Taxes Management Act 1970 section 3A

Determinations under section 28C: special rules [TMA 1970 Sch 1AB para 3A]

Section 3A provides special rules allowing a person to claim repayment or discharge of income tax or capital gains tax determined under section 28C, even where normal overpayment relief would otherwise be blocked, provided certain conditions are met.

• Where HMRC has determined a tax liability under section 28C but the person believes the tax is not due, they may still claim relief even if certain usual bars to claiming apply — specifically, Cases C or F(a) under paragraph 2, or where more than 4 years have passed since the end of the relevant tax year
• HMRC need only give effect to such a claim if three conditions are all satisfied: Condition A requires that it would be unconscionable for HMRC to recover the amount or withhold a repayment; Condition B requires that the person's tax affairs are up to date or that satisfactory arrangements are in place to bring them up to date; and Condition C requires that the person has not previously relied on this provision, unless exceptional circumstances justify allowing them to do so again
• For the purposes of Condition C, a person is treated as having previously relied on this provision if they have made any claim (or composite set of claims involving one or more determinations, taxes and tax years) under it before, regardless of whether that earlier claim succeeded
• Any claim under this provision must include, in addition to the standard information required by Schedule 1A, all information and documentation reasonably needed to enable HMRC to determine whether Conditions A, B and C are met