subsection (1D) applies if the partnership return includes— (a) the name of every person who was an indirect partner in the reporting partnership at any time in a period mentioned in subsection (1)(a), and (b) at least some of the following information— (i) whether a person named under paragraph (a) is an individual, company or partnership (or something else), (ii) in the case of such a person who is an individual, whether the individual was or was not resident in the United Kingdom in the year of assessment for which the partnership return is made, and (iii) in the case of such a person who is a company, whether the company was or was not resident in the United Kingdom for each accounting period of the company which includes all, or any part of, a period mentioned in subsection (1)(a). (1D) In subsection (1B)— (a) ignore either or both of paragraph (a) and (b) if it is apparent from information provided under subsection (1C) that none of the indirect partners of the reporting partnership is a person of a description specified in that paragraph at any time in the year of assessment for which the return is made, and (b) ignore either or both of paragraph (c) and (d) if it is apparent from that information that none of the indirect partners is a company of a description specified in that paragraph at any time in any of its accounting periods which include all, or any part of, a period mentioned in subsection (1)(a). (2) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (3) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (4) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (5) In this section— . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . “indirect partner”, in relation to the reporting partnership, is to be construed in accordance with section 12AA(1C); “reporting partnership” means the partnership to which the partnership statement referred to in subsection (1) relates; “section 42(7) claim” means a claim under any of the provisions mentioned in section 42(7) of this Act; . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

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12ABZA Partnership returns: overseas partners in investment partnerships etc

(1) There is no requirement for a partnership return to include a declaration of the tax reference of a person (see section 12AA(6)(a)) if— (a) the person is not chargeable to income tax or corporation tax for the period, or for a period which includes any part of the period, in respect of which the partnership return is made, (b) the partnership does not carry on a trade or profession or a UK property business at any time during the period in respect of which the partnership return is made, (c) the whole of that period is a period in respect of which the partnership is required to set out information about the person in one or more relevant returns, and (d) the partnership return includes a statement that the condition in paragraph (c) is met. (2) In subsection (1)(c) “relevant return” means a return under the International Tax Compliance Regulations 2015 (S.I. 2015/878). (3) If, in reliance on this section, the partnership return does not include a declaration of the tax reference of a person but the partnership does not comply with the requirement mentioned in subsection (1)(c), the partner required to make and deliver the partnership return, or that partner's successor, must give notice to HMRC specifying the tax reference. (4) The notice must be given within the period of 12 months beginning with the filing date for the partnership return. (5) The Commissioners for Her Majesty's Revenue and Customs may by regulations made by statutory instrument amend the definition of “relevant return” in subsection (2). (6) A statutory instrument containing regulations under subsection (5) is subject to annulment in pursuance of a resolution of the House of Commons. (7) In this section “filing date” has the same meaning as in section 12ABA.

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12ABZAA Returns relating to LLP not carrying on business etc with view to profit

(1) This section applies where— (a) a person delivers a purported partnership return (“the relevant return”) in respect of a period (“the relevant period”), (b) the relevant return— (i) is made on the basis that the activities of a limited liability partnership (“the LLP”) are treated, under section 863 of ITTOIA 2005 or section 1273 of CTA 2009, as carried on in partnership by its members (“the purported partnership”), and (ii) relates to the purported partnership, but (c) the LLP does not carry on a business with a view to profit in the relevant period (and, accordingly, its activities are not treated as mentioned in paragraph (b)(i)). (2) For the purposes of the relevant enactments, treat the relevant return as a partnership return (and, accordingly, anything done under a relevant enactment in connection with the relevant return has the same effect as it would have if done in connection with a partnership return in a corresponding partnership case). (3) “Relevant enactment” means— (a) any of the following— (i) sections 12AC and 28B (enquiries into partnership returns), (ii) Part 4 of FA 2014 (follower notices and accelerated payment notices), and (b) any enactment relating to, or applying for the purposes of, an enactment within paragraph (a). (4) In relation to the relevant return, the relevant enactments apply with the necessary modifications, including in particular the following— (a) “partner” includes purported partner, and (b) “partnership” includes the purported partnership. (5) In this section— “business” includes trade or profession; “corresponding partnership case” means a corresponding case in which the limited liability partnership in question carries on a business with a view to profit in the relevant period; “purported partner” means any person who was a member of the LLP in the relevant period; “purported partnership return” means anything that— purports to be a partnership return, and is in a form, and is delivered in a way, that a partnership return could have been made and delivered in a corresponding partnership case.

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12ABZB Partnership return conclusive as to partnership shares

(1) A partnership return is conclusive for tax purposes as to— (a) whether a person does or does not have a share in the profits or losses of the partnership for any period, and (b) what the share of any person in those profits or losses is. (2) That applies even where the person would not otherwise be chargeable to tax on profits of the partnership. (3) If there is a dispute between the person mentioned in subsection (1)(a) or (b) and any one or more partners in the partnership about whether what is given in a partnership return is correct as to the matters mentioned in that subsection, a party to the dispute may refer it to the tribunal for determination. (4) That does not include a dispute to the extent that it is in substance about the amount (before sharing) of the partnership's profits or losses for a period. (5) A referral under subsection (3) must be made before the end of the period of 12 months beginning with the day after— (a) the day on which the partnership return was delivered, or (b) if the dispute relates to an amendment to the return made under section 12ABA (amendment of partnership return by taxpayer), the day on which the amendment was made. (6) Where a dispute is referred to the tribunal under subsection (3)— (a) the party referring it must at the same time give notice of the referral to— (i) HMRC, and (ii) the reporting partner, and (b) the reporting partner must give notice of the referral to— (i) every other partner in the partnership, and (ii) any other person appearing to the reporting partner to be a party to the dispute. But notice need not be given under this subsection to anyone who referred the dispute. (7) Where the tribunal determines that what is given in the partnership return as to the matters referred to in subsection (1)(a) or (b) is not correct— (a) the tribunal must determine what the return should have given, and (b) HMRC must amend the return accordingly. (8) Where a partnership return is amended under subsection (7)(b), HMRC must by notice to any party to the proceedings or any partner in the partnership amend— (a) their return under section 8 or 8A of this Act, or (b) their company tax return, if the amendments are necessary to give effect to the consequences of the amendment of the partnership return. (9) Where at any time after a referral is made under subsection (3) but before the tribunal determines the dispute the reporting partner gives notice to HMRC that all the partners in the partnership (whether or not party to the proceedings) have agreed in writing that the partnership return— (a) is correct without variation, or (b) requires correcting in a particular manner, the like consequences shall ensue for all purposes as would have ensued if, at the time the agreement was made, the tribunal had determined the dispute in accordance with the terms of the agreement. (10) Subsection (9) does not apply if— (a) within the period of 30 days beginning with the date of the agreement, a party to the agreement gives notice to the other parties to the agreement that the party wishes to repudiate or resile from the agreement, or (b) within the period of 30 days beginning with the date on which it receives notice of the agreement, HMRC gives notice to the reporting partner of its objection to the agreement. (11) A partnership return which has been the subject of a referral under subsection (3) may not be the subject of another referral under that subsection, unless that other referral— (a) relates to a dispute arising in consequence of an amendment of the partnership return under section 12ABA (amendment of partnership return by taxpayer), and (b) is the first referral following the amendment. (12) In this section— “reporting partner” means the partner who made and delivered the partnership return or that partner's successor; references to a partner in a partnership are to a person who was a partner in it at any time during the period in respect of which the partnership return was made.

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12ABA Amendment of partnership return by taxpayer

(1) A partnership return (including anything included in the return by virtue of section 12ABZB(7)(b) (amendment of partnership return following referral to tribunal)) may be amended by the partner who made and delivered the return, or his successor, by notice to an officer of the Board. (2) An amendment may not be made more than twelve months after the filing date. (3) Where a partnership return is amended under this section, the officer shall by notice to each of the partners amend— (a) the partner’s return under section 8 or 8A of this Act, or (b) the partner’s company tax return, so as to give effect to the amendment of the partnership return. (4) In this section “the filing date” means— (a) in the case of a partnership which includes one or more individuals, in respect of a return for a year of assessment (Year 1)— (i) 31st January of Year 2, or (ii) if the notice under section 12AA is given after 31st October of Year 2, the last day of the period of three months beginning with the date of the notice, and (b) in the case of a partnership which includes one or more companies, the end of the period specified in section 12AA(5B) or (5C).

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12ABB Correction of partnership return by Revenue

(1) An officer of the Board may amend a partnership return so as to correct— (a) obvious errors or omissions in the return (whether errors of principle, arithmetical mistakes or otherwise), and (b) anything else in the return that the officer has reason to believe is incorrect in the light of information available to the officer. (2) A correction under this section is made by notice to the partner who made and delivered the return, or his successor. (3) No such correction may be made more than nine months after— (a) the day on which the return was delivered, or (b) if the correction is required in consequence of an amendment of the return under section 12ABA of this Act, the day on which that amendment was made. (4) A correction under this section is of no effect if the person to whom the notice of correction was given, or his successor, gives notice rejecting the correction. (5) Notice of rejection under subsection (4) above must be given— (a) to the officer of the Board by whom the notice of correction was given, (b) before the end of the period of 30 days beginning with the date of issue of the notice of correction. (6) Where a partnership return is corrected under this section, the officer shall by notice to each of the partners amend— (a) the partner’s return under section 8 or 8A of this Act, or (b) the partner’s company tax return, so as to give effect to the correction of the partnership return. Any such amendment shall cease to have effect if the correction is rejected.

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12AC Notice of enquiry

(1) An officer of the Board may enquire into a partnership return if he gives notice of his intention to do so (“notice of enquiry”)— (a) to the partner who made and delivered the return, or his successor, (b) within the time allowed. (2) The time allowed is— (a) if the return was delivered on or before the filing date, up to the end of the period of twelve months after the day on which the return was delivered; (b) if the return was delivered after the filing date, up to and including the quarter day next following the first anniversary of the day on which the return was delivered; (c) if the return is amended under section 12ABA of this Act, up to and including the quarter day next following the first anniversary of the day on which the amendment was made. (d) if a dispute in relation to the return is referred to a tribunal under section 12ABZB(3) of this Act, up to and including the quarter day next following the first anniversary of the day on which HMRC received notification of the referral. For this purpose the quarter days are 31st January, 30th April, 31st July and 31st October. (3) A return which has been the subject of one notice of enquiry may not be the subject of another, except one given in consequence of an amendment (or another amendment) of the return under section 12ABA of this Act or in consequence of the referral of a dispute about the return under section 12ABZB(3) of this Act. (4) An enquiry extends to anything contained in the return, or required to be contained in the return, including any claim or election included in the return and including anything included in the return by virtue of section 12ABZB(7)(b), subject to the following limitations. (5) If the notice of enquiry is given as a result of an amendment of the return under section 12ABA of this Act— (a) at a time when it is no longer possible to give notice of enquiry under subsection (2)(a) or (b) above, ... (b) after a final closure notice has been issued in relation to an enquiry into the return, or (c) after a partial closure notice has been issued in such an enquiry in relation to the matters to which the amendment relates or which are affected by the amendment, the enquiry into the return is limited to matters to which the amendment relates or which are affected by the amendment. (5A) If the notice of enquiry is given as a result of the referral of a dispute under section 12ABZB(3) of this Act— (a) at a time when it is no longer possible to give notice of enquiry under subsection (2)(a) or (b) above, (b) after a final closure notice has been issued in relation to an enquiry into the return, or (c) after a partial closure notice has been issued in such an enquiry in relation to the matters to which the dispute relates or which are affected by it, the enquiry into the return is limited to the matters to which the dispute relates or which are affected by it. (6) The giving of notice of enquiry under subsection (1) above at any time shall be deemed to include the giving of notice of enquiry— (a) under section 9A(1) of this Act to each partner who at that time has made a return under section 8 or 8A of this Act or at any subsequent time makes such a return, or (b) under paragraph 24 of Schedule 18 to the Finance Act 1998 to each partner who at that time has made a company tax return or at any subsequent time makes such a return. (7) In this section “the filing date” means the day specified in the notice under section 12AA(2) of this Act or, as the case may be, subsection (3) of that section.

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12AD Amendment of partnership return by taxpayer, or referral of dispute, during enquiry

(1) This section applies if a partnership return is amended under section 12ABA of this Act (amendment of partnership return by taxpayer), or a dispute about the return is referred to the tribunal under section 12ABZB(3) of this Act, at a time when an enquiry into the return is in progress in relation to any matter to which the amendment or dispute relates or which is affected by the amendment or dispute. (2) The amendment or dispute does not restrict the scope of the enquiry but may be taken into account (together with any matters arising) in the enquiry. (3) So far as the amendment affects any amount stated in the partnership statement included in the return, it does not take effect while the enquiry is in progress in relation to any matter to which the amendment relates or which is affected by the amendment and— (a) if the officer states in a partial or final closure notice that he has taken the amendment into account and that— (i) the amendment has been taken into account in formulating the amendments contained in the notice, or (ii) his conclusion is that the amendment is incorrect, the amendment shall not take effect; (b) otherwise, the amendment takes effect when a partial closure notice is issued in relation to the matters to which the amendment relates or which are affected by the amendment or, if no such notice is issued, a final closure notice is issued. (4) Where the effect of an amendment is deferred under subsection (3) above— (a) no amendment to give effect to that amendment (“the deferred amendment”) shall be made under section 12ABA(3) of this Act (consequential amendment of partners’ returns) while the enquiry is in progress in relation to any matter to which the amendment relates or which is affected by the amendment; (b) if the deferred amendment does not take effect but is taken into account as mentioned in subsection (3)(a)(i) above, section 28B(4) of this Act (amendment of partners’ returns consequential on amendment of partnership return by closure notice) applies accordingly; and (c) if the deferred amendment takes effect under subsection (3)(b) above, any necessary amendment under section 12ABA(3) of this Act may then be made. (5) For the purposes of this section the period during which an enquiry is in progress in relation to any matter is the whole of the period— (a) beginning with the day on which notice of enquiry is given, and (b) ending with the day on which a partial closure notice is issued in relation to the matter or, if no such notice is issued, a final closure notice is issued.

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12ADA AIFM firms

(1) An officer of Revenue and Customs may by notice require a partnership which has made an election under section 863H of ITTOIA 2005 (whether or not the election has been revoked) to provide the officer with such information as the officer may reasonably require for purposes connected with the operation of sections 863H to 863K of ITTOIA 2005. (2) The information must be provided within such reasonable time as the officer may specify in the notice.

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12AE Choice between different Cases of Schedule D

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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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12B Records to be kept for purposes of returns.

(1) Any person who may be required by a notice under section 8, 8A ... or 12AA of this Act ... to make and deliver a return for a year of assessment or other period shall— (a) keep all such records as may be requisite for the purpose of enabling him to make and deliver a correct and complete return for the year or period; and (b) preserve those records until the end of the relevant day, that is to say, the day mentioned in subsection (2) below or, where a return is required by a notice given on or before that day, whichever of that day and the following is the latest, namely— (i) where enquiries into the return ... are made by an officer of the Board, the day on which, by virtue of section 28A(1B) or 28B(1B) of this Act, those enquiries are ... completed; and (ii) where no enquiries into the return ... are so made, the day on which such an officer no longer has power to make such enquiries. (2) The day referred to in subsection (1) above is— (a) in the case of a person carrying on a trade, profession or business alone or in partnership or a company, the fifth anniversary of the 31st January next following the year of assessment or (as the case may be) the sixth anniversary of the end of the period; (b) otherwise, the first anniversary of the 31st January next following the year of assessment ... or (in either case) such earlier day as may be specified in writing by the Commissioners for Her Majesty's Revenue and Customs (and different days may be specified for different cases). (2A) Any person who— (a) is required, by such a notice as is mentioned in subsection (1) above given at any time after the end of the day mentioned in subsection (2) above, to make and deliver a return for a year of assessment or other period; and (b) has in his possession at that time any records which may be requisite for the purpose of enabling him to make and deliver a correct and complete return for the year or period, shall preserve those records until the end of the relevant day, that is to say, the day which, if the notice had been given on or before the day mentioned in subsection (2) above, would have been the relevant day for the purposes of subsection (1) above. (3) In the case of a person carrying on a trade, profession or business alone or in partnership— (a) the records required to be kept and preserved under subsection (1) or (2A) above shall include records of the following, namely— (i) all amounts received and expended in the course of the trade, profession or business and the matters in respect of which the receipts and expenditure take place, and (ii) in the case of a trade involving dealing in goods, all sales and purchases of goods made in the course of the trade; ... (b) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (3A) The Commissioners for Her Majesty's Revenue and Customs may by regulations— (a) provide that the records required to be kept and preserved under this section include, or do not include, records specified in the regulations, and (b) provide that those records include supporting documents so specified. (4) The duty under subsection (1) or (2A) to preserve records may be discharged— (a) by preserving them in any form and by any means, or (b) by preserving the information contained in them in any form and by any means, subject to subsection (4A) and any conditions or further exceptions specified in writing by the Commissioners for Her Majesty's Revenue and Customs. (4A) Subsection (4)(b) does not apply in the case of the following kinds of records— (a) any statement in writing such as is mentioned in— (i) subsection (1) of section 1100 of CTA 2010 (amount of distribution, formerly amount of qualifying distribution and tax credit), or (ii) section 495(1) or 975(2) or (4) of ITA 2007 (statements about deduction of income tax), which is furnished by the company or person there mentioned, whether after the making of a request or otherwise; (b) any record (however described) which is required by regulations under section 70(1)(c) of the Finance Act 2004 to be given to a sub-contractor (within the meaning of section 58 of that Act) on the making of a payment to which section 61 of that Act (deductions on account of tax) applies; (c) any such record as may be requisite for making a correct and complete claim in respect of, or otherwise requisite for making a correct and complete return so far as relating to, an amount of tax— (i) which has been paid under the laws of a territory outside the United Kingdom, or (ii) which would have been payable under the law of a territory outside the United Kingdom (“territory F”) but for a development relief. (4B) In subsection (4A)(c) “development relief” means a relief— (a) given under the law of territory F with a view to promoting industrial, commercial, scientific, educational or other development in a territory outside the United Kingdom, and (b) about which provision is made in arrangements that have effect under section 2(1) of TIOPA 2010 (double taxation relief by agreement with territories outside the United Kingdom). (5) Subject to subsections (5A) and (5B) below, any person who fails to comply with subsection (1) or (2A) above in relation to a year of assessment or accounting period shall be liable to a penalty not exceeding £3,000. (5A) Subsection (5) above does not apply where the records which the person fails to keep or preserve are records which might have been requisite only for the purposes of claims, elections or notices which are not included in the return. (5B) Subsection (5) above also does not apply where— (a) the records which the person fails to keep or preserve are records falling within paragraph (a) of subsection (4A) above; and (b) an officer of the Board is satisfied that any facts which he reasonably requires to be proved, and which would have been proved by the records, are proved by other documentary evidence furnished to him. (5BA) Regulations under this section may make provision, in relation to relevant transfer pricing records specified, or of a description specified, in the regulations— (a) as to the form or manner in which those records are to be kept and preserved; (b) by reference to things specified in the transfer pricing guidelines (within the meaning of section 164 of TIOPA 2010 (interpretation in accordance with OECD principles)). (5C) Regulations under this section may— (a) make different provision for different cases, and (b) make provision by reference to things specified in a notice published by the Commissioners for Her Majesty's Revenue and Customs in accordance with the regulations (and not withdrawn by a subsequent notice). (6) For the purposes of this section— (a) a person engaged in the letting of property shall be treated as carrying on a trade; ... (aa) records are “relevant transfer pricing records” if the Commissioners for His Majesty’s Revenue and Customs reasonably consider that the records may relate to the calculation of profits or losses in accordance with Part 4 of TIOPA 2010 (transfer pricing); (b) “supporting documents” includes accounts, books, deeds, contracts, vouchers and receipts.

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12C Digital reporting and record-keeping

Schedule A1 (digital reporting and record-keeping) has effect.

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12D Returns made otherwise than pursuant to a notice

(1) This section applies where— (a) a person delivers a purported return (“the relevant return”) under section 8, 8A or 12AA (“the relevant section”) for a year of assessment or other period (“the relevant period”), (b) no notice under the relevant section has been given to the person in respect of the relevant period, and (c) HMRC treats the relevant return as a return made and delivered in pursuance of such a notice. (2) For the purposes of the Taxes Acts— (a) treat a relevant notice as having been given to the person on the day the relevant return was delivered, and (b) treat the relevant return as having been made and delivered in pursuance of that notice (and, accordingly, treat it as if it were a return under the relevant section). (3) “Relevant notice” means— (a) in relation to section 8 or 8A, a notice under that section in respect of the relevant period; (b) in relation to section 12AA, a notice under section 12AA(3) requiring the person to deliver a return in respect of the relevant period, on or before the day the relevant return was delivered (or, if later, the earliest day that could be specified under section 12AA). (4) In subsection (1)(a) “purported return” means anything that— (a) is in a form, and is delivered in a way, that a corresponding return could have been made and delivered had a relevant notice been given, and (b) purports to be a return under the relevant section. (5) Nothing in this section affects sections 34 to 36 or any other provisions of the Taxes Acts specifying a period for the making or delivering of any assessment (including self-assessment) to income tax or capital gains tax.

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13 Persons in receipt of taxable income belonging to others.

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14 Return of lodgers and inmates.

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15 Return of employees' earnings etc.

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15A Non-resident's staff are UK client's employees for section 15 purposes

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16 Fees, commissions, etc.

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16A Agency workers.

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17 Interest paid or credited by banks, building societies, etc. without deduction of income tax.

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18 Interest paid without deduction of income tax.

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18A Other payments and licences etc.

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18B Savings income: regulations about European and international aspects

(1) The Treasury may make regulations for implementing and for dealing with matters arising out of or related to— (a) any EU obligation created with a view to ensuring the effective taxation of savings income under the law of the United Kingdom and the laws of the other member States, and (b) any arrangements made with a territory other than a member State with a view to ensuring the effective taxation of savings income under the law of the United Kingdom and the law of the other territory. (2) In this section “savings income” means— (a) interest, apart from interest of a prescribed description, or (b) other sums of a prescribed description. (3) The power to make regulations under this section is exercisable by statutory instrument. (4) A statutory instrument containing regulations under this section is subject to annulment in pursuance of a resolution of the House of Commons.

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18C Regulations under section 18B: provision about “paying agents”

(1) Regulations under section 18B may, in particular, require paying agents— (a) to obtain and verify prescribed descriptions of information about the identity and residence of relevant payees to whom they make savings income payments, and (b) to provide to the Commissioners for Her Majesty's Revenue and Customs, or an officer of Revenue and Customs, prescribed descriptions of information about relevant payees to whom they make savings income payments and about the savings income payments which they make to them. (2) Regulations under section 18B may include provision for the inspection on behalf of the Commissioners of books, documents and other records of persons who are, or appear to an officer to be, paying agents. (3) In this section “paying agents” means persons of a prescribed description who make savings income payments to other persons. (4) In this section “relevant payees” means— (a) persons of a prescribed description who are resident (within the meaning of regulations under section 18B) in a prescribed territory, and (b) persons of any such other description as may be prescribed. (5) For the purposes of this section, a person makes savings income payments to another person if the person— (a) makes payments of savings income to the other person, or (b) secures the payment of savings income for the other person. (6) In this section “savings income” has the same meaning as in section 18B. (7) The descriptions of persons who may be prescribed under subsection (3) include, in particular, public officers and government departments. (8) The only territories which may be prescribed under subsection (4)(a) are— (a) the other member States, and (b) territories with which arrangements such as are mentioned in section 18B(1)(b) have been made.

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18D Content of regulations under section 18B: supplementary provision

(1) Regulations under section 18B may include provision for notices under such regulations to be combined with notices under paragraph 1 of Schedule 23 to the Finance Act 2011 (data-gathering powers). (2) Regulations under section 18B may include provision about the time at or within which, and the manner in which, any requirement imposed by such regulations is to be complied with. (3) Regulations under section 18B may include provision for penalties for failure to comply with requirements imposed by such regulations, including provision applying any provision of this Act about the determination of penalties or any other matter relating to penalties. (4) Regulations under section 18B— (a) may make different provision for different cases or descriptions of case, and (b) may include incidental, supplemental, consequential and transitional provision and savings.

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18E Interpretation of sections 18B to 18D: “prescribed” etc

(1) In sections 18B to 18D “prescribed” means prescribed by regulations under section 18B. (2) The following provisions do not apply for the purposes of sections 18B to 18D— (a) section 118 of this Act (interpretation), and (b) section 18 of ITA 2007 (meaning of “savings income” in the Income Tax Acts).

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19 Information for purposes of charge on profits of UK property businesses or under Schedule A.

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19A Power to call for documents for purposes of certain enquiries.

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20 Power to call for documents of taxpayer and others.

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