Income Tax Act 2007 section 376

Application for postponement of tax pending appeal

Section 376 prevents an individual from applying to postpone payment of tax pending an appeal on the basis of eligibility for Community Investment Tax Relief (CITR) unless a formal claim for CITR has actually been made.

• An individual cannot use eligibility for CITR as grounds to delay paying tax while an appeal is pending.
• This restriction applies to applications made under section 55(3) or (4) of the Taxes Management Act 1970, which normally allow taxpayers to postpone tax payments during an appeal.
• The restriction is lifted only if the individual has duly made a formal CITR claim under this Part of the Act.
• The rule ensures that merely being eligible for CITR is not enough — a proper claim must be submitted before any postponement can be sought on CITR grounds.