Taxes Management Act 1970 section 39

Neglect: corporation tax

Section 39 dealt with the consequences where corporation tax was lost due to a company's neglect, allowing HMRC to recover the lost tax. This section was repealed by the Finance Act 1989.

• Section 39 originally provided a mechanism for recovering corporation tax that had been lost to the Crown as a result of a company's negligent conduct.
• The provision applied specifically to corporation tax, complementing similar provisions elsewhere in the Taxes Management Act 1970 that dealt with neglect in relation to other taxes.
• The section was repealed by the Finance Act 1989 (sections 149(2) and 187, Schedule 17 Part VIII), as part of a wider restructuring of the penalty and assessment regime for corporation tax.
• The powers previously contained in section 39 were effectively replaced by updated discovery assessment and penalty provisions introduced through subsequent legislation.

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