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949 | Payments in an accounting period |
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(1) | This section applies if a person makes a section 946 payment on a date which |
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falls within an accounting period of the person. |
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(2) | The person must deliver a return to an officer of Revenue and Customs for each |
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(a) | which falls within the accounting period, and |
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(b) | in which the person makes a section 946 payment. |
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(3) | The person must deliver the return within 14 days after the end of the return |
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period to which it relates. |
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(4) | The return must show the amount of— |
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(a) | any section 946 payments made by the person in the return period, and |
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(b) | the income tax payable by the person in respect of those payments (see |
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950 | Payments otherwise than in an accounting period |
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(1) | This section applies if a person makes a section 946 payment on a date which |
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does not fall within an accounting period of the person. |
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(2) | The person must deliver a return to an officer of Revenue and Customs within |
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14 days after the date on which the payment is made. |
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(3) | The return must show the amount of— |
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(b) | the income tax payable by the person in respect of that payment (see |
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Collection and payment of income tax |
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951 | Collection and payment of income tax |
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(1) | Income tax in respect of a section 946 payment is due, from the person who |
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makes the payment, on the date by which the return on which the payment |
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must be included is required to be delivered. |
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(2) | The income tax due is equal to the sum which the person is required to deduct |
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from the payment under the applicable provision mentioned in section 946. |
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(3) | The income tax is payable by the person without an officer of Revenue and |
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Customs making any assessment. |
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952 | Conditions for a set-off claim |
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(1) | A person who makes a section 946 payment may make a set-off claim if |
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conditions A and B are met at the end of a return period which falls within an |
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accounting period of the person. |
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(2) | Condition A is that in the return period the person has— |
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(a) | made a section 946 payment, or |
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(b) | received a payment on which the person has suffered income tax by |
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(3) | Condition B is that at the end of the return period there is— |
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(a) | a net amount of income tax suffered (see subsection (4)), and |
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(b) | a net amount of income tax payable (see subsection (5)). |
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(4) | There is a net amount of income tax suffered at the end of a return period if— |
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(a) | the person has received any payments on which income tax has been |
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suffered by deduction in the return period or in any previous return |
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period which falls within the accounting period, and |
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(b) | the amount of income tax so suffered by the person on those payments |
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exceeds the amount of such income tax treated as repaid for the |
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accounting period to date as a result of any previous set-off claim. |
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(5) | There is a net amount of income tax payable at the end of a return period if— |
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(a) | the person has made any section 946 payments in the return period or |
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in any previous return period which falls within the accounting period, |
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(b) | the amount of income tax payable by the person in respect of those |
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payments exceeds the amount of such income tax treated as paid for the |
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accounting period to date as a result of any previous set-off claim. |
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953 | How a set-off claim works |
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(1) | A set-off claim is a claim for the net amount of income tax suffered at the end |
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of the return period to be set off against the net amount of income tax payable |
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at the end of the return period. |
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(2) | The effect of a claim is that, to the extent of the set-off— |
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(a) | the income tax comprised in the net amount of income tax suffered is |
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(b) | the income tax comprised in the net amount of income tax payable is |
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(a) | any liability of the person making the set-off claim to pay any of the |
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income tax treated as paid under subsection (2)(b) is discharged, and |
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(b) | any of that income tax which has been paid is to be repaid to the person. |
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(4) | A set-off claim must be made in a return under section 949 for the return |
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(5) | A return may be made under that section for the purposes of making a set-off |
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claim despite the fact that the person making the claim may not have made any |
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section 946 payments in the return period. |
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(6) | Income tax suffered which is taken into account in a set-off claim may not also |
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be taken into account for the purposes of— |
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(a) | section 7(2) of ICTA (income tax deducted from payments to UK |
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resident company to be set off against corporation tax), or |
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(b) | section 11(3) of that Act (income tax deducted from payments to non- |
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UK resident company to be set off against corporation tax). |
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(7) | Income tax suffered by a deposit-taker is to be taken into account in a set-off |
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claim only if the payment on which the income tax is suffered is to be taken into |
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account in calculating the deposit-taker’s liability to corporation tax. |
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| “Deposit-taker” has the same meaning as in Chapter 2 (see section 853). |
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954 | Proceedings begun after a set-off claim is made |
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(1) | If a set-off claim has been made no proceedings for collecting income tax which |
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would have to be discharged if the claim were allowed may be brought until |
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the claim is finally determined. |
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(2) | Subsection (1) does not affect the date when the income tax is due. |
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(3) | Any income tax underpaid as a result of this section must be paid when the |
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claim is finally determined. |
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(4) | In this section “proceedings” includes proceedings by way of distraint or |
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955 | Proceedings begun before a set-off claim is made |
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(1) | This section applies if— |
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(a) | a person has made a set-off claim, and |
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(b) | before the claim was made, proceedings were brought for collecting |
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income tax assessed, or interest on income tax assessed, under section |
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(2) | No effect is to be given to the set-off claim so as to affect or delay the collection |
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or recovery of the income tax, or of interest on that income tax, until the claim |
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(3) | Any income tax overpaid as a result of this section must be repaid when the |
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claim is finally determined. |
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(4) | In this section “proceedings” includes proceedings by way of distraint or |
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956 | Assessments where section 946 payment included in return |
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(1) | This section applies if any income tax in respect of a section 946 payment which |
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is included in a return under this Chapter has not been paid at or before the |
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date mentioned in section 951. |
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(2) | An officer of Revenue and Customs may make an assessment on the person |
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(3) | Income tax may be assessed under this section whether or not it has been paid |
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when the assessment is made. |
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957 | Assessments in other cases |
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(1) | This section applies if an officer of Revenue and Customs thinks— |
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(a) | that there is a section 946 payment which should have been included in |
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a return under this Chapter and which has not been so included, or |
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(b) | that a return under this Chapter is otherwise incorrect. |
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(2) | An officer of Revenue and Customs may make an assessment, to the best of the |
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officer’s judgement, on the person who made the return, or who should have |
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958 | Payer’s duty to deliver amended return |
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(1) | This section applies if a person who has made a section 946 payment becomes |
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(a) | anything which should have been included in a return delivered by the |
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person under this Chapter has not been so included, |
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(b) | anything which should not have been included in a return delivered by |
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the person under this Chapter has been so included, or |
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(c) | any other error has occurred in a return delivered by the person under |
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(2) | The person must deliver an amended return correcting the error to an officer |
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of Revenue and Customs without delay. |
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(3) | If the person delivers an amended return such assessments, adjustments, set- |
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offs or payments or repayments of income tax as are necessary for achieving |
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the objective mentioned in subsection (4) must be made. |
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(4) | The objective is that the resulting liabilities to income tax (including interest on |
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unpaid or overpaid income tax) of the person or any other person are the same |
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as they would have been if a correct return had been delivered. |
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959 | Application of Income Tax Acts provisions about time limits for assessments |
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(1) | This section deals with the application of the provisions of the Income Tax Acts |
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about time limits for making assessments. |
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(2) | So far as the provisions refer or relate to— |
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(a) | the tax year for which an assessment is made, or |
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(b) | the year to which an assessment relates, |
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| they apply to assessments under this Chapter despite the fact that an |
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assessment under this Chapter may relate to a return period which is not a tax |
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(3) | Subsection (4) applies if an assessment under this Chapter relates to income tax |
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due in respect of a payment required to be included in a return for a return |
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period under section 949 (payments in an accounting period). |
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(4) | In that case, for the purposes of the provisions mentioned in subsection (1), the |
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assessment is treated as made for the tax year in which the return period ends. |
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(5) | Subsection (6) applies if an assessment under this Chapter relates to income tax |
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due in respect of a payment required to be included in a return under section |
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950 (payments otherwise than in an accounting period). |
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(6) | In that case, for the purposes of the provisions mentioned in subsection (1), the |
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assessment is treated as made for the tax year in which payment is made. |
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