Income Tax (Trading and Other Income) Act 2005 section 801

Time limit on adjustment of assessment

Section 801 sets a time limit within which HMRC or the taxpayer may adjust a tax assessment to give effect to a rent-a-room relief election or a withdrawal of such an election.

• This section applies when a tax assessment needs adjusting because of a rent-a-room election or withdrawal of election under section 799 or section 800
• The adjustment is not out of time provided it is made on or before the first anniversary of the normal self-assessment filing date for the relevant tax year
• The relevant tax year is the one for which the election was made or the notice of withdrawal was given or treated as given
• The time limit is expressed by reference to the standard self-assessment filing deadline, giving a clear and consistent cut-off point