Taxation of Chargeable Gains Act 1992 section 283

Repayment supplements

Section 283 deals with the payment of interest supplements on repayments of capital gains tax that has been overpaid by individuals, trustees, or personal representatives of deceased persons.

• When HMRC repays overpaid capital gains tax, the repayment is increased by a supplement equal to interest on the amount repaid, calculated at the statutory rate set under section 178 of the Finance Act 1989.
• The interest runs from the date the tax was originally paid until the date the repayment order is issued.
• The rules apply equally to individuals, trustees of settlements, and personal representatives of deceased persons.
• No repayment supplement is payable where the repayment results from a court order or judgment, if that court has the power to award interest itself.