Taxes Management Act 1970 section 77C

Secondary-liability notices

Section 77C sets out the contents and requirements of a secondary-liability notice that HMRC may serve on a petroleum licence holder to recover unpaid tax assessed on a non-UK resident.

• Where the pre-conditions in section 77B are met, HMRC may serve a notice on the licence holder requiring payment within 30 days
• The notice must state the assessment details, the unpaid amount, the date it became payable, and the amount the licence holder must pay
• The holder's liability is normally the full unpaid amount plus any statutory interest, but where there are multiple licences or only part of the tax relates to the licence, a proportionate formula applies
• The formula apportions liability by reference to the share of total assessed profits or chargeable gains that relate to the particular licence