The Finance (No 3) Bill 2017/19 received royal assent on 12 February 2019, becoming the Finance Act 2019.
The provisions of the Act implemented from the date of royal assent are:
s 28 and Sch 11: corporate interest restriction – extension of reporting company notification period effective from royal assent;
s 45: SDLT: exemption for financial institutions in resolution – applies to certain transfers of property from failing financial institutions to public bodies and creditors;
s 49: stamp duty: exemption for financial institutions in resolution – applies to certain transfers of shares from failing financial institutions to public bodies and creditors;
s 51: VAT reverse charge – enables HM Treasury to modify the rule that the value of reverse-charged supplies received must be included in turnover for VAT registration purposes;
s 53 and Sch 18: VAT groups: eligibility – extends the criteria for eligibility to join a VAT group, to include certain non-corporate entities such as partnerships and individuals;
s 64: climate change levy: exemption for mineralogical and metallurgical processes – amends the definition so that the exemption for energy used in those processes remains operable following the UK’s departure from the EU;
s 83: resolution of double taxation disputes – primary legislation needed to implement the double taxation dispute resolution mechanisms in EU directive 2017/1852;
s 84: international tax enforcement: disclosable arrangements – enables HM Treasury to make regulations to comply with international rules on the disclosure of cross-border tax arrangements, specifically EU directive 2018/822 and the OECD’s model mandatory disclosure rules;
ss 85–86: interest in respect of unlawful ACT – introduces a new non-exclusive interest-like remedy in relation to certain claims against HMRC (and predecessor Inland Revenue) in respect of ACT paid and subsequently set off or repaid before the time of the claim;
s 87: voluntary tax returns – puts tax returns submitted voluntarily on the same footing as those submitted in response to a formal notice to file;
s 88: interest under FA 1989 s 178 and FA 2009 s 101 – removes the need for an appointed day order to charge or pay interest on tax and other amounts provided for by FA 1989 s 178, and also sets interest rates for certain purposes including true-up interest for DPT;
s 89 and Sch 20: regulatory capital securities and hybrid capital instruments – introduces new tax rules for loan relationships that are hybrid capital instruments and revokes the Taxation of Regulatory Capital Securities Regulations, SI 2013/3209;
s 90: consequential minor amendments to tax legislation to reflect EU exit – permits the government to make small, essential changes to UK tax law to keep it working as it does now if the UK leaves the EU without a deal; and
s 91: emissions reduction trading scheme: preparatory expenditure – authorises the secretary of state to incur expenditure in preparation for the introduction of an emissions reduction trading scheme to replace the EU ETS after Brexit.
The Finance (No 3) Bill 2017/19 received royal assent on 12 February 2019, becoming the Finance Act 2019.
The provisions of the Act implemented from the date of royal assent are:
s 28 and Sch 11: corporate interest restriction – extension of reporting company notification period effective from royal assent;
s 45: SDLT: exemption for financial institutions in resolution – applies to certain transfers of property from failing financial institutions to public bodies and creditors;
s 49: stamp duty: exemption for financial institutions in resolution – applies to certain transfers of shares from failing financial institutions to public bodies and creditors;
s 51: VAT reverse charge – enables HM Treasury to modify the rule that the value of reverse-charged supplies received must be included in turnover for VAT registration purposes;
s 53 and Sch 18: VAT groups: eligibility – extends the criteria for eligibility to join a VAT group, to include certain non-corporate entities such as partnerships and individuals;
s 64: climate change levy: exemption for mineralogical and metallurgical processes – amends the definition so that the exemption for energy used in those processes remains operable following the UK’s departure from the EU;
s 83: resolution of double taxation disputes – primary legislation needed to implement the double taxation dispute resolution mechanisms in EU directive 2017/1852;
s 84: international tax enforcement: disclosable arrangements – enables HM Treasury to make regulations to comply with international rules on the disclosure of cross-border tax arrangements, specifically EU directive 2018/822 and the OECD’s model mandatory disclosure rules;
ss 85–86: interest in respect of unlawful ACT – introduces a new non-exclusive interest-like remedy in relation to certain claims against HMRC (and predecessor Inland Revenue) in respect of ACT paid and subsequently set off or repaid before the time of the claim;
s 87: voluntary tax returns – puts tax returns submitted voluntarily on the same footing as those submitted in response to a formal notice to file;
s 88: interest under FA 1989 s 178 and FA 2009 s 101 – removes the need for an appointed day order to charge or pay interest on tax and other amounts provided for by FA 1989 s 178, and also sets interest rates for certain purposes including true-up interest for DPT;
s 89 and Sch 20: regulatory capital securities and hybrid capital instruments – introduces new tax rules for loan relationships that are hybrid capital instruments and revokes the Taxation of Regulatory Capital Securities Regulations, SI 2013/3209;
s 90: consequential minor amendments to tax legislation to reflect EU exit – permits the government to make small, essential changes to UK tax law to keep it working as it does now if the UK leaves the EU without a deal; and
s 91: emissions reduction trading scheme: preparatory expenditure – authorises the secretary of state to incur expenditure in preparation for the introduction of an emissions reduction trading scheme to replace the EU ETS after Brexit.
