Taxation (International and Other Provisions) Act 2010 Schedule 7 Part 5

Relocation of section 152 of ICTA (paragraphs 30–34)

Schedule 7 Part 5 relocates rules about notifying and challenging the taxable amounts of certain social security benefits — unemployment benefit, jobseeker's allowance and income support — from ICTA into the Taxes Management Act 1970 as new sections 54A, 54B and 54C.

• The appropriate officer (from the Department for Work and Pensions, or in Northern Ireland the Department for Social Development) may notify a taxpayer of the taxable amount of unemployment benefit, jobseeker's allowance or income support on which income tax is charged, and may subsequently notify alterations to that amount.
• If no objection is made within 60 days of the notification (or any extended period allowed for late objection), or if an objection is withdrawn, the notified amount cannot be questioned in any tax appeal against an assessment that includes it.
• Where a timely objection is made and the officer and the taxpayer agree a revised amount, the varied amount likewise cannot be questioned on appeal — unless the taxpayer repudiates the agreement within 60 days of reaching it.
• A late objection (after the 60-day window) is permitted only if the officer — or, failing that, the tribunal — is satisfied there was a reasonable excuse for the delay and the application to object late was made without unreasonable delay.