Oil Taxation Act 1975 Schedule 5 paragraph 6

Appeals

Schedule 5 paragraph 6 explains what happens when HMRC and the responsible person reach agreement on disputed expenditure claims before a tribunal appeal is heard.

• If HMRC and the responsible person agree on the amount of allowable expenditure (or the amount qualifying for supplement) before the tribunal hears the appeal, any additional expenditure beyond what HMRC originally allowed is treated as having been allowed on the date the appeal notice was given.
• If the dispute concerns how allowed expenditure should be divided among the participators, and agreement is reached before the tribunal hearing, the agreed shares replace the shares originally notified by HMRC.
• When agreement is reached on any ground of appeal, that ground is treated as abandoned; if all grounds are resolved by agreement, the entire appeal is treated as abandoned.
• The agreed shares also apply to any additional expenditure that is treated as allowed under this or the following paragraph of the schedule.