Corporation Tax Act 2009 section 240

Appeals against proposed determinations

Section 240 sets out the procedure by which HMRC may propose a determination of an amount to be taxed as a receipt under the lease premiums rules, where that determination could affect the tax liabilities of more than one person, and explains how those affected can object.

• Where an amount needs to be determined as a taxable receipt and the determination may also affect the corporation tax, income tax or capital gains tax of other persons, an HMRC officer may issue a provisional notice of determination to all affected parties.
• The provisional notice must set out the proposed determination and inform each recipient of their rights to object and to have the matter referred to the tribunal.
• Any person who receives a provisional notice has 30 days from the date it was given to lodge a notice of objection with the HMRC officer.
• If no one objects within the 30-day window, the officer must make the determination as proposed and it becomes final and cannot be challenged in any proceedings.