Income Tax (Trading and Other Income) Act 2005 section 302A

Appeals against proposed determinations

Section 302A sets out the procedure that applies when HMRC needs to determine an amount to be treated as a receipt for tax purposes, and that determination could affect the tax liabilities of more than one person.

• Where HMRC needs to determine a taxable receipt amount that may affect the income tax, corporation tax or capital gains tax liability of other persons, the officer may issue a provisional notice of determination to all affected parties.
• The provisional notice must set out the proposed determination and inform recipients of their rights to object and to seek a tribunal determination under section 302C.
• Any person who receives the notice may object by issuing a notice of objection to the officer within 30 days of the date the provisional notice was given.
• If no one objects within the 30-day period, the officer must make the determination as proposed, and that determination cannot be challenged in any proceedings.