Taxes Management Act 1970 section 41A

Determination procedure

Section 41A establishes the procedure by which HMRC may make a determination of tax where a taxpayer has failed to deliver a required tax return.

• Where a taxpayer has not delivered a tax return by the filing date, HMRC may make a determination of the income tax or capital gains tax due to the best of their information and belief.
• The determination must be made within the time limits that would apply to a self-assessment based on the information in the missing return, and it has the same effect as a self-assessment for enforcement and collection purposes.
• A determination is automatically superseded when the taxpayer eventually files the outstanding return with a self-assessment, provided the return is delivered within the relevant time limits or as HMRC may allow.
• If the taxpayer does submit the return and self-assessment, the self-assessment replaces the determination, and any tax already paid or repaid under the determination is treated as paid or repaid under the self-assessment.

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