Tribunals, Courts and Enforcement Bill [HL]

House of Commons

Session 2006 - 07
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Tribunals, Courts and Enforcement Bill [HL]

Tribunals, Courts and Enforcement Bill [HL]
Schedule 13 — Taking control of goods: amendments
237

      (7)
Omit paragraph 19 (3).
Trade Union and Labour Relations (Consolidation) Act 1992 (c. 52)
109
Schedule A1 to the Trade Union and Labour Relations (Consolidation) Act
1992 (collective bargaining: recognition) is amended as follows.
110   (1)
Paragraph 19E is amended as follows.
5
      (2)
In sub-paragraph (5) for “by execution issued from that court” substitute
“under section 85 of the County Courts Act 1984”.
      (3)
In sub-paragraph (6) for the words from the beginning to “carried out”
substitute “Where a warrant of control is issued under section 85 of the 1984
Act to recover an amount in accordance with sub-paragraph (5), the power
10
conferred by the warrant is exercisable”.
111   (1)
Paragraph 28 is amended as follows.
      (2)
In sub-paragraph (6) for “by execution issued from that court” substitute
“under section 85 of the County Courts Act 1984”.
      (3)
In sub-paragraph (6A) for the words from the beginning to “carried out”
15
substitute “Where a warrant of control is issued under section 85 of the 1984
Act to recover an amount in accordance with sub-paragraph (6), the power
conferred by the warrant is exercisable”.
112   (1)
Paragraph 120 is amended as follows.
      (2)
In sub-paragraph (6) for “by execution issued from that court” substitute
20
“under section 85 of the County Courts Act 1984”.
      (3)
In sub-paragraph (6A) for the words from the beginning to “carried out”
substitute “Where a warrant of control is issued under section 85 of the 1984
Act to recover an amount in accordance with sub-paragraph (6), the power
conferred by the warrant is exercisable”.
25
Railways Act 1993 (c. 43)
113
In section 27 of the Railways Act 1993 (transfer of franchise assets and
shares), in subsection (6) after “levied” insert “and no power to use the
procedure in Schedule 12 to the Tribunals, Courts and Enforcement Act 2007
may be exercised”.
30
Finance Act 1994 (c. 9)
114   (1)
The Finance Act 1994 is amended as follows.
115
After section 10 insert—
“10A
Breaches of controlled goods agreements
(1)
This section applies where an enforcement agent acting under the
35
power conferred by section 51(A1) of the Finance Act 1997 (power to
use the procedure in Schedule 12 to the Tribunals, Courts and
Enforcement Act 2007) has entered into a controlled goods
agreement with the person against whom the power is exercisable
(“the person in default”).
40

Tribunals, Courts and Enforcement Bill [HL]
Schedule 13 — Taking control of goods: amendments
238

(2)
In this section, “controlled goods agreement” has the meaning given
by paragraph 13(4) of that Schedule.
(3)
Subject to subsection (4) below, if the person in default removes or
disposes of goods (or permits their removal or disposal) in breach of
the controlled goods agreement, he is liable to a penalty equal to half
5
of the unpaid duty or other amount recoverable under section 51(A1)
of the Finance Act 1997.
(4)
The person in default shall not be liable to a penalty under subsection
(3) above if he satisfies the Commissioners or, on appeal, an appeal
tribunal that there is a reasonable excuse for the breach in question.
10
(5)
This section extends only to England and Wales.”
116
In section 11 (breaches of walking possession agreements), for subsection (5)
substitute—
“(5)
This section extends only to Northern Ireland.”
117   (1)
Schedule 7 (insurance premium tax) is amended as follows.
15
      (2)
After paragraph 18 insert—
“18A  (1)
This paragraph applies where an enforcement agent acting under
the power conferred by section 51(A1) of the Finance Act 1997
(power to use the procedure in Schedule 12 to the Tribunals,
Courts and Enforcement Act 2007) has entered into a controlled
20
goods agreement with the person against whom the power is
exercisable (“the person in default”).
      (2)
In this paragraph, “controlled goods agreement” has the meaning
given by paragraph 13(4) of that Schedule.
      (3)
Subject to sub-paragraph (4) below, if the person in default
25
removes or disposes of goods (or permits their removal or
disposal) in breach of the controlled goods agreement, he is liable
to a penalty equal to half of the tax or other amount recoverable
under section 51(A1) of the Finance Act 1997.
      (4)
The person in default shall not be liable to a penalty under sub-
30
paragraph (3) above if he satisfies the Commissioners or, on
appeal, an appeal tribunal, that there is a reasonable excuse for the
breach in question.
      (5)
This paragraph extends only to England and Wales.”
      (3)
In paragraph 19, for sub-paragraph (5) substitute—
35
    “(5)
This paragraph extends only to Northern Ireland.”
Value Added Tax Act 1994 (c. 23)
118
The Value Added Tax Act 1994 is amended as follows.
119
In section 48 (VAT representatives), in subsection (7A) after “enforcement”
insert “by taking control of goods or, in Northern Ireland,”.
40

Tribunals, Courts and Enforcement Bill [HL]
Schedule 13 — Taking control of goods: amendments
239

120
After section 67 (failure to notify and unauthorised invoices) insert—
“67A
Breach of controlled goods agreement
(1)
This section applies where an enforcement agent acting under the
power conferred by section 51(A1) of the Finance Act 1997 (power to
use the procedure in Schedule 12 to the Tribunals, Courts and
5
Enforcement Act 2007) has entered into a controlled goods
agreement with the person against whom the power is exercisable
(“the person in default”).
(2)
In this section, “controlled goods agreement” has the meaning given
by paragraph 13(4) of that Schedule.
10
(3)
Subject to subsection (4) below, if the person in default removes or
disposes of goods (or permits their removal or disposal) in breach of
the controlled goods agreement, he is liable to a penalty equal to half
of the VAT or other amount recoverable under section 51(A1) of the
Finance Act 1997.
15
(4)
The person in default shall not be liable to a penalty under subsection
(3) above if he satisfies the Commissioners or, on appeal, a tribunal
that there is a reasonable excuse for the breach in question.
(5)
This section extends only to England and Wales.”
121
In section 68 (breach of walking possession agreements) for subsection (5)
20
substitute—
“(5)
This section extends only to Northern Ireland.”
Pensions Act 1995 (c. 26)
122
In section 10 of the Pensions Act 1995 (civil penalties), in subsection (8A)(a)
for “by execution issued from the county court” substitute “under section 85
25
of the County Courts Act 1984”.
Finance Act 1996 (c. 8)
123
Schedule 5 to the Finance Act 1996 (landfill tax) is amended as follows.
124
After paragraph 23 insert—
“Controlled Goods Agreements
30
23A   (1)
This paragraph applies where an enforcement agent acting under
the power conferred by section 51(A1) of the Finance Act 1997
(power to use the procedure in Schedule 12 to the Tribunals,
Courts and Enforcement Act 2007) has entered into a controlled
goods agreement with the person against whom the power is
35
exercisable (“the person in default”).
      (2)
In this paragraph, “controlled goods agreement” has the meaning
given by paragraph 13(4) of that Schedule.
      (3)
If the person in default removes or disposes of goods (or permits
their removal or disposal) in breach of the controlled goods
40
agreement, he is liable to a penalty equal to half of the tax or other
amount recoverable under section 51(A1) of the Finance Act 1997.

Tribunals, Courts and Enforcement Bill [HL]
Schedule 13 — Taking control of goods: amendments
240

      (4)
The person in default shall not be liable to a penalty under sub-
paragraph (3) above if he satisfies the Commissioners or, on
appeal, an appeal tribunal, that there is a reasonable excuse for the
breach in question.
      (5)
This paragraph extends only to England and Wales.”
5
125
In paragraph 24, for sub-paragraph (4) substitute—
    “(4)
This paragraph extends only to Northern Ireland.”
Employment Tribunals Act 1996 (c. 17)
126
In section 15 of the Employment Tribunals Act 1996 (enforcement), in
subsection (1) for “by execution issued from the county court” substitute
10
“under section 85 of the County Courts Act 1984”.
Finance Act 1997 (c. 16)
127   (1)
Section 51 of the Finance Act 1997 (enforcement by distress) is amended as
follows.
      (2)
Before subsection (1) insert—
15
“(A1)
The Commissioners may, in England and Wales, use the procedure
in Schedule 12 to the Tribunals, Courts and Enforcement Act 2007
(taking control of goods) to recover any of these that a person refuses
or neglects to pay—
(a)
any amount of relevant tax due from him;
20
(b)
any amount recoverable as if it were relevant tax due from
him.”
      (3)
In subsection (1) after “by regulations” insert “not having effect in England
and Wales or Scotland”.
      (4)
Omit subsection (7).
25
Social Security (Recovery of Benefits) Act 1997 (c. 27)
128
In section 7 of the Social Security (Recovery of Benefits) Act 1997 (recovery
of payments due under section 6), in subsection (4) for “by execution issued
from the county court” substitute “under section 85 of the County Courts Act
1984”.
30
National Minimum Wage Act 1998 (c. 39)
129
In section 21 of the National Minimum Wage Act 1998 (financial penalty for
non-compliance), in subsection (5)(a) for “by execution issued from the
county court” substitute “under section 85 of the County Courts Act 1984”.
Road Traffic (NHS Charges) Act 1999 (c. 3)
35
130
In section 5 of the Road Traffic (NHS Charges) Act 1999 (recovery of NHS
charges), in subsection (4) (so far as it continues to have effect) for “by
execution issued from the county court” substitute “under section 85 of the
County Courts Act 1984”.

Tribunals, Courts and Enforcement Bill [HL]
Schedule 13 — Taking control of goods: amendments
241

Greater London Authority Act 1999 (c. 29)
131
In section 216 of the Greater London Authority Act 1999 (protection of key
system assets), in subsection (4) after “levied” insert “and no power to use
the procedure in Schedule 12 to the Tribunals, Courts and Enforcement Act
2007 (taking control of goods) may be exercised”.
5
Powers of Criminal Courts (Sentencing) Act 2000 (c. 6)
132
The Powers of Criminal Courts (Sentencing) Act 2000 is amended as follows.
133   (1)
Section 78 (limit on magistrates’ courts’ power to impose imprisonment etc.)
is (until its repeal by the Criminal Justice Act 2003 (c. 44) comes into force)
amended as follows.
10
      (2)
In subsection (4) for “distress” substitute “goods”.
      (3)
After subsection (4) insert—
“(4A)
In subsection (4) the reference to want of sufficient goods to satisfy a
fine is a reference to circumstances where—
(a)
there is power to use the procedure in Schedule 12 to the
15
Tribunals, Courts and Enforcement Act 2007 to recover the
fine from a person, but
(b)
it appears, after an attempt has been made to exercise the
power, that the person’s goods are insufficient to pay the
amount outstanding (as defined by paragraph 50(3) of that
20
Schedule).”
134   (1)
Section 163 (general definition) is amended as follows.
      (2)
The existing words become subsection (1).
      (3)
After that subsection insert—
“(2)
In the definition of “sentence of imprisonment” in subsection (1) the
25
reference to want of sufficient distress to satisfy a sum includes a
reference to circumstances where—
(a)
there is power to use the procedure in Schedule 12 to the
Tribunals, Courts and Enforcement Act 2007 to recover the
sum from a person, but
30
(b)
it appears, after an attempt has been made to exercise the
power, that the person’s goods are insufficient to pay the
amount outstanding (as defined by paragraph 50(3) of that
Schedule).”
Financial Services and Markets Act 2000 (c. 8)
35
135
In Schedule 17 to the Financial Services and Markets Act 2000 (the
ombudsman scheme), in paragraph 16(a) for “by execution issued from the
county court” substitute “under section 85 of the County Courts Act 1984”.
Finance Act 2000 (c. 17)
136
Schedule 6 to the Finance Act 2000 (climate change levy) is amended as
40
follows.

Tribunals, Courts and Enforcement Bill [HL]
Schedule 13 — Taking control of goods: amendments
242

137
After paragraph 89 insert—
“Controlled goods agreements
89A   (1)
This paragraph applies where an enforcement agent acting under
the power conferred by section 51(A1) of the Finance Act 1997
(power to use the procedure in Schedule 12 to the Tribunals,
5
Courts and Enforcement Act 2007) has entered into a controlled
goods agreement with the person against whom the power is
exercisable (“the person in default”).
      (2)
In this paragraph, “controlled goods agreement” has the meaning
given by paragraph 13(4) of that Schedule.
10
      (3)
Subject to sub-paragraph (4), if the person in default removes or
disposes of goods (or permits their removal or disposal) in breach
of the controlled goods agreement, he is liable to a penalty equal
to half of the levy or other amount recoverable under section
51(A1) of the Finance Act 1997.
15
      (4)
The person in default shall not be liable to a penalty under sub-
paragraph (3) above if he satisfies the Commissioners or, on
appeal, an appeal tribunal, that there is a reasonable excuse for the
breach in question.
      (5)
This paragraph extends only to England and Wales.”
20
138
In paragraph 90 for sub-paragraph (5) substitute—
    “(5)
This paragraph extends only to Northern Ireland.”
Postal Services Act 2000 (c. 26)
139
In section 104 of the Postal Services Act 2000 (inviolability of mails), in
subsection (2) after paragraph (b) insert—
25
“(ba)
in England and Wales, being taken control of under Schedule
12 to the Tribunals, Courts and Enforcement Act 2007,”.
Finance Act 2001 (c. 9)
140
Schedule 5 to the Finance Act 2001 (aggregates levy: recovery and interest)
is amended as follows.
30
141
After paragraph 14 insert—
“Controlled goods agreements
14A   (1)
This paragraph applies where an enforcement agent acting under
the power conferred, by virtue of paragraph 14 above, by section
51(A1) of the Finance Act 1997 (power to use the procedure in
35
Schedule 12 to the Tribunals, Courts and Enforcement Act 2007)
has entered into a controlled goods agreement with the person
against whom the power is exercisable (“the person in default”).
      (2)
In this paragraph, “controlled goods agreement” has the meaning
given by paragraph 13(4) of that Schedule.
40

Tribunals, Courts and Enforcement Bill [HL]
Schedule 13 — Taking control of goods: amendments
243

      (3)
Subject to sub-paragraph (4), if the person in default removes or
disposes of goods (or permits their removal or disposal) in breach
of the controlled goods agreement, he is liable to a penalty equal
to half of the levy or other amount recoverable under section
51(A1) of the Finance Act 1997.
5
      (4)
The person in default shall not be liable to a penalty under sub-
paragraph (3) above if he satisfies the Commissioners or, on
appeal, an appeal tribunal, that there is a reasonable excuse for the
breach in question.
      (5)
This paragraph extends only to England and Wales.”
10
142
In paragraph 15 for sub-paragraph (5) substitute—
    “(5)
This paragraph extends only to Northern Ireland.”
Proceeds of Crime Act 2002 (c. 29)
143
The Proceeds of Crime Act 2002 is amended as follows.
144
In section 58 (restraint orders: restrictions), in subsection (2) after “levied”
15
insert “, and no power to use the procedure in Schedule 12 to the Tribunals,
Courts and Enforcement Act 2007 (taking control of goods) may be
exercised,”.
145
In section 59 (enforcement receivers: restrictions), in subsection (2) after
“levied” insert “, and no power to use the procedure in Schedule 12 to the
20
Tribunals, Courts and Enforcement Act 2007 (taking control of goods) may
be exercised,”.
146
In section 60 (Director’s receivers: restrictions), in subsection (2) after
“levied” insert “, and no power to use the procedure in Schedule 12 to the
Tribunals, Courts and Enforcement Act 2007 (taking control of goods) may
25
be exercised,”.
147
In section 253 (interim receiving orders: restriction on proceedings and
remedies) in subsection (1)(b) after “levied” insert “, and no power to use the
procedure in Schedule 12 to the Tribunals, Courts and Enforcement Act 2007
(taking control of goods) may be exercised,”.
30
Finance Act 2003 (c. 14)
148   (1)
Schedule 12 to the Finance Act 2003 (stamp duty land tax: collection and
recovery of tax) is amended as follows.
      (2)
After paragraph 1 insert—
“Recovery of tax by taking control of goods
35
1A
In England and Wales, if a person neglects or refuses to pay the
sum charged, the collector may use the procedure in Schedule 12
to the Tribunals, Courts and Enforcement Act 2007 (taking control
of goods) to recover the sum.”
      (3)
In paragraph 2(1) omit “England and Wales or”.
40