Finance Act 2021
Finance Act 2021 (2021 c. 26)
- Finance Act 2021 (2021 c. 26)
- PART 1 Income tax, corporation tax and capital gains tax
- Income tax charge, rates etc
- 1 Income tax charge for tax year 2021-22
- 2 Main rates of income tax for tax year 2021-22
- 3 Default and savings rates of income tax for tax year 2021-22
- 4 Starting rate limit for savings for tax year 2021-22
- 5 Basic rate limit and personal allowance for future tax years
- Corporation tax charge and rates
- 6 Charge and main rate for financial years 2022 and 2023
- 7 Small profits rate chargeable on companies from 1 April 2023
- Rate of diverted profits tax
- 8 Increase in the rate of diverted profits tax
- Capital allowances: super-deductions etc
- 9 Super-deductions and other temporary first-year allowances
- 10 Further provision about super-deductions etc
- 11 Reduced super-deduction
- 12 Disposal of assets where super-deduction made
- 13 Disposal of assets where SR allowance made
- 14 Counteraction where arrangements are contrived etc
- Capital allowances: other measures
- 15 Extension of temporary increase in annual investment allowance
- 16 Meaning of “general decommissioning expenditure”
- 17 Extensions of plant or machinery leases for reasons related to coronavirus
- Reliefs for business
- 18 Temporary extension of periods to which trade losses may be carried back
- 19 R&D tax credits for SMEs
- 20 Extension of social investment tax relief for further two years
- Employment income
- 21 Workers' services provided through intermediaries
- 22 Payments on termination of employment
- 23 Cash equivalent benefit of a zero-emissions van
- 24 Enterprise management incentives
- 25 Cycles and cyclist's safety equipment
- 26 Exemption for coronavirus tests
- 27 Optional remuneration arrangements: statutory parental bereavement pay
- Pensions
- 28 Freezing the standard lifetime allowance
- 29 Collective money purchase benefits
- Construction industry scheme
- 30 Construction industry scheme
- Coronavirus support payments etc
- 31 Covid-19 support scheme: working households receiving tax credits
- 32 Self-employment income support scheme
- 33 Deduction where business rates etc repaid
- Exemptions from income tax
- 34 Repeal of provisions relating to the Interest and Royalties Directive
- 35 Payments made to victims of modern slavery etc
- Miscellaneous corporation tax measures
- 36 Hybrid and other mismatches
- 37 Relief for losses etc
- 38 Corporate interest restriction: minor amendments
- 39 Northern Ireland Housing Executive
- Capital gains tax
- 40 Annual exempt amount
- 41 Hold-over relief for foreign-controlled companies
- PART 2 Plastic packaging tax
- Introductory
- 42 Plastic packaging tax
- Charging of plastic packaging tax
- 43 Charge to plastic packaging tax
- 44 Liability to pay plastic packaging tax
- 45 Rate
- 46 Payment
- Interpretation of main terms etc
- 47 Chargeable plastic packaging components
- 48 Meaning of “plastic packaging component”
- 49 Meaning of “plastic” and “recycled plastic”, “recycled plastic” and “attributed recycled plastic”
- 49A Meaning of “chemical recycling certification scheme”
- 49B Chemical recycling certification schemes: further conditions
- 50 Time of importation
- Deferrals, exemptions and credits
- 51 Plastic packaging components intended for export
- 52 Exempt plastic packaging components
- 53 Tax credits
- Registration
- 54 The register
- 55 Liability to register: producers and importers
- 56 Notification of liability and registration
- 57 Cancellation of registration
- 58 Correction of the register
- Secondary liability and joint and several liability notices
- 59 Notices imposing secondary or joint and several liability
- Administration and enforcement
- 60 Measurement of weight etc
- 61 Payment, collection, recovery
- 62 Reviews and appeals
- 63 Records
- 64 Information and evidence
- 65 Security for tax
- 66 Unincorporated bodies
- 67 Service
- Miscellaneous
- 68 Statements for business customers
- 69 Tax representatives of non-resident taxpayers
- 70 Adjustment of contracts
- 71 Groups of companies
- 72 Prevention of artificial separation of business activities: directions
- 73 Prevention of artificial separation of business activities: effect of directions
- 74 Death, incapacity or insolvency of person carrying on a business: regulations
- 75 Transfer of business as a going concern: regulations
- 76 Isle of Man: import and export of chargeable plastic packaging components
- Offences and penalties
- 77 Fraudulent evasion
- 78 Misstatements
- 79 Conduct involving evasions or misstatements
- 80 Penalty for contravening relevant requirements
- 81 Criminal proceedings
- General
- 82 Minor and consequential amendments
- 83 Interpretation
- 84 Regulations
- 85 Commencement etc
- PART 3 Other taxes
- Inheritance tax
- 86 Rate bands etc for tax years 2021-22 to 2030-31
- Stamp duty land tax
- 87 Temporary period for reduced rates on residential property
- 88 Increased rates for non-resident transactions
- 89 Relief from higher rate charge for certain housing co-operatives etc
- Annual tax on enveloped dwellings
- 90 Relief for certain housing co-operatives
- 91 Repayment to certain housing co-operatives: 2020-21 chargeable period
- Value added tax
- 92 Extension of temporary 5% reduced rate for hospitality and tourism sectors
- 93 Temporary 12.5% reduced rate for hospitality and tourism sectors
- 94 Extending digital record-keeping for VAT purposes to all businesses
- 95 Distance selling: Northern Ireland
- 96 Distance selling: power to make further provision
- 97 Supply of imported works of art etc
- 98 Continuing effect of principle preventing the abuse of the VAT system
- 99 Deferring VAT payment by reason of the coronavirus emergency
- 100 Refunds to S4C
- Customs duty
- 101 Steel removed to Northern Ireland
- Fuel duties
- 102 Restriction of use of rebated diesel and biofuels
- Tobacco products duty
- 103 Rates of tobacco products duty
- Vehicle taxes
- 104 Rates for light passenger or light goods vehicles, motorcycles etc
- 105 Rebates where higher rate of duty paid
- 106 HGV road user levy (extension of suspension)
- Air passenger duty
- 107 Rates of air passenger duty from 1 April 2022
- Gaming duty
- 108 Amounts of gross gaming yield charged to gaming duty
- Environmental taxes
- 109 Rates of climate change levy from 1 April 2022 to 31 March 2023
- 110 Rates of climate change levy from 1 April 2023
- 111 Rates of landfill tax
- 112 Repeal of carbon emissions tax
- PART 4 Miscellaneous and final
- Freeports and investment zones
- 113 Designation of special tax sites
- 114 Capital allowances for freeport tax sites
- 115 Relief from stamp duty land tax for freeport tax sites
- Penalties
- 116 Penalties for failure to make returns etc
- 117 Penalties for failure to pay tax
- 118 Penalties for failure to make returns etc or pay tax: consequential provision
- 119 Follower notice penalties
- Interest
- 120 Late payment interest and repayment interest: VAT
- Avoidance
- 121 Promoters of tax avoidance schemes
- 122 Disclosure of tax avoidance schemes
- 123 Penalties for enablers of defeated tax avoidance
- 124 The GAAR and partnerships
- Conditionality
- 125 Licensing authorities: requirements to give or obtain tax information
- HMRC powers
- 126 Financial institution notices
- 127 Collection of tax debts
- 128 Miscellaneous amendments of Schedule 36 to FA 2008
- 129 International arrangements for exchanging information on the gig economy
- 130 Unauthorised removal or disposal of seized goods
- 131 Temporary approvals etc pending review or appeal
- Banking
- 132 Replacement of LIBOR with incremental borrowing rate
- 133 Tax consequences of reform etc of LIBOR and other reference rates
- 134 Powers of the Treasury to amend legislation relating to banks
- Other
- 135 Interpretation
- 136 Short title
- SCHEDULES
- SCHEDULE 1 Small profits rate for non-ring fence profits
- PART 1 Small profits rate
- PART 2 Amendments of Chapter 3A of Part 8 of CTA 2010
- PART 3 Consequential amendments
- FA 1998
- Corporation Tax (Instalment Payments) Regulations 1998
- FA 2000
- CAA 2001
- CTA 2010
- FA 2012
- PART 4 Commencement etc
- Commencement
- Power to make further consequential amendments
- SCHEDULE 2 Temporary extension of periods to which trade losses may be carried back
- PART 1 Income tax
- Relief for trade losses made in tax year 2020-21
- Relief for trade losses made in tax year 2021-22
- Further provision about relief under paragraph 1 or 2
- PART 2 Corporation tax
- Relief for trade losses incurred in accounting periods ending in financial year 2020 or 2021
- Cap on claims by company that is not a member of a 2020 group or 2021 group
- Non-de minimis claims to be made after end of financial year
- Non-de minimis claims to be made in company tax return
- Meaning of “de minimis claim” etc
- Cap on non-de minimis claims by company that is a member of a 2020 group or 2021 group
- Non-de minimis claims by group company to conform with statement
- Loss carry-back allocation statements
- Anti-avoidance
- Interpretation
- Power to modify
- SCHEDULE 3 R&D tax credits for SMEs
- Introductory
- Cap on amount of tax credit
- Commencement
- SCHEDULE 4 R&D tax credits for SMEs: Northern Ireland companies
- Cap on amount of tax credit
- Commencement
- SCHEDULE 5 Pension schemes: collective money purchase benefits
- PART 1 Amendments of Part 4 of FA 2004
- PART 2 Commencement
- SCHEDULE 6 Construction industry scheme: amendments
- Introductory
- Contractors
- Deductions for materials
- Grace period
- Restrictions on set-off
- Penalties
- Commencement
- SCHEDULE 7 Hybrid and other mismatches
- PART 1 Meaning of “tax”
- PART 2 Chapter 3 mismatches: relevant debt relief circumstances
- PART 3 Chapter 3 mismatches: Investment trusts
- PART 4 Deemed dual inclusion income
- PART 5 Deemed dual inclusion income: anti-avoidance
- PART 6 Allocation of dual inclusion income within group
- PART 7 Financing cost of loan capital
- PART 8 Chapters 9 and 10: carry forward of illegitimate overseas deduction
- PART 9 Imported mismatches
- PART 10 Meaning of “act together”
- PART 11 Exempt investors in hybrid entities
- PART 12 Interaction with Part 4 of TIOPA 2010
- PART 13 Securitisation companies
- PART 14 Transparent funds
- PART 15 Commencement
- SCHEDULE 8 Relief from corporation tax for losses and other amounts
- PART 1 Allocation of deductions allowance of former groups
- PART 2 Other amendments of CTA 2010
- Amendments of section 137 of CTA 2010
- Amendments of Part 5A of CTA 2010
- Amendments of Part 7ZA of CTA 2010
- Amendments of Chapter 7 of Part 14 of CTA 2010
- PART 3 Commencement and transitional provision
- Commencement
- Transitional provision
- SCHEDULE 9 Plastic packaging tax: secondary liability and assessment notices and joint and several liability notices
- PART 1 Secondary liability and assessment notices
- Effect of secondary liability and assessment notice
- Test for giving a secondary liability and assessment notice
- Content of secondary liability and assessment notice
- Copy of notice to be given to P
- Application to revoke or reduce amount
- Limitation on secondary liability
- Reduction of amount where P's liability is reduced
- No double payment
- PART 2 Joint and several liability notices
- Effect of joint and several liability notice
- Test for giving joint and several liability notice
- Content of joint and several liability notice
- Copy of notice to be given to P
- Revocation
- Assessments of liability
- Adjustments
- Limitation on assessments
- No double payment
- PART 3 Application of Schedule 10
- PART 4 Interpretation
- Interpretation: related businesses
- Interpretation: general
- SCHEDULE 10 Plastic packaging tax: recovery and overpayments
- PART 1 Recovery
- Recovery as a debt due
- Assessments of amounts of plastic packaging tax due
- Supplementary assessments
- Further provision about assessments under paragraphs 2 and 4
- Time limits for assessments
- PART 2 Repayments
- Repayments of overpaid tax
- Supplementary provision about repayment etc
- Reimbursement arrangements
- Assessment for excessive repayment
- Supplementary assessments
- Further provision about assessments under paragraphs 11 and 12
- Time limit for assessments
- SCHEDULE 11 Plastic packaging tax: reviews and appeals
- PART 1 Appealable decisions etc
- Appealable decisions etc
- PART 2 Reviews
- Offer of review
- Right to require review
- Review by HMRC
- Extensions of time for requiring review
- Review out of time
- Nature of review etc
- PART 3 Appeals
- “Appeal tribunal”
- Bringing of appeals
- Further provision about appeals
- Determinations on appeal
- SCHEDULE 12 Plastic packaging tax: information and evidence
- PART 1 Information
- Power to take samples
- Disclosure of information
- PART 2 Evidence
- Evidence by certificate
- Inducements to provide information
- SCHEDULE 13 Plastic packaging tax: groups of companies
- Bodies eligible for group treatment
- Application for group treatment
- Applications to modify group treatment
- Applications relating to group treatment
- Termination of group treatment by the Commissioners
- Notifications relating to group treatment
- Regulations about applications and notifications
- SCHEDULE 14 Plastic packaging tax: assessment of penalties under section 80
- Interpretation
- Assessment etc of penalty
- Further provision about assessments under paragraphs 2 and 3
- Assessment etc of daily penalties
- Time limits for assessments
- SCHEDULE 15 Plastic packaging tax: amendments of other legislation
- PART 1 Penalties
- Failure to notify etc
- Failure to comply with requirements relating to returns
- Failure to make payment on time
- Errors in documents
- Failure to disclose tax avoidance schemes
- Modifications
- PART 2 Miscellaneous
- Provisional collection of plastic packaging tax
- Isle of Man
- HMRC powers to obtain information etc
- Interest
- Serial tax avoidance
- SCHEDULE 16 SDLT: increased rates for non-resident transactions
- Amendments of FA 2003
- Commencement
- SCHEDULE 17 SDLT (relief from higher rate charge for certain housing co-operatives etc): minor and consequential amendments
- SCHEDULE 18 VAT and distance selling: Northern Ireland
- PART 1 Amendments to Schedules 9ZA and 9ZB to VATA 1994
- Amendments to Part 9 of Schedule 9ZA to VATA 1994
- Amendments to Part 5 of Schedule 9ZB to VATA 1994
- PART 2 Amendments relating to the One Stop Shop and Import One Stop Shop Schemes
- PART 3 Omission of Part 2 of Schedule 9ZC to VATA 1994
- PART 4 Amendments relating to supplies of goods by persons established outside the United Kingdom that are facilitated by online marketplaces
- SCHEDULE 19 Deferring VAT payment by reason of the coronavirus emergency
- Definitions
- Power to agree to further defer payment
- No surcharge
- Penalty
- Amount of penalty
- Assessment of penalty
- Payment of penalty
- Recovery of penalty
- Reviews and appeals
- Double jeopardy
- Notifications etc
- SCHEDULE 20 Customs duty: steel products
- Duty on certain steel products imported on or after 3 March 2021
- Duty on certain steel products imported before 3 March 2021
- Duty on certain steel products removed to Northern Ireland on or after 3 March 2021
- Duty on certain steel products removed to Northern Ireland after IP completion day
- Interpretation
- Power to extend application of the regulations to other goods
- SCHEDULE 21 Restriction of use of rebated diesel and biofuels
- SCHEDULE 22 Capital allowances for freeport tax sites
- PART 1 First-year allowance for plant and machinery
- PART 2 Structures and buildings allowances
- PART 3 Related amendments
- TMA 1970
- CAA 2001
- SCHEDULE 23 Relief from stamp duty land tax for freeport tax sites
- SCHEDULE 24 Penalties for failure to make returns etc
- PART 1 Introduction
- Introduction
- Returns
- Interpretation
- Application of Schedule to persons with multiple businesses etc
- PART 2 Liability to a penalty
- Liability to penalty points
- Award of penalty points
- Cancellation of individual penalty points
- Expiry of individual penalty points
- Expiry of all penalty points for a group of returns
- Penalty points: effect of moving between groups of returns
- Penalty points: effect of change of representative member of VAT group
- Liability to penalties
- Assessments
- Withdrawal of assessments
- Time limit for assessments
- Power to amend figures by regulations
- PART 3 Supplementary provision
- Reasonable excuse
- Double jeopardy
- Withdrawal of notice to make a return
- Appeals
- Partnerships
- Settlements
- SCHEDULE 25 Penalties for deliberately withholding information
- PART 1 Introduction
- Introduction
- Interpretation
- PART 2 Liability to a penalty
- Penalty for deliberately withholding information
- Categories of information
- Power to make changes relating to categories of information by regulations
- Offshore transfers
- Reductions for disclosure
- Special reduction
- Interaction with other penalties
- Determination of penalty where no return made
- Assessments
- Supplementary assessments
- Time limit for assessments
- PART 3 Supplementary provision
- Double jeopardy
- Withdrawal of notice to make a return
- Appeals
- Partnerships
- Regulations: supplementary provision
- SCHEDULE 26 Penalties for failure to pay tax
- PART 1 Introduction
- Introduction
- Assessments and determinations in default of return
- PART 2 Liability to a penalty
- No penalty if payment in full before end of 15 day period
- First penalty: tax remains due at end of 15 day period
- Meaning of “15 day time to pay condition” and “30 day time to pay condition”
- First penalty: effect of breaking time to pay agreement
- Second penalty: tax remains due at end of 30 day period
- Second penalty: effect of breaking time to pay agreement
- Interpretation of Part 2
- Power to amend figures by regulations
- PART 3 Supplementary provision
- Reasonable excuse
- Special reduction
- Double jeopardy
- Interaction with other penalties
- Assessments
- Time limit for assessments
- Appeals
- Regulations: supplementary provision
- SCHEDULE 27 Schedules 24 to 26: consequential provision
- Taxes Management Act 1970
- Income and Corporation Taxes Act 1988
- Social Security Contributions and Benefits Act 1992
- Social Security Contributions and Benefits (Northern Ireland) Act 1992
- Value Added Tax Act 1994
- Income Tax (Trading and Other Income) Act 2005
- Corporation Tax Act 2009
- Finance Act 2009
- Finance Act 2012
- Finance Act 2013
- Finance Act 2014
- Finance Act 2015
- Finance Act 2016
- Finance Act 2017
- Finance (No. 2) Act 2017
- SCHEDULE 28 Follower notice penalties
- PART 1 Amendment of Chapter 2 of Part 4 of FA 2014
- Additional penalty for unreasonable tax appeal
- Amount of a section 208 or 208A penalty
- Assessment of a section 208A penalty
- Aggregate penalties
- Alteration of assessment of a section 208 or 208A penalty
- Cancellation of a section 208A penalty
- Appeal against a section 208A penalty
- PART 2 Amendments consequential on Part 1
- FA 2014
- National Insurance Contributions Act 2015
- PART 3 Amendment of Schedule 20 to FA 2015
- PART 4 Commencement
- SCHEDULE 29 Late payment interest and repayment interest: VAT
- SCHEDULE 30 Amendments of Part 5 of FA 2014
- PART 1 Stop notices and information & inspection powers
- PART 2 Promotion structures
- PART 3 Conduct and monitoring notices: transferees
- Conduct notices: transferees
- Monitoring notices: transferees
- PART 4 Miscellaneous amendments
- Conduct notices: significance of conditions
- Conduct notices: regular provision of information
- Conduct notices: withdrawal
- Conduct notices: duration
- Defeat notices
- Monitoring notices: applications to tribunal
- Threshold conditions
- SCHEDULE 31 Disclosure of tax avoidance schemes
- PART 1 Amendments of Part 7 of FA 2004
- PART 2 Amendments of Schedule 17 to F(No.2)A 2017
- PART 3 Other amendments
- PART 4 Commencement
- SCHEDULE 32 The GAAR and partnerships
- PART 1 New Schedule to FA 2013
- PART 2 Minor and consequential amendments to Part 5 of FA 2013
- SCHEDULE 33 Licensing authorities: requirements to give or obtain tax information
- Meaning of “authorisation”, “authorised activity” and “licensing authority” etc
- First-time application: licensing authority required to give information about tax compliance
- Renewed application: licensing authority required to obtain confirmation of tax check
- HMRC required to make arrangements in connection with tax checks
- Tax checks
- Requirement to confirm completion of tax check ceases to apply if HMRC in default
- Disclosure of information
- Regulations
- Interpretation
- Partnerships
- Consequential amendments
- SCHEDULE 34 Information powers: miscellaneous amendments
- Disclosure of third party or financial institution notice
- Increased daily default penalty
- Power to give taxpayer notice following land transaction return
- Commencement