What does paragraph 10 of Schedule 2 to the Commissioners for Revenue and Customs Act 2005 do?

Paragraph 10 amends section 163(1) of the Finance Act 1998 to replace references to the Commissioners of Inland Revenue with references to the Commissioners for Her Majesty's Revenue and Customs. This ensures the single currency adoption provision operates correctly following the merger of Inland Revenue and Customs and Excise into HMRC.

Why is the updated reference in paragraph 10 limited to section 7 matters of the 2005 Act?

The limitation to section 7 matters ensures that only functions formerly belonging to the Inland Revenue are captured by the amendment. This narrows the scope so that the Finance Act 1998 single currency provision applies specifically to former Inland Revenue responsibilities now managed by HMRC, rather than all HMRC functions.

Does paragraph 10 change the underlying policy of section 163(1) of the Finance Act 1998?

No. Paragraph 10 is a housekeeping amendment that updates institutional references without altering the underlying policy or scope of powers. It ensures continuity of regulatory responsibility by directing the provision to HMRC instead of the now-defunct Inland Revenue, preserving the original legislative intent.

How does this amendment affect accountants dealing with former Inland Revenue matters?

For accountants, any regulations made under section 163(1) of the Finance Act 1998 relating to former Inland Revenue matters — such as income tax or corporation tax adjustments connected to EU single currency adoption — now fall under HMRC's remit rather than that of the Inland Revenue, which no longer exists.

Commissioners for Revenue and Customs Act 2005 Schedule 2 paragraph 10

Finance Act 1998

Paragraph 10 of Schedule 2 updates the Finance Act 1998 provision on the adoption of a single currency by other EU member states, transferring responsibility from the former Inland Revenue to HMRC.

Amends section 163(1) of the Finance Act 1998, which deals with the adoption of a single currency by other member states
Replaces references to the Commissioners of Inland Revenue with references to the Commissioners for Her Majesty's Revenue and Customs
Limits the updated reference to matters falling under section 7 of the Commissioners for Revenue and Customs Act 2005, which covers former Inland Revenue matters
Ensures continuity of regulatory responsibility following the merger of Inland Revenue and Customs and Excise into the single HMRC body

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