Oil Taxation Act 1975 section 3

Claim periods and claims

Schedule 5, paragraph 3 sets out how HMRC must notify the responsible person of their decision on an expenditure claim, including the amounts allowed, any supplement qualification, and how the expenditure is shared among participators.

• HMRC must issue a written notice to the responsible person setting out their decision on each expenditure claim.
• The notice must state the total expenditure allowed, any amount qualifying for the uplift supplement, and the shares in which the expenditure is divided among the participators in the oil field.
• Where the allowed expenditure qualifies for supplement, the total to be shared among participators includes both the base expenditure and an additional percentage uplift on the qualifying portion.
• If HMRC's decision covers only part of the expenditure claimed, they must issue further notices dealing with the remainder.