Law

Finance Act 2009

United Kingdom · statute

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In force since 2026-10-02, 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: 184 provisions
  1. Title and introductory text
  2. 1 Charge and main rates for 2009-10
  3. 2 Basic rate limit for 2009-10
  4. 3 Personal allowance for 2009-10 for those aged under 65
  5. 4 Reduction of personal allowance for those with income exceeding £100,000
  6. 5 Abolition of personal reliefs for non-residents
  7. 6 Additional rate, dividend additional rate, trust rates and pension tax rates
  8. 7 Charge and main rates for financial year 2010
  9. 8 Small companies' rates and fractions for financial year 2009
  10. 9 Extension of reduced standard rate and anti-avoidance provision
  11. 10 Thresholds for residential property
  12. 11 Rates of alcoholic liquor duty
  13. 12 Rates of tobacco products duty
  14. 13 Rates for 2009-10
  15. 14 Rates from April 2010
  16. 15 Rates and rebates from Spring 2009
  17. 16 Rates and rebates from September 2009
  18. 17 Rates of air passenger duty
  19. 18 Standard rate of landfill tax
  20. 19 Rates of gaming duty
  21. 20 Bingo duty
  22. 21 Amounts of duty on amusement machine licences
  23. 22 Provisions affecting amount of amusement machine licence duty
  24. 23 Temporary extension of loss carry back provisions
  25. 24 First-year capital allowances for expenditure in 2009-2010
  26. 25 Agreements to forgo tax reliefs
  27. 26 Contaminated and derelict land
  28. 27 Venture capital schemes
  29. 28 Group relief: preference shares
  30. 29 Sale of lessor companies etc: reforms
  31. 30 Tax relief for business expenditure on cars and motor cycles
  32. 31 Reallocation of chargeable gain or loss within a group
  33. 32 Stock lending: chargeable gains in event of insolvency etc of borrower
  34. 33 FSCS payments representing interest
  35. 34 Corporation tax treatment of company distributions received
  36. 35 Tax treatment of financing costs and income
  37. 36 Controlled foreign companies
  38. 37 International movement of capital
  39. 38 Corporation tax: foreign currency accounting
  40. 39 Certain distributions of offshore funds taxed as interest
  41. 40 Income tax credits for foreign distributions
  42. 41 Loan relationships involving connected parties
  43. 42 Release of trade etc debts
  44. 43 Foreign exchange matching: anti-avoidance
  45. 44 Tax treatment of participants in offshore funds
  46. 45 Power to enable dividends of investment trusts to be taxed as interest
  47. 46 Insurance companies
  48. 47 Equalisation reserves for Lloyd's corporate and partnership members
  49. 48 Disguised interest
  50. 49 Transfer of income streams
  51. 50 SAYE schemes
  52. 51 Remittance basis
  53. 52 Exemption for certain non-domiciled persons
  54. 53 Taxable benefits: cars
  55. 54 Taxable benefit of cars: price of automatic car for disabled employee
  56. 55 Exemption of benefit consisting of health-screening or medical check-up
  57. 56 MEPs' pay, allowances and pensions under European Parliament Statute
  58. 57 Tax underlying dividends
  59. 58 Manufactured overseas dividends
  60. 59 Payments by reference to foreign tax etc
  61. 60 Anti-fragmentation
  62. 61 Financial arrangements avoidance
  63. 62 Transfers of trade to obtain terminal loss relief
  64. 63 Sale of lessor companies etc: anti-avoidance
  65. 64 Leases of plant or machinery
  66. 65 Long funding leases of films
  67. 66 Real Estate Investment Trusts
  68. 67 Deductions for employee liabilities
  69. 68 Employment loss relief
  70. 69 No loss relief for losses from contracts for life insurance etc
  71. 70 Intangible fixed assets and goodwill
  72. 71 Taxable benefit of living accommodation: lease premiums
  73. 72 Special annual allowance charge etc
  74. 73 Financial assistance scheme
  75. 74 FSCS intervention in relation to insurance in connection with pensions
  76. 75 Power to make retrospective non-charging provision
  77. 76 Place of supply of services etc
  78. 77 Repayment to those in business in other States
  79. 78 Information relating to cross-border supplies of services to taxable recipients
  80. 79 Effect of VAT changes on arbitration of rent for agricultural holdings
  81. 80 Exercise of collective rights by tenants of flats
  82. 81 Registered providers of social housing
  83. 82 Rent to shared ownership
  84. 83 Stamp taxes in event of insolvency
  85. 84 Capital allowances for oil decommissioning expenditure
  86. 85 Blended oil
  87. 86 Chargeable gains
  88. 87 Oil assets put to other uses
  89. 88 Former licensees and former oil fields
  90. 89 Abolition of provisional expenditure allowance
  91. 90 Supplementary charge: reduction for certain new oil fields
  92. 91 Miscellaneous amendments
  93. 92 HMRC Charter
  94. 93 Duties of senior accounting officers of qualifying companies
  95. 94 Publishing details of deliberate tax defaulters
  96. 95 Amendment of information and inspection powers
  97. 96 Extension of information and inspection powers to further taxes
  98. 97 Powers to obtain contact details for debtors
  99. 98 Record-keeping
  100. 99 Time limits for assessments, claims etc
  101. 100 Recovery of overpaid tax etc
  102. 101 Late payment interest on sums due to HMRC
  103. 102 Repayment interest on sums to be paid by HMRC
  104. 103 Rates of interest
  105. 103A Further provision as to late payment interest and repayment interest
  106. 104 Supplementary
  107. 105 Miscellaneous amendments
  108. 106 Penalties for failure to make returns etc
  109. 107 Penalties for failure to pay tax
  110. 108 Suspension of penalties during currency of agreement for deferred payment
  111. 109 Miscellaneous amendments
  112. 110 Recovery of debts using PAYE regulations
  113. 111 Managed payment plans
  114. 112 Customs and excise enforcement: movements between member States
  115. 113 VAT exemption for gaming participation fees
  116. 114 Gaming duty
  117. 115 Remote bingo etc
  118. 116 Meaning of “gaming machine” and “gaming”
  119. 117 Taxable commodities ineligible for reduced-rate supply
  120. 118 Removal of reduced rate where targets not met
  121. 119 Landfill tax: prescribed landfill site activities
  122. 120 Requirement to destroy replaced vehicle registration documents
  123. 121 Hydrocarbon oil duties: minor amendments
  124. 122 Inheritance tax: agricultural property and woodlands relief for EEA land
  125. 123 Alternative finance investment bonds
  126. 124 Mutual societies: tax consequences of transfers of business etc
  127. 125 National Savings ordinary accounts: surplus funds
  128. 126 Interpretation
  129. 127 Short title
  130. SCHEDULE 1 Income tax: abolition of non-residents' personal reliefs
  131. SCHEDULE 2 Income tax rates
  132. SCHEDULE 3 VAT: supplementary charge and orders changing rate
  133. SCHEDULE 4 Vehicle excise duty: further provision about rates of duty etc
  134. SCHEDULE 5 Air passenger duty
  135. SCHEDULE 6 Temporary extension of carry back of losses
  136. SCHEDULE 7 Contaminated and derelict land
  137. SCHEDULE 8 Venture capital schemes
  138. SCHEDULE 11 Tax relief for business expenditure on cars and motor cycles
  139. SCHEDULE 12 Reallocation of chargeable gain or loss within a group
  140. SCHEDULE 13 Chargeable gains in stock lending: insolvency etc of borrower
  141. SCHEDULE 14 Corporation tax treatment of company distributions
  142. SCHEDULE 15 Tax treatment of financing costs and income
  143. SCHEDULE 16 Controlled foreign companies
  144. SCHEDULE 17 International movement of capital
  145. SCHEDULE 19 Income tax credits for foreign distributions
  146. SCHEDULE 20 Loan relationships: connected parties
  147. SCHEDULE 21 Foreign exchange: anti-avoidance
  148. SCHEDULE 22 Offshore funds
  149. SCHEDULE 23 Insurance companies
  150. SCHEDULE 24 Disguised interest
  151. SCHEDULE 25 Transfers of income streams
  152. SCHEDULE 26 Certification of SAYE savings arrangements
  153. SCHEDULE 27 Remittance basis
  154. SCHEDULE 28 Taxable benefits: cars
  155. SCHEDULE 30 Financial arrangements avoidance
  156. SCHEDULE 32 Leases of plant or machinery
  157. SCHEDULE 33 Long funding leases of films
  158. SCHEDULE 36 VAT: place of supply of services etc
  159. SCHEDULE 37 Stock lending: stamp taxes in the event of insolvency
  160. SCHEDULE 38 Capital allowances for oil decommissioning expenditure
  161. SCHEDULE 39 PRT: blended oil
  162. SCHEDULE 40 Oil: chargeable gains
  163. SCHEDULE 41 Oil assets put to other uses
  164. SCHEDULE 42 PRT: former licensees and former oil fields
  165. SCHEDULE 43 PRT: abolition of provisional expenditure allowance
  166. SCHEDULE 44 Supplementary charge: reduction for certain new oil fields
  167. SCHEDULE 45 Oil: miscellaneous amendments
  168. SCHEDULE 46 Duties of senior accounting officers of qualifying companies
  169. SCHEDULE 47 Amendment of information and inspection powers
  170. SCHEDULE 48 Extension of information and inspection powers
  171. SCHEDULE 49 Powers to obtain contact details for debtors
  172. SCHEDULE 50 Record-keeping
  173. SCHEDULE 51 Time limits for assessments, claims etc
  174. SCHEDULE 52 Recovery of overpaid tax etc
  175. SCHEDULE 53 Late payment interest
  176. SCHEDULE 54 Repayment interest
  177. Schedule 54A Further provision as to late payment interest and repayment interest
  178. SCHEDULE 55 Penalty for failure to make returns etc
  179. SCHEDULE 56 Penalty for failure to make payments on time
  180. SCHEDULE 57 Amendments relating to penalties
  181. SCHEDULE 58 Recovery of debts under PAYE regulations
  182. SCHEDULE 59 Climate change levy: removal of reduced rate
  183. SCHEDULE 60 Landfill tax: prescribed landfill site activities
  184. SCHEDULE 61 Alternative finance investment bonds

Proposed changes to this act

No one has proposed a change to this act yet.

184 provisions

80 Exercise of collective rights by tenants of flats

(1) Section 74 of FA 2003 (collective enfranchisement by leaseholders) is amended as follows. (2) For subsection (1) substitute— (1) This section applies where a chargeable transaction is entered into by a person or persons nominated or appointed by qualifying tenants of flats contained in premises in exercise of— (a) a right under Part 1 of the Landlord and Tenant Act 1987 (right of first refusal), or (b) a right under Chapter 1 of Part 1 of the Leasehold Reform, Housing and Urban Development Act 1993 (right to collective enfranchisement). (3) In subsection (2)— (a) omit “In that case,”, and (b) for “flats in respect of which the right of collective enfranchisement is being exercised” substitute “ qualifying flats contained in the premises ”. (4) For subsection (4) substitute— (4) In this section— “flat” and “qualifying tenant” have the same meaning as in the Chapter or Part of the Act conferring the right being exercised; “qualifying flat” means a flat that is held by a qualifying tenant who is participating in the exercise of the right. (5) For the heading substitute “Exercise of collective rights by tenants of flats”. (6) Accordingly, in section 55(5) of that Act (amount of tax chargeable), for “collective enfranchisement by leaseholders” substitute “ exercise of collective rights by tenants of flats ”. (7) The amendments made by this section have effect in relation to transactions with an effective date on or after 22 April 2009.

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81 Registered providers of social housing

(1) Part 4 of FA 2003 (stamp duty land tax) is amended as follows. (2) Section 71 (certain acquisitions by registered social landlord) is amended as follows. (3) Insert at the beginning— (A1) A land transaction under which the purchaser is a profit-making registered provider of social housing is exempt from charge if the transaction is funded with the assistance of a public subsidy. (4) In subsection (4), for “subsection (1)(c)” substitute “ this section ”. (5) Schedule 9 (right to buy etc) is amended as follows. (6) In paragraph 5 (shared ownership leases: “qualifying body” etc)— (a) in sub-paragraph (2), insert at the end— (g) a registered provider of social housing that is not within paragraph (b) (subject to sub-paragraph (2A)). , and (b) after that sub-paragraph insert— (2A) A registered provider of social housing within sub-paragraph (2)(g) (“R”) is only a qualifying body in relation to a lease of premises if the following has been funded with the assistance of a grant or other financial assistance under section 19 of the Housing and Regeneration Act 2008— (a) the purchase or construction of the premises by R (or a person connected with R), or (b) the adaptation of the premises by R (or a person connected with R) for use as a dwelling. (2B) Section 839 of the Taxes Act 1988 (connected persons) has effect for the purposes of sub-paragraph (2A). (7) In paragraph 7 (shared ownership trusts: introduction)— (a) in sub-paragraph (3), omit “(within the meaning of paragraph 5(2))”, and (b) insert at the end— (7) In Condition 2 “qualifying body” means— (a) a qualifying body within the meaning of paragraph 5(2)(a) to (f), or (b) a registered provider of social housing within paragraph 5(2)(g) (subject to sub-paragraph (8)). (8) A registered provider of social housing within paragraph 5(2)(g) (“R”) is only a qualifying body in relation to a shared ownership trust if the following has been or is being funded with the assistance of a grant or other financial assistance under section 19 of the Housing and Regeneration Act 2008— (a) the purchase or construction of the trust property by R (or a person connected with R), or (b) the adaptation of the trust property by R (or a person connected with R) for use as a dwelling. (9) Section 839 of the Taxes Act 1988 (connected persons) has effect for the purposes of sub-paragraph (8). (8) The amendments made by this section have effect in relation to transactions with an effective date on or after the day on which this Act is passed.

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82 Rent to shared ownership

(1) In Schedule 9 to FA 2003 (stamp duty land tax: right to buy etc), insert at the end— Rent to shared ownership lease: charge to tax 13 (1) The chargeable consideration for transactions forming part of a rent to shared ownership lease scheme is determined in accordance with this paragraph. (2) A “rent to shared ownership lease scheme” means a scheme or arrangement under which a qualifying body— (a) grants an assured shorthold tenancy of a dwelling to a person (“the tenant”) or persons (“the tenants”), and (b) subsequently grants a shared ownership lease of the dwelling or another dwelling to the tenant or one or more of the tenants. (3) The following transactions are to be treated as if they were not linked to each other— (a) the grant of the assured shorthold tenancy, (b) the grant of the shared ownership lease, and (c) any other land transaction between the qualifying body and the tenant, or any of the tenants, entered into as part of the scheme. (4) For the purpose of determining the effective date of the grant of the shared ownership lease, the possession of the dwelling by the tenant or tenants pursuant to the assured shorthold tenancy is to be disregarded. (5) In this paragraph— “assured shorthold tenancy” has the same meaning as in Part 1 of the Housing Act 1988; “qualifying body” has the same meaning as in paragraph 5; “shared ownership lease” has the same meaning as in paragraph 4A. Rent to shared ownership trust: charge to tax 14 (1) The chargeable consideration for transactions forming part of a rent to shared ownership trust scheme is determined in accordance with this paragraph. (2) A “rent to shared ownership trust scheme” means a scheme or arrangement under which— (a) a qualifying body grants an assured shorthold tenancy of a dwelling to a person (“the tenant”) or persons (“the tenants”), and (b) the tenant, or one or more of tenants, subsequently becomes the purchaser under a shared ownership trust of the dwelling, or another dwelling, under which the qualifying body is the social landlord. (3) The following transactions are to be treated as if they were not linked to each other— (a) the grant of the assured shorthold tenancy, (b) the declaration of the shared ownership trust, and (c) any other land transaction between the qualifying body and the tenant, or any of the tenants, entered into as part of the scheme. (4) For the purpose of determining the effective date of the declaration of the shared ownership trust, the possession of the dwelling by the tenant or tenants pursuant to the assured shorthold tenancy is to be disregarded. (5) In this paragraph— “assured shorthold tenancy” has the same meaning as in Part 1 of the Housing Act 1988; “qualifying body” has the same meaning as in paragraph 5; “social landlord” and “purchaser”, in relation to a shared ownership trust, have the same meaning as in paragraph 7. (2) The amendment made by subsection (1) has effect in relation to cases in which the effective date of the grant of the shared ownership lease or the declaration of the shared ownership trust is on or after 22 April 2009. (3) Paragraphs 13(4) and 14(4) of Schedule 9 to FA 2003 (inserted by this section) have effect for the purposes of subsection (2).

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83 Stamp taxes in event of insolvency

(1) Schedule 37 contains provision amending Part 3 (stamp duty) and Part 4 (stamp duty reserve tax) of FA 1986 in respect of repurchase and stock lending arrangements in the event of the insolvency of one of the parties. (2) The amendments made by that Schedule have effect where the insolvency in question occurs on or after 1 September 2008. (3) This section and that Schedule cease to have effect— (a) in relation to the amendments made to Part 3 of FA 1986, when the repeal of sections 80 to 85 of that Act (by Part 6 of Schedule 19 to, and in accordance with sections 107 to 109 of, FA 1990) comes into force, and (b) in relation to the amendment made to Part 4 of FA 1986, when the repeal of that Part (by Part 7 of Schedule 19 to, and in accordance with section 110 of, FA 1990) comes into force.

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84 Capital allowances for oil decommissioning expenditure

Schedule 38 contains provision about capital allowances for oil decommissioning expenditure.

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85 Blended oil

Schedule 39 contains provision about the treatment of blended oil for the purposes of petroleum revenue tax.

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86 Chargeable gains

Schedule 40 contains provision about chargeable gains in oil trades.

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87 Oil assets put to other uses

Schedule 41 contains provision about oil production assets put to certain other uses.

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88 Former licensees and former oil fields

Schedule 42 contains provision about the treatment of certain former licensees and former oil fields for the purposes of petroleum revenue tax.

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89 Abolition of provisional expenditure allowance

Schedule 43 contains provision abolishing provisional expenditure allowance.

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90 Supplementary charge: reduction for certain new oil fields

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91 Miscellaneous amendments

Schedule 45 contains miscellaneous amendments relating to oil taxation.

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92 HMRC Charter

(1) In CRCA 2005, after section 16 insert— Charter of standards and values 16A (1) The Commissioners must prepare a Charter. (2) The Charter must include standards of behaviour and values to which Her Majesty's Revenue and Customs will aspire when dealing with people in the exercise of their functions. (3) The Commissioners must— (a) regularly review the Charter, and (b) publish revisions, or revised versions, of it when they consider it appropriate to do so. (4) The Commissioners must, at least once every year, make a report reviewing the extent to which Her Majesty's Revenue and Customs have demonstrated the standards of behaviour and values included in the Charter. (2) The duty imposed by section 16A(1) of CRCA 2005 must be complied with before the end of 2009.

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93 Duties of senior accounting officers of qualifying companies

(1) Schedule 46 contains provision about the duties of senior accounting officers of qualifying companies. (2) That Schedule has effect in relation to financial years (within the meaning of the Companies Act 2006) beginning on or after the day on which this Act is passed.

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94 Publishing details of deliberate tax defaulters

(1) The Commissioners may publish information about any person if— (a) in consequence of an investigation conducted by the Commissioners, one or more relevant tax penalties is found to have been incurred by the person, and (b) the potential lost revenue in relation to the penalty (or the aggregate of the potential lost revenue in relation to each of the penalties) exceeds £50,000. (2) A “relevant tax penalty” is— (a) a penalty under paragraph 1 of Schedule 24 to FA 2007 (inaccuracy in taxpayer's document) in respect of a deliberate inaccuracy on the part of the person, (b) a penalty under paragraph 1A of that Schedule (inaccuracy in taxpayer's document attributable to deliberate supply of false information or deliberate withholding of information by person), (c) a penalty under paragraph 1 of Schedule 41 to FA 2008 (failure to notify) in respect of a deliberate failure on the part of the person, or (d) a penalty under paragraph 2 (unauthorised VAT invoice), 3 (putting product to use attracting higher duty etc) or 4 (handling goods subject to unpaid excise duty) of that Schedule in respect of deliberate action by the person. (3) “Potential lost revenue”, in relation to a penalty, has the meaning given by— (a) paragraphs 5 to 8 of Schedule 24 to FA 2007, or (b) paragraphs 7 to 11 of Schedule 41 to FA 2008, in relation to the inaccuracy, failure or action to which the penalty relates. (4) The information that may be published is— (a) the person's name (including any trading name, previous name or pseudonym), (b) the person's address (or registered office), (c) the nature of any business carried on by the person, (d) the amount of the penalty or penalties and the potential lost revenue in relation to the penalty (or the aggregate of the potential lost revenue in relation to each of the penalties), (e) the periods or times to which the inaccuracy, failure or action giving rise to the penalty (or any of the penalties) relates, and (f) any such other information as the Commissioners consider it appropriate to publish in order to make clear the person's identity. (4A) Subsection (4B) applies where a person who is a body corporate or a partnership has incurred— (a) a penalty under paragraph 1 of Schedule 24 to FA 2007 in respect of a deliberate inaccuracy which involves an offshore matter or an offshore transfer (within the meaning of paragraph 4A of that Schedule), or (b) a penalty under paragraph 1 of Schedule 41 to FA 2008 in respect of a deliberate failure which involves an offshore matter or an offshore transfer (within the meaning of paragraph 6A of that Schedule). (4B) The Commissioners may publish the information mentioned in subsection (4) in respect of any individual who— (a) controls the body corporate or the partnership (within the meaning of section 1124 of CTA 2010), and (b) has obtained a tax advantage as a result of the inaccuracy or failure. (4C) Subsection (4D) applies where one or more trustees of a settlement have incurred— (a) a penalty under paragraph 1 of Schedule 24 to FA 2007 in respect of a deliberate inaccuracy which involves an offshore matter or an offshore transfer (within the meaning of paragraph 4A of that Schedule), or (b) a penalty under paragraph 1 of Schedule 41 to FA 2008 in respect of a deliberate failure which involves an offshore matter or an offshore transfer (within the meaning of paragraph 6A of that Schedule). (4D) The Commissioners may publish the information mentioned in subsection (4) in respect of any trustee who is an individual and who has obtained a tax advantage as a result of the inaccuracy or failure. (5) The information may be published in any manner that the Commissioners consider appropriate. (6) Before publishing any information about a person under subsection (1), the Commissioners must— (a) inform the person that they are considering doing so, and (b) afford the person reasonable opportunity to make representations about whether it should be published. (6A) Before publishing any information about an individual under subsection (4B) or (4D), the Commissioners— (a) must inform the individual that they are considering doing so, and (b) afford the individual reasonable opportunity to make representations about whether it should be published. (7) No information may be published before the day when the penalty becomes final (or the latest day when any of the penalties becomes final). (8) No information may be published for the first time after the end of the period of one year beginning with that day (or that latest day). (9) No information may be published (or continue to be published) after the end of the period of one year beginning with the day on which it is first published. (10) No information may be published if the amount of the penalty is reduced under— (a) paragraph 10 of Schedule 24 to FA 2007, ... (aa) paragraph 10A of that Schedule to the full extent permitted following an unprompted disclosure, (b) paragraph 13 of Schedule 41 to FA 2008, or (c) paragraph 13A of that Schedule to the full extent permitted following an unprompted disclosure. (reductions for disclosure) to the full extent permitted. (11) For the purposes of this section a penalty becomes final— (a) if it has been assessed, when the time for any appeal or further appeal relating to it expires or, if later, any appeal or final appeal relating to it is finally determined, or (b) if a contract is made between the Commissioners and the person under which the Commissioners undertake not to assess the penalty or (if it has been assessed) not to take proceedings to recover it, at the time when the contract is made. (12) The Treasury may by order vary the amount for the time being specified in subsection (1). (13) This section comes into force on a day appointed by order made by the Treasury. (14) Orders under this section are to be made by statutory instrument. (15) A statutory instrument containing an order under subsection (12) is subject to annulment in pursuance of a resolution of the House of Commons. (16) In this section— “the Commissioners” means the Commissioners for Her Majesty's Revenue and Customs; “tax advantage” has the meaning given by section 208 of FA 2013.

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95 Amendment of information and inspection powers

(1) Schedule 47 contains amendments of Schedule 36 to FA 2008 (information and inspection powers). (2) The Treasury may by order make any incidental, supplemental, consequential, transitional or transitory provision or saving which appears appropriate in consequence of, or otherwise in connection with, Schedule 36 to FA 2008 or Schedule 47. (3) An order under this section may— (a) make different provision for different purposes, and (b) make provision amending, repealing or revoking an enactment or instrument (whenever passed or made). (4) An order under this section is to be made by statutory instrument. (5) A statutory instrument containing an order under this section is subject to annulment in pursuance of a resolution of the House of Commons.

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96 Extension of information and inspection powers to further taxes

(1) In paragraph 63(1) of Schedule 36 to FA 2008 (information and inspection powers: meaning of “tax”), for paragraph (e) (and the “and” before it) substitute— (e) insurance premium tax, (f) inheritance tax, (g) stamp duty land tax, (h) stamp duty reserve tax, (i) petroleum revenue tax, (j) aggregates levy, (k) climate change levy, (l) landfill tax, and (m) relevant foreign tax, . (2) Schedule 48 contains further amendments of that Schedule. (3) The amendments made by this section and Schedule 48 come into force on such day as the Treasury may by order appoint. (4) An order under subsection (3) may— (a) appoint different days for different purposes, and (b) contain transitional provision and savings. (5) The Treasury may by order make any incidental, supplemental, consequential, transitional or transitory provision or saving which appears appropriate in consequence of, or otherwise in connection with, this section and Schedule 48. (6) An order under subsection (5) may— (a) make different provision for different purposes, and (b) make provision amending, repealing or revoking an enactment or instrument (whenever passed or made). (7) An order under this section is to be made by statutory instrument. (8) A statutory instrument containing an order under subsection (5) is subject to annulment in pursuance of a resolution of the House of Commons.

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97 Powers to obtain contact details for debtors

Schedule 49 contains provision about the powers of officers of Revenue and Customs to obtain contact details of debtors.

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98 Record-keeping

(1) Schedule 50 contains provision about obligations to keep records. (2) The amendments made by that Schedule come into force on such day as the Treasury may by order made by statutory instrument appoint.

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99 Time limits for assessments, claims etc

(1) Schedule 51 contains provision about time limits for assessments, claims etc. (2) The amendments made by that Schedule come into force on such day as the Treasury may by order made by statutory instrument appoint. (3) An order under subsection (2)— (a) may make different provision for different purposes, and (b) may include transitional provision and savings.

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100 Recovery of overpaid tax etc

(1) Schedule 52 contains provision for and in connection with the recovery of overpaid income tax, capital gains tax and corporation tax. (2) The amendments made by that Schedule have effect in relation to claims made on or after 1 April 2010. (3) The Treasury may by order make any incidental, supplemental, consequential, transitional or transitory provision or saving which appears appropriate in consequence of, or otherwise in connection with, that Schedule. (4) An order under this section may— (a) make different provision for different purposes, and (b) make provision modifying an enactment or instrument (whenever passed or made). (5) “Modifying” includes amending, repealing or revoking. (6) An order under this section is to be made by statutory instrument. (7) A statutory instrument containing an order under this section is subject to annulment in pursuance of a resolution of the House of Commons.

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101 Late payment interest on sums due to HMRC

(1) This section applies to any amount that is payable by a person to HMRC under or by virtue of an enactment. (2) But this section does not apply to— (a) an amount of corporation tax, (b) an amount of petroleum revenue tax, or (c) an amount of any description specified in an order made by the Treasury. (3) An amount to which this section applies carries interest at the late payment interest rate from the late payment interest start date until the date of payment. (4) The late payment interest start date in respect of any amount is the date on which that amount becomes due and payable. (5) In Schedule 53— (a) Part 1 makes special provision as to the amount on which late payment interest is calculated, (b) Part 2 makes special provision as to the late payment interest start date, (c) Part 3 makes special provision as to the date to which late payment interest runs, and (d) Part 4 makes provision about the effect that the giving of a relief has on late payment interest. (6) Subsection (3) applies even if the late payment interest start date is a non-business day within the meaning of section 92 of the Bills of Exchange Act 1882. (7) Late payment interest is to be paid without any deduction of income tax. (8) Late payment interest is not payable on late payment interest. (9) For the purposes of this section any reference to the payment of an amount to HMRC includes a reference to its being set off against an amount payable by HMRC (and, accordingly, the reference to the date on which an amount is paid includes a reference to the date from which the set-off takes effect). (10) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (11) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

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102 Repayment interest on sums to be paid by HMRC

(1) This section applies to— (a) any amount that is payable by HMRC to any person under or by virtue of an enactment, and (b) a relevant amount paid by a person to HMRC that is repaid by HMRC to that person or to another person. (2) But this section does not apply to— (a) an amount constituting a repayment of corporation tax, (b) an amount constituting a repayment of petroleum revenue tax, or (c) an amount of any description specified in an order made by the Treasury. (3) An amount to which this section applies carries interest at the repayment interest rate from the repayment interest start date until the date on which the payment or repayment is made. (4) In Schedule 54— (a) Parts 1 and 2 define the repayment interest start date, ... (aa) Part 2A makes special provision as to the period for which an amount of VAT credit carries interest, and (b) Part 3 makes supplementary provision. (5) Subsection (3) applies even if the repayment interest start date is a non-business day within the meaning of section 92 of the Bills of Exchange Act 1882. (6) Repayment interest is not payable on an amount payable in consequence of an order or judgment of a court having power to allow interest on the amount. (7) Repayment interest is not payable on repayment interest. (8) For the purposes of this section— (a) “relevant amount” means any sum that was paid in connection with any liability (including any purported or anticipated liability) to make a payment to HMRC under or by virtue of an enactment, and (b) any reference to the payment or repayment of an amount by HMRC includes a reference to its being set off against an amount owed to HMRC (and, accordingly, the reference to the date on which an amount is paid or repaid by HMRC includes a reference to the date from which the set-off takes effect).

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103 Rates of interest

(1) The late payment interest rate is the rate provided for in regulations made by the Treasury under this subsection. (2) The repayment interest rate is the rate provided for in regulations made by the Treasury under this subsection. (3) Regulations under subsection (1) or (2)— (a) may make different provision for different purposes, (b) may either themselves specify a rate of interest or make provision for such a rate to be determined (and to change from time to time) by reference to such rate, or the average of such rates, as may be referred to in the regulations, (c) may provide for rates to be reduced below, or increased above, what they otherwise would be by specified amounts or by reference to specified formulae, (d) may provide for rates arrived at by reference to averages to be rounded up or down, (e) may provide for circumstances in which alteration of a rate of interest is or is not to be take place, and (f) may provide that alterations of rates are to have effect for periods beginning on or after a day determined in accordance with the regulations in relation to interest running from before that day as well as from or from after that day.

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103A Further provision as to late payment interest and repayment interest

Schedule 54A makes special provision as to certain amounts of late payment interest and repayment interest.

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104 Supplementary

(1) In sections 101 to 103A (and Schedules 53 to 54A) — “HMRC” means Her Majesty's Revenue and Customs; “late payment interest” means interest payable under section 101; “repayment interest” means interest payable under section 102; “revenue” has the meaning given in section 5(4) of CRCA 2005. (2) A reference to the date on which an amount becomes due and payable is a reference to the date (however described) on or before which the amount must be paid. (3) Sections 101 to 103 come into force on such day as the Treasury may by order appoint. (4) An order under subsection (3)— (a) may commence a provision generally or only for specified purposes, and (b) may appoint different days for different provisions or for different purposes. (5) The Treasury may by order make any incidental, supplemental, consequential, transitional, transitory or saving provision which may appear appropriate in consequence of, or otherwise in connection with, those sections. (6) An order under subsection (5) may include provision amending, repealing or revoking any provision of any Act or subordinate legislation whenever passed or made (including this Act and any Act amended by it). (7) An order under subsection (5) may make different provision for different purposes. (8) The following are to be made by statutory instrument— (a) orders under section 101(2) or 102(2), (b) regulations under section 103(1) or (2), and (c) orders under subsection (3) or (5). (9) A statutory instrument containing— (a) an order under section 101(2) or 102(2), (b) regulations under section 103(1) or (2), (c) an order under subsection (5) which includes provision amending or repealing any provision of an Act, is subject to annulment in pursuance of a resolution of the House of Commons.

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105 Miscellaneous amendments

(1) Section 239 of ITA 2007 (date from which interest is chargeable when EIS relief is withdrawn or reduced) is amended as follows. (2) In subsection (1)— (a) for “in column 1 of the following table” substitute “ in subsection (2) ”, (b) for “given by the corresponding entry in column 2 of the table” substitute “ 31 January next following the tax year for which the assessment is made ”, and (c) omit the table. (3) For subsection (2) substitute— (2) The provisions are— section 163, section 164, section 173A, any of sections 181 to 188, section 209, section 212(1), section 213, section 224, section 232, and section 233. (4) In the following provisions, for the words from “the same rate” to the end substitute “ the rate applicable under section 178 of the Finance Act 1989 ” (a) section 48(1) of FA 1975 (interest on repayment of estate duty), and (b) section 235(1) of IHTA 1984 (interest on overpaid inheritance tax). (5) In section 178(2) of FA 1989 (setting of rates of interest)— (a) after paragraph (g) insert— (ga) section 48(1) of the Finance Act 1975, , and (b) in paragraph (k), after “sections 233” insert “ , 235(1) ”. (6) The following provisions (which require HMRC to make an order specifying the new rate of interest when that rate is changed by operation of regulations) are omitted— (a) section 178(5) of FA 1989, and (b) section 197(5) of FA 1996.

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106 Penalties for failure to make returns etc

(1) Schedule 55 contains provision for imposing penalties on persons in respect of failures to make returns and other documents relating to liabilities for tax. (2) That Schedule comes into force on such day as the Treasury may by order appoint. (3) An order under subsection (2)— (a) may commence a provision generally or only for specified purposes, and (b) may appoint different days for different provisions or for different purposes. (4) The Treasury may by order make any incidental, supplemental, consequential, transitional, transitory or saving provision which may appear appropriate in consequence of, or otherwise in connection with, Schedule 55. (5) An order under subsection (4) may include provision amending, repealing or revoking any provision of any Act or subordinate legislation whenever passed or made (including this Act and any Act amended by it). (6) An order under subsection (4) may make different provision for different purposes. (7) An order under this section is to be made by statutory instrument. (8) A statutory instrument containing an order under subsection (4) which includes provision amending or repealing any provision of an Act is subject to annulment in pursuance of a resolution of the House of Commons.

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107 Penalties for failure to pay tax

(1) Schedule 56 contains provision for imposing penalties on persons in respect of failures to comply with obligations to pay tax. (2) That Schedule comes into force on such day as the Treasury may by order appoint. (3) An order under subsection (2)— (a) may commence a provision generally or only for specified purposes, and (b) may appoint different days for different provisions or for different purposes. (4) The Treasury may by order make any incidental, supplemental, consequential, transitional, transitory or saving provision which may appear appropriate in consequence of, or otherwise in connection with, Schedule 56. (5) An order under subsection (4) may include provision amending, repealing or revoking any provision of any Act or subordinate legislation whenever passed or made (including this Act and any Act amended by it). (6) An order under subsection (4) may make different provision for different purposes. (7) An order under this section is to be made by statutory instrument. (8) A statutory instrument containing an order under subsection (4) which includes provision amending or repealing any provision of an Act is subject to annulment in pursuance of a resolution of the House of Commons.

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108 Suspension of penalties during currency of agreement for deferred payment

(1) This section applies if— (a) a person (“P”) fails to pay an amount of tax falling within the Table in subsection (5) when it becomes due and payable, (b) P makes a request to an officer of Revenue and Customs that payment of the amount of tax be deferred, and (c) an officer of Revenue and Customs agrees that payment of that amount may be deferred for a period (“the deferral period”). (2) P is not liable to a penalty for failing to pay the amount mentioned in subsection (1) if— (a) the penalty falls within the Table, and (b) P would (apart from this subsection) become liable to it between the date on which P makes the request and the end of the deferral period. (3) But if— (a) P breaks the agreement (see subsection (4)), and (b) an officer of Revenue and Customs serves on P a notice specifying any penalty to which P would become liable apart from subsection (2), P becomes liable, at the date of the notice, to that penalty. (4) P breaks an agreement if— (a) P fails to pay the amount of tax in question when the deferral period ends, or (b) the deferral is subject to P complying with a condition (including a condition that part of the amount be paid during the deferral period) and P fails to comply with it. (5) The taxes and penalties referred to in subsections (1) and (2) are— Tax | Penalty . . . | . . . Value added tax | Surcharge under section 59(4) or 59A(4) of VATA 1994 ... Aggregates levy | Penalty interest under paragraph 5 of Schedule 5 to FA 2001 Climate change levy | Penalty interest under paragraph 82 of Schedule 6 to FA 2000 Landfill tax | Penalty interest under paragraph 27(2) of Schedule 5 to FA 1996 Insurance premium tax | Penalty under paragraph 15(2) or (3) of Schedule 7 to FA 1994 which is payable by virtue of paragraph 15(1)(a) of that Schedule. Any duty of excise | Penalty under section 9(2) or (3) of FA 1994 which is imposed for a failure to pay an amount of any duty of excise or an amount payable on account of any such duty. (6) If the agreement mentioned in subsection (1)(c) is varied at any time by a further agreement between P and an officer of Revenue and Customs, this section applies from that time to the agreement as varied. (7) The Treasury may by order amend the Table by adding or removing a tax or a penalty. (8) An order under subsection (7) is to be made by statutory instrument. (9) A statutory instrument containing an order under subsection (7) is subject to annulment in pursuance of a resolution of the House of Commons. (10) In this section, except in the entries in the Table, “penalty” includes surcharge and penalty interest. (11) This section has effect where the agreement mentioned in subsection (1)(c) is made on or after 24 November 2008.

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109 Miscellaneous amendments

Schedule 57 contains amendments of Schedule 24 to FA 2007 (penalties for errors), Schedule 41 to FA 2008 (penalties for failure to notify and certain other wrongdoing) and certain other enactments relating to penalties.

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110 Recovery of debts using PAYE regulations

Schedule 58 contains provision about the recovery of debts by means of deductions from PAYE income in accordance with PAYE regulations.

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111 Managed payment plans

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112 Customs and excise enforcement: movements between member States

(1) Section 4 of F(No.2)A 1992 (cases in which customs and excise enforcement powers can be used in relation to movement of persons or things between member States) is amended as follows. (2) In subsection (1), after “subsection” insert “ (1A) or ”. (3) After that subsection insert— (1A) The first case in which a power to which this section applies may be exercised as mentioned in subsection (1) above is where it is necessary to exercise the power in order to ascertain whether the movement in question is or is not in fact between different member States. (4) In subsection (2), for the words from the beginning to “or that” substitute “ The second case in which a power to which this section applies may be exercised as mentioned in subsection (1) above is where ”.

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113 VAT exemption for gaming participation fees

(1) Group 4 of Schedule 9 to VATA 1994 (exemptions: betting, gaming and lotteries) is amended as follows. (2) In Note (1), omit paragraph (b) (granting of right to play game of chance not exempted unless within Note (5)). (3) Omit Notes (5) to (11). (4) The Value Added Tax (Betting, Gaming and Lotteries) Order 2007 (S.I. 2007/2163) is revoked. (5) Omit— (a) in BGDA 1981, sections 19(3)(b) and 26E(2), and (b) in FA 1997, section 11(9)(a). (6) The amendments made by this section are treated as having come into force on 27 April 2009.

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114 Gaming duty

(1) FA 1997 is amended as follows. (2) Section 10 (gaming duty) is amended as follows. (3) For subsection (2) substitute— (2) Subject as follows, this section applies to— (a) casino games, and (b) equal chance gaming. (4) In subsection (3)(e), after “Article” insert “ 77, ”. (5) After subsection (3A) insert— (3AA) This section does not apply to the playing of a game in respect of which bingo duty or lottery duty is chargeable or would be chargeable but for an express exception. (6) In subsection (3C)(a), after “in” insert “ organising or ”. (7) For subsection (4) substitute— (4) This section does not apply— (a) in Great Britain, to the playing of a game where the provision of facilities for its playing falls within section 269 of the Gambling Act 2005 (equal chance gaming at members' or commercial clubs and miners' welfare institutes), or (b) in Northern Ireland, to the playing of a game to which Article 128 of the Betting, Gaming, Lotteries and Amusements (Northern Ireland) Order 1985 (certain clubs) applies. (8) In subsection (5), for “add to the games mentioned in subsection (2) above” substitute “ provide that any specified game is or is not to be a casino game or equal chance gaming for the purposes of this section ”. (9) In subsection (6), for “this section, or in an order under subsection (5) above,” substitute “ an order under subsection (5) above ”. (10) Section 14 (subordinate legislation) is amended as follows. (11) In subsection (2), for “or 11(11) above” substitute “ providing that any game is to be a casino game or equal chance gaming or any order under section 11(11) ”. (12) Insert at the end— (4) A statutory instrument containing an order under section 10(5) that does not provide for any game to be a casino game or equal chance gaming is subject to annulment in pursuance of a resolution of the House of Commons. (13) Section 15(3) (interpretation) is amended as follows. (14) After the definition of “accounting period” insert— “casino games” means games of chance which are not equal chance gaming (but subject to any order under section 10(5)); . (15) After the definition of “dutiable gaming” insert— “equal chance gaming”— (a) in Great Britain, means gaming which does not involve playing or staking against a bank (however described, and whether or not controlled or administered by a player) and in which the chances are equally favourable to all participants, and (b) in Northern Ireland, means gaming in respect of which none of the conditions specified in Article 55 of the Betting, Gaming, Lotteries and Amusements (Northern Ireland) Order 1985 is met, (but subject to any order under section 10(5)); . (16) In consequence of the preceding provisions, omit— (a) in FA 2002, section 11, and (b) in FA 2007, in Schedule 25, paragraph 17(4). (17) The amendments made by this section are to be treated as having come into force on 27 April 2009. (18) But those amendments do not give rise to a duty under paragraph 6(3)(a) of Schedule 1 to FA 1997 (requirement to notify premises) before 25 May 2009.

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115 Remote bingo etc

(1) BGDA 1981 is amended as follows. (2) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (3) In section 26H (remote gaming duty: exemptions), after subsection (2) insert— (2A) Subsection (2) does not prevent remote gaming duty being charged in respect of the provision of facilities for the playing of bingo which is not licensed bingo (as to the meaning of which terms see section 20C). (4) The amendments made by this section have effect in relation to games of bingo that begin to be played on or after 1 July 2009.

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116 Meaning of “gaming machine” and “gaming”

(1) BGDA 1981 is amended as follows. (2) Section 25 (meaning of “amusement machine”) is amended as follows. (3) For subsection (1A) substitute— (1A) In this Act “gaming machine” means a machine which is designed or adapted for use by individuals for gambling (whether or not it can also be used for other purposes). (1B) But a machine is not a gaming machine to the extent that— (a) it is designed or adapted for use to bet on future real events, (b) it is designed or adapted for the playing of bingo and bingo duty is, or but for paragraphs 1 to 5 of Schedule 3 would be, charged under section 17 on the playing of the bingo, or (c) it is designed or adapted for the playing of a real game of chance and the playing of the game is dutiable gaming for the purposes of section 10 of the Finance Act 1997, or would be dutiable gaming but for subsections (3) and (4) of that section. (4) In subsection (1C), for “constructed” substitute “ designed ”. (5) Insert at the end— (5) For the purposes of this section— (a) a reference to gambling is to— (i) gaming, or (ii) betting, (b) “machine” has the same meaning as in the Gambling Act 2005 (see section 235(3)(a)), (c) a reference to a machine being designed or adapted for a purpose includes a reference to a machine to which anything has been done as a result of which it can reasonably be expected to be used for that purpose, (d) a reference to a machine being adapted includes a reference to computer software being installed on it, (e) “real” has the meaning given by section 353(1) of the Gambling Act 2005, (f) “game of chance” has the meaning given by section 6(2) of that Act, and (g) “bingo” includes any version of that game, whatever name it is called. (6) The Treasury may by order amend this section. (6) In section 33 (interpretation)— (a) in subsection (1), in the definition of “gaming”, omit “within the meaning of Group 4 of Schedule 9 to the Value Added Tax Act 1994”, and (b) after that subsection insert— (1A) In the definition of “gaming” in subsection (1)— (a) “game of chance” has the meaning given by section 6(2) of the Gambling Act 2005, (b) “playing a game of chance” is to be read in accordance with section 6(3) of that Act, and (c) “prize” does not include the opportunity to play the game again.

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117 Taxable commodities ineligible for reduced-rate supply

(1) Schedule 6 to FA 2000 (climate change levy) is amended as follows. (2) In paragraph 44 (reduced rate for supplies covered by climate change agreement), after sub-paragraph (2) insert— (2A) The Secretary of State may— (a) give a certificate that includes provision specifying one or more descriptions of taxable commodity as being ineligible for reduced-rate supply, (b) vary a certificate so that it includes provision (or further provision) specifying one or more descriptions of taxable commodity as being ineligible for reduced-rate supply, or (c) vary a certificate so that it ceases to include the provision (or some of the provision) specifying one or more descriptions of taxable commodity as being ineligible for reduced-rate supply. (2B) A taxable supply of a taxable commodity to a facility is not a reduced-rate supply if, at the time of the supply, the commodity falls within a description that is specified (by virtue of sub-paragraph (2A)(a) or (b)) in the certificate relating to the facility. (2C) The Secretary of State may only include provision in a certificate by virtue of sub-paragraph (2A)(a) or (b)— (a) if the Treasury consents in writing to the specification before the specification is made, and (b) if, and for as long as, the result is compatible with the common market by virtue of Commission Regulation (EC) No. 800/2008 of 6 August 2008 declaring certain categories of aid compatible with the common market in application of Articles 87 and 88 of the Treaty establishing the European Community (General block exemption Regulation) (O.J. 2008 No. L214/3). (2D) In sub-paragraphs (2A) to (2C) “certificate” means such a certificate as is mentioned in sub-paragraph (1)(a). (3) In consequence of subsection (2)— (a) in paragraph 44(2), after “subject to” insert “ sub-paragraphs (2A) to (2D) and ”, and (b) in paragraph 147 (general interpretation), in the definition of “reduced-rate supply”, after “subject to” insert “ paragraph 44(2A) to (2D) and ”.

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118 Removal of reduced rate where targets not met

(1) Schedule 59 contains provision for removing the reduced rate of climate change levy where the targets set by a climate change agreement have not been met. (2) The amendments made by that Schedule have effect where the certification period begins on or after 1 April 2009.

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