Taxes Management Act 1970 section 89

The prescribed rate of interest

Section 89 established the prescribed rate of interest applicable to tax that was paid late or overpaid, but has since been repealed.

• Section 89 originally set out how the rate of interest on overdue or overpaid tax was to be determined.
• The section was repealed by the Finance Act 1989, which transferred and updated the rules governing interest rates on tax payments.
• Following repeal, the provisions relating to interest rates on late-paid and overpaid tax were consolidated into the Finance Act 1989 framework.
• Any current questions about the rate of interest charged on overdue tax or paid on tax refunds should be addressed by reference to the replacement provisions rather than this repealed section.

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