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Finance Bill
Schedule 10 — Stamp duty land tax: returns, enquiries, assessments and appeals
Part 7 — Appeals against Revenue decisions on tax

    205

 

               paragraph 40 (agreement to postpone payment).

Direction by Commissioners to postpone payment

  39      (1)      If the appellant has grounds for believing that he is overcharged to tax by the

decision appealed against, he may by notice in writing apply to the

Commissioners for a direction that payment of an amount of tax shall be

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postponed pending the determination of the appeal.

          (2)      The notice must—

              (a)             be given to the relevant officer of the Board within 30 days after the

specified date, and

              (b)             state the amount by which the appellant believes himself to be

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overcharged to tax, and his grounds for that belief.

          (3)      An application may be made more than 30 days after the specified date if

there is a change in the circumstances of the case as a result of which the

appellant has grounds for believing that he is overcharged to tax by the

decision appealed against.

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          (4)      If, after any determination on such an application of the amount of tax the

payment of which should be postponed, there is a change in the

circumstances of the case as a result of which either party has grounds for

believing that the amount so determined has become excessive or, as the

case may be, insufficient, he may, by notice in writing given to the other

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party at any time before the determination of the appeal, apply to the

Commissioners for a further determination of that amount.

          (5)      An application under this paragraph shall be heard and determined by the

Commissioners in the same way as an appeal.

                   The fact that any such application has been heard and determined by any

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Commissioners does not preclude them from hearing and determining the

appeal or any further application under this paragraph.

          (6)      The amount of tax of which payment is to be postponed pending the

determination of the appeal is the amount (if any) by which it appears to the

Commissioners, having regard to the representations made and any

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evidence adduced, that there are reasonable grounds for believing that the

appellant is overcharged.

          (7)      Where an application is made under this paragraph, the date on which any

tax of which payment is not postponed is due and payable shall be

determined as if the tax were charged by an amendment or assessment of

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which notice was issued on the date on which the application was

determined and against which there was no appeal.

          (8)      On the determination of the appeal—

              (a)             the date on which any tax payable in accordance with that

determination is due and payable shall, so far as it is tax the payment

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of which had been postponed, or which would not have been

charged by the amendment or assessment if there had been no

appeal, be determined as if the tax were charged by an amendment

or assessment—

                    (i)                   of which notice was issued on the date on which the Inland

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Revenue issues to the appellant a notice of the total amount

payable in accordance with the determination, and

                    (ii)                  against which there had been no appeal, and

 

 

Finance Bill
Schedule 11 — Stamp duty land tax: self-certificates
Part 1 — General

    206

 

              (b)             any tax overpaid shall be repaid.

Agreement to postpone payment of tax

  40      (1)      If the appellant and the relevant officer of the Board agree that payment of

an amount of tax should be postponed pending the determination of the

appeal, the same consequences shall follow, for all purposes, as would have

5

followed if, at the time the agreement was come to, the Commissioners had

made a direction to the same effect.

                   This is without prejudice to the making of a further agreement or of a further

direction.

          (2)      Where the agreement is not in writing—

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              (a)             sub-paragraph (1) does not apply unless the fact that an agreement

was come to, and the terms agreed, are confirmed by notice in

writing given by the relevant officer of the Board to the appellant or

by the appellant to that officer, and

              (b)             the reference in that provision to the time when the agreement was

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come to shall be read as a reference to the time when notice of

confirmation was given.

          (3)      References in this paragraph to an agreement being come to with an

appellant, and to the giving of notice to or by the appellant, include

references to an agreement being come to, or notice being given to or by, a

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person acting on behalf of the appellant in relation to the appeal.

Schedule 11

Section 79

 

Stamp duty land tax: self-certificates

Part 1

General

25

Introductory

  1        In this Schedule—

              (a)             references to a self-certificate are to a certificate by the purchaser that

no land transaction return is required in respect of the transaction,

and

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              (b)             references to the date on which a self-certificate was produced are to

the date on which it was produced to the registrar (in Scotland, to the

Keeper of the Registers of Scotland).

Form and contents of self-certificate

  2       (1)      A self-certificate must—

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              (a)             be in the prescribed form,

              (b)             contain the prescribed information, and

              (c)             include a declaration by the purchaser (or each of them) that the

certificate is to the best of his knowledge correct and complete.

 

 

Finance Bill
Schedule 11 — Stamp duty land tax: self-certificates
Part 2 — Duty to keep and preserve records

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          (2)      In sub-paragraph (1) “prescribed” means prescribed by regulations made by

the Inland Revenue.

          (3)      The regulations may make different provision for different kinds of self-

certificate.

Tax-related penalty for fraud or negligence

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  3       (1)      A person who—

              (a)             fraudulently or negligently gives a self-certificate in respect of a

chargeable transaction, or

              (b)             discovers that a transaction in respect of which he has given a self-

certificate (neither fraudulently nor negligently) is a chargeable

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transaction and does not remedy the error without unreasonable

delay,

                   is liable to a tax-related penalty.

          (2)      The penalty is an amount not exceeding the amount of tax chargeable in

respect of the transaction.

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Part 2

Duty to keep and preserve records

Duty to keep and preserve records

  4       (1)      A purchaser who may be required to give a self-certificate must—

              (a)             keep such records as may be needed to enable him to deliver a

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correct and complete certificate, and

              (b)             preserve those records in accordance with this paragraph.

          (2)      The records must be preserved for six years after the effective date of the

transaction and until any later date on which—

              (a)             an enquiry into the certificate is completed, or

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              (b)             if there is no enquiry, the Inland Revenue no longer have power to

enquire into the certificate.

          (3)      The records required to be kept and preserved under this paragraph

include—

              (a)             relevant instruments relating to the transaction, in particular, any

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contract or conveyance, and any supporting maps, plans or similar

documents;

              (b)             records of relevant payments, receipts and financial arrangements.

Preservation of information instead of original records

  5       (1)      The duty under paragraph 4 to preserve records may be satisfied by the

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preservation of the information contained in them.

          (2)      Where information is so preserved a copy of any document forming part of

the records is admissible in evidence in any proceedings before the

Commissioners to the same extent as the records themselves.

 

 

Finance Bill
Schedule 11 — Stamp duty land tax: self-certificates
Part 3 — Enquiry into self-certificate

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Penalty for failure to keep and preserve records

  6       (1)      A person who fails to comply with paragraph 4 in relation to a transaction is

liable to a penalty not exceeding £3,000, subject to the following exception.

          (2)      No penalty is incurred if the Inland Revenue are satisfied that any facts that

they reasonably require to be proved, and that would have been proved by

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the records, are proved by other documentary evidence provided to them.

Part 3

Enquiry into self-certificate

Notice of enquiry

  7       (1)      The Inland Revenue may enquire into a self-certificate if they give notice of

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their intention to do so (“notice of enquiry”)—

              (a)             to the purchaser,

              (b)             before the end of the enquiry period.

          (2)      The enquiry period is the period of nine months after the date on which the

self-certificate was produced.

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          (3)      A self-certificate that has been the subject of one notice of enquiry may not

be the subject of another.

Scope of enquiry

  8        An enquiry extends to anything contained in the certificate, or required to be

contained in the certificate, that relates—

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              (a)             to the question whether the transaction to which the certificate

relates is chargeable or notifiable, or

              (b)             to the amount of tax chargeable in respect of it.

Notice to produce documents etc for purposes of enquiry

  9       (1)      If the Inland Revenue give notice of enquiry into a self-certificate, they may

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by notice in writing require the purchaser—

              (a)             to produce to them such documents in his possession or power, and

              (b)             to provide them with such information, in such form,

                   as they may reasonably require for the purposes of the enquiry.

          (2)      A notice under this paragraph (which may be given at the same time as the

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notice of enquiry) must specify the time (which must not be less than 30

days) within which the purchaser is to comply with it.

          (3)      In complying with a notice under this paragraph copies of documents may

be produced instead of originals, but—

              (a)             the copies must be photographic or other facsimiles, and

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              (b)             the Inland Revenue may by notice require the original to be

produced for inspection.

                   A notice under paragraph (b) must specify the time (which must not be less

than 30 days) within which the purchaser is to comply with it.

          (4)      The Inland Revenue may take copies of, or make extracts from, any

40

documents produced to them under this paragraph.

 

 

Finance Bill
Schedule 11 — Stamp duty land tax: self-certificates
Part 3 — Enquiry into self-certificate

    209

 

          (5)      A notice under this paragraph does not oblige the purchaser to produce

documents or provide information relating to the conduct of—

              (a)             any pending appeal by him, or

              (b)             any pending referral to the Special Commissioners under paragraph

12 to which he is a party.

5

Appeal against notice to produce documents etc

  10      (1)      An appeal may be brought against a requirement imposed by a notice under

paragraph 9 to produce documents or provide information.

          (2)      Notice of appeal must be given—

              (a)             in writing,

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              (b)             within 30 days after the issue of the notice appealed against,

              (c)             to the officer of the Board by whom that notice was given.

          (3)      An appeal under this paragraph shall be heard and determined in the same

way as an appeal against an assessment.

          (4)      On an appeal under this paragraph the Commissioners—

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              (a)             shall set aside the notice so far as it requires the production of

documents, or the provision of information, that appears to them not

reasonably required for the purposes of the enquiry, and

              (b)             shall confirm the notice so far as it requires the production or

documents, or the provision of information, that appears to them

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reasonably required for the purposes of the enquiry.

          (5)      A notice that is confirmed by the Commissioners (or so far as it is confirmed)

has effect as if the period specified in it for complying was 30 days from the

determination of the appeal.

          (6)      The decision of the Commissioners on an appeal under this paragraph is

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final.

Penalty for failure to produce documents etc

  11      (1)      A person who fails to comply with a notice under paragraph 9 (notice to

produce documents etc for purposes of enquiry) is liable—

              (a)             to a penalty of £50, and

30

              (b)             if the failure continues after a penalty is imposed under paragraph

(a) above, to a further penalty or penalties not exceeding the amount

specified in sub-paragraph (2) below for each day on which the

failure continues.

          (2)      The amount referred to in sub-paragraph (1)(b) is—

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              (a)             £30 if the penalty is determined by an officer of the Board, and

              (b)             £150 if the penalty is determined by the court.

          (3)      No penalty shall be imposed under this paragraph in respect of a failure at

any time after the failure has been remedied.

Referral of questions to Special Commissioners during enquiry

40

  12      (1)      At any time when an enquiry is in progress into a self-certificate any

question arising in connection with the subject-matter of the enquiry may be

referred to the Special Commissioners for their determination.

 

 

Finance Bill
Schedule 11 — Stamp duty land tax: self-certificates
Part 3 — Enquiry into self-certificate

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          (2)      Notice of referral must be given—

              (a)             jointly by the purchaser and the Inland Revenue,

              (b)             in writing,

              (c)             to the Special Commissioners.

          (3)      The notice of referral must specify the question or questions being referred.

5

          (4)      More than one notice of referral may be given under this paragraph in

relation to an enquiry.

          (5)      For the purposes of this paragraph the period during which an enquiry is in

progress is the whole of the period—

              (a)             beginning with the day on which the notice of enquiry was given,

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and

              (b)             ending with the day on which the enquiry is completed.

Withdrawal of notice of referral

  13      (1)      The Inland Revenue or the purchaser may withdraw a notice of referral

under paragraph 12 by notice in accordance with this paragraph.

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          (2)      Notice of withdrawal must be given—

              (a)             in writing,

              (b)             to the other party to the referral and to the Special Commissioners,

              (c)             before the first hearing by the Special Commissioners in relation to

the referral.

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Effect of referral on enquiry

  14      (1)      While proceedings on a referral under paragraph 12 are in progress in

relation to an enquiry—

              (a)             no closure notice shall be given in relation to the enquiry, and

              (b)             no application may be made for a direction to give such a notice.

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          (2)      For the purposes of this paragraph proceedings on a referral are in progress

where—

              (a)             notice of referral has been given,

              (b)             the notice has not been withdrawn, and

              (c)             the questions referred have not been finally determined.

30

          (3)      For the purposes of sub-paragraph (2)(c) a question referred is finally

determined when—

              (a)             it has been determined by the Special Commissioners, and

              (b)             there is no further possibility of the determination being varied or set

aside (disregarding any power to grant permission to appeal out of

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time).

Effect of determination

  15      (1)      The determination of a question referred to the Special Commissioners

under paragraph 12 is binding on the parties to the referral in the same way,

and to the same extent, as a decision on a preliminary issue in an appeal.

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          (2)      The determination shall be taken into account by the Inland Revenue—

              (a)             in reaching their conclusions on the enquiry, and

 

 

Finance Bill
Schedule 12 — Stamp duty land tax: collection and recovery of tax
Part 1 — General

    211

 

              (b)             in formulating any amendments of the self-certificate required to

give effect to those conclusions.

          (3)      Any right of appeal under paragraph 35 of Schedule 10 (appeals against

assessments etc) may not be exercised so as to reopen the question

determined except to the extent (if any) that it could be reopened if it had

5

been determined as a preliminary issue in that appeal.

Completion of enquiry

  16      (1)      An enquiry under paragraph 7 is completed when the Inland Revenue by

notice (a “closure notice”) inform the purchaser that they have completed

their enquiries and state their conclusions.

10

          (2)      A closure notice must state whether in the opinion of the Inland Revenue the

self-certificate was correct, and if their opinion is that it was not whether in

their opinion the transaction to which it relates was chargeable or notifiable.

Direction to complete enquiry

  17      (1)      The purchaser may apply to the General or Special Commissioners for a

15

direction that the Inland Revenue give a closure notice within a specified

period.

          (2)      Any such application shall be heard and determined in the same way as an

appeal.

          (3)      The Commissioners hearing the application shall give a direction unless

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they are satisfied that the Inland Revenue have reasonable grounds for not

giving a closure notice within a specified period.

Schedule 12

Section 91

 

Stamp duty land tax: collection and recovery of tax

Part 1

25

General

Issue of tax demands and receipts

  1       (1)      Where tax is due and payable, a collector may make demand of the sum

charged from the person liable to pay it.

          (2)      On payment of the tax, the collector shall if so requested give a receipt.

30

Recovery of tax by distraint

  2       (1)      In England and Wales or Northern Ireland, if a person neglects or refuses to

pay the sum charged, upon demand made by the collector, the collector may

distrain upon the goods and chattels of the person charged (“the person in

default”).

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          (2)      For the purposes of levying such distress a justice of the peace, on being

satisfied by information on oath that there is reasonable ground for

believing that a person is neglecting or refusing to pay a sum charged, may

 

 

 
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