Income Tax Act 2007 section 257GA

Appeals against section 257FR(3)(b) notices

Section 257GA establishes that a notice issued by HMRC under section 257FR(3)(b), which withdraws or reduces SEIS relief, is treated as a decision disallowing a claim, thereby giving the issuing company a right of appeal.

• When HMRC issues a notice under section 257FR(3)(b) stating that SEIS relief was not due, this is treated as a decision disallowing a claim by the company that issued the shares.
• This treatment brings the notice within the scope of the appeal provisions in the Taxes Management Act 1970.
• The issuing company can therefore use the standard tax appeals process to challenge HMRC's notice.
• This ensures companies have a formal right to dispute HMRC's determination that SEIS relief should be withdrawn or reduced.