Regulation 9 Amendment of Part 5: Provisions for assessment, payment and collection of the levy, where the appropriate collection authority is the HMRC Commissioners

After regulation 14 insert—

“Assessment by the HMRC Commissioners of amounts of levy due

14A.

(1)

Where it appears to the HMRC Commissioners that an amount of levy has become due and there has been a relevant failure, the HMRC Commissioners—

(a)

may assess the amount of levy due from the person for that financial year to the best of their judgement; and

(b)

must, where such an assessment is made, notify the amount to the person.

(2)

In paragraph (1), any of the following is a “relevant failure”—

(a)

a failure to make an economic crime (anti-money laundering) levy return;

(b)

a failure to keep documents necessary to verify an economic crime (anti-money laundering) levy return;

(c)

the making of an incomplete or inaccurate economic crime (anti-money laundering) levy return;

(d)

an amount of levy, which could include an amount of repayment interest, has been repaid that ought not to have been repaid.

Replacement assessments by the HMRC Commissioners

14B.

(1)

Where an assessment has been notified to a person under regulation 14A(1) and it appears to the HMRC Commissioners that the amount which ought to have been assessed as due exceeds the amount that has already been assessed, the HMRC Commissioners—

(a)

may make a further assessment (“a replacement assessment”) of the amount of levy due from the person to the best of their judgement, and

(b)

must, where such an assessment is made, notify the person of that amount.

(2)

A replacement assessment made and notified to a person under paragraph (1) supersedes any previous assessment.

Assessment procedure

14C.

Notice of an assessment under regulation 14A(1) or 14B(1) must be given in writing stating—

(a)

the date on which the notice is given, and

(b)

the time within which any appeal against the assessment may be made.

Time limits for assessments by the HMRC Commissioners

14D.

(1)

An assessment under regulation 14A(1) or 14B(1) may not be made after the relevant time.

(2)

The “relevant time” is—

(a)

the end of the period of 4 years beginning with the date on which an economic crime (anti-money laundering) levy return is made, or

(b)

where the economic crime (anti-money laundering) levy return has not been made, the end of the period of 20 years beginning with the due date.

Payment of levy following assessments by the HMRC Commissioners

14E.

(1)

An amount of levy assessed and notified to a person under regulation 14A(1) or 14B(1)—

(a)

must be paid by the date which is 30 days after the date of notification of the assessment, and

(b)

is recoverable on the basis that it is an amount of levy due from that person.

(2)

But paragraph (1) does not apply if, or to the extent that, the assessment has been withdrawn or reduced.”.