Income Tax Act 2007 section 32

Liability not dealt with in the calculation

Section 32 identifies certain income tax liabilities that fall outside the standard income tax calculation set out in section 23, and are instead dealt with separately.

• Covers liabilities arising from the withdrawal or clawback of previously given tax reliefs, such as EIS, SEIS, VCT, CITR, and social investment relief, as well as relief for non-active traders and partners
• Includes liabilities connected with the deduction of tax at source, including collection mechanisms and reverse charge provisions for foreign payers of manufactured payments
• Encompasses stand-alone charges such as those on transactions in securities, heritage maintenance settlements, registered pension scheme tax charges, and employer-financed retirement benefits schemes
• Also covers the recovery of excess credit for overseas tax under both the Finance Act 1994 and the Taxation (International and Other Provisions) Act 2010