Compliance checks framework: extension to other taxes
The measure
Legislation will be introduced in Finance Bill 2009 which will extend the compliance checking framework introduced in 2008 for mainstream business taxes to aggregates levy, climate change levy, landfill tax, insurance premium tax, stamp duty land tax, stamp duty reserve tax, inheritance tax and petroleum revenue tax.
Record keeping requirements, which currently differ between taxes, will be aligned. Similarly, information and inspection powers will be altered so that one set of rules governs all the taxes.
Time limits for making tax assessments and claims will also be aligned across the taxes, and will mirror those already introduced for business taxes.
Who will be affected?
Individuals and businesses subject to aggregates levy, climate change levy, landfill tax, insurance premium tax, stamp duty land tax, stamp duty reserve tax, inheritance tax and petroleum revenue tax.
When?
It is anticipated that the changes to record keeping requirements and information powers will become effective in 2010.
The alignment of time limits will need a transitional period and it is not expected that these will become fully operational until 1 April 2011.
These are sensible administrative changes which will enable taxpayers to make better sense of a common set of rules across all business taxes.
