Income Tax Act 2007 section 257SB

Time limits for assessments

Section 257SB sets out the time limits within which HMRC may make an assessment to withdraw or reduce Social Investment (SI) tax relief, or issue a notice that relief was not due.

• HMRC may assess to withdraw or reduce SI relief, or issue a notice that relief was not due, within 6 years after the end of the relevant tax year
• The relevant tax year is the tax year containing the end of the 28-month period beginning with the investment date
• If later, the relevant tax year is instead the tax year in which the event causing withdrawal or reduction of SI relief occurs
• These time limits do not override the extended time limits that apply where a loss of tax has been brought about deliberately