OpenLegislation

Finance Act 2017

2017 c. 10 · Enacted 27 April 2017 · Extends to United Kingdom

Up to date with all changes known to legislation.gov.uk, revised to 1 April 2026.

An Act to grant certain duties, to alter other duties, and to amend the law relating to the national debt and the public revenue, and to make further provision in connection with finance.[27th April 2017]

Most Gracious Sovereign

WE, Your Majesty's most dutiful and loyal subjects, the Commons of the United Kingdom in Parliament assembled, towards raising the necessary supplies to defray Your Majesty's public expenses, and making an addition to the public revenue, have freely and voluntarily resolved to give and to grant unto Your Majesty the several duties hereinafter mentioned; and do therefore most humbly beseech Your Majesty that it may be enacted, and be it enacted by the Queen's most Excellent Majesty, by and with the advice and consent of the Lords Spiritual and Temporal, and Commons, in this present Parliament assembled, and by the authority of the same, as follows:—

Contents

  1. Part 1: Direct and indirect taxes
  2. Income tax charge and rates
  3. 1Income tax charge for tax year 2017-18
  4. 2Main rates of income tax for tax year 2017-18
  5. 3Default and savings rates of income tax for tax year 2017-18
  6. 4Starting rate limit for savings for tax year 2017-18
  7. Corporation tax charge
  8. 5Corporation tax charge for financial year 2018
  9. Income tax: general
  10. 6Workers' services provided to public sector through intermediaries
  11. 7Optional remuneration arrangements
  12. 8Taxable benefits: asset made available without transfer
  13. 9Overseas pensions
  14. 10Pensions: offshore transfers
  15. 11Deduction of income tax at source
  16. Employee shareholder shares
  17. 12Employee shareholder shares: amount treated as earnings
  18. 13Employee shareholder shares: abolition of CGT exemption
  19. 14Employee shareholder shares: purchase by company
  20. Disguised remuneration
  21. 15Employment income provided through third parties
  22. Indirect taxes
  23. 16VAT: zero-rating of adapted motor vehicles etc
  24. 17Insurance premium tax: standard rate
  25. 18Insurance premium tax: anti-forestalling provision
  26. 19Air passenger duty: rates from 1 April 2017
  27. 20Vehicle excise duty: rates
  28. 21Alcoholic liquor duties: rates
  29. 22Tobacco products duty: rates
  30. 23Tobacco products duty: minimum excise duty
  31. Avoidance
  32. 24Promoters of tax avoidance schemes: threshold conditions etc
  33. Part 2: Soft drinks industry levy
  34. Introductory
  35. 25Soft drinks industry levy
  36. 26“Soft drink” and “package”
  37. 27Meaning of “prepared drink”
  38. Chargeable soft drinks
  39. 28Meaning of “chargeable soft drink”
  40. 29Sugar content condition
  41. 30Exempt soft drinks
  42. Charging of the soft drinks industry levy
  43. 31Charge to soft drinks industry levy
  44. 32Chargeable events: soft drinks packaged in the UK
  45. 33Chargeable events: soft drinks imported into the UK
  46. 34Secondary warehousing regulations
  47. 35Liability to pay the levy
  48. 36Levy rates
  49. 36ADetermining levy rate for flavour concentrates
  50. Exemption etc
  51. 37Small producer exemption
  52. 38Meaning of “small producer”
  53. 39Tax credits
  54. Registration
  55. 40The register
  56. 41Liability to register: packagers
  57. 42Liability to register: producers
  58. 43Liability to register: imported chargeable soft drinks
  59. 44Notification of liability and registration
  60. 45Voluntary registration: small producers
  61. 46Cancellation of registration under section 41, 42 or 43
  62. 47Cancellation of voluntary registration
  63. 48Correction of the register
  64. 49Applications, notifications etc
  65. Offences
  66. 50Fraudulent evasion
  67. 51Failure to notify registration liability
  68. Administration and enforcement
  69. 52Payment, collection and recovery
  70. 53Records
  71. 54Power to make further provision about enforcement
  72. 55Appeals etc
  73. 56Supplementary amendments
  74. Miscellaneous
  75. 57Regulations: death, incapacity or insolvency of person carrying on a business
  76. 58Provisional collection of soft drinks industry levy
  77. 58AIsle of Man: import and export of chargeable soft drinks
  78. General
  79. 59Interpretation of Part 2
  80. 60Regulations
  81. 61Commencement
  82. Part 3: Final
  83. 62Interpretation
  84. 63Short title
  85. Schedule 1: Workers' services provided to public sector through intermediaries
  86. Part 1: Preliminary amendments
  87. 1Paragraph 1
  88. 2Paragraph 2
  89. 3Paragraph 3
  90. 4Paragraph 4
  91. 5Paragraph 5
  92. 6Paragraph 6
  93. 7Paragraph 7
  94. 8Paragraph 8
  95. Part 2: New Chapter 10 of Part 2 of ITEPA 2003
  96. 9Paragraph 9
  97. Part 3: Consequential amendments
  98. 10Paragraph 10
  99. 11Paragraph 11
  100. 12Paragraph 12
  101. 13Paragraph 13
  102. 14Paragraph 14
  103. Part 4: Commencement
  104. 15Paragraph 15
  105. 16Paragraph 16
  106. 17Paragraph 17
  107. Schedule 2: Optional remuneration arrangements
  108. Optional remuneration arrangements
  109. 1Paragraph 1
  110. Benefits in kind: amount treated as earnings
  111. 2Paragraph 2
  112. 3Paragraph 3
  113. 4Paragraph 4
  114. 5Paragraph 5
  115. 6Paragraph 6
  116. 7Paragraph 7
  117. 8Paragraph 8
  118. 9Paragraph 9
  119. 10Paragraph 10
  120. 11Paragraph 11
  121. 12Paragraph 12
  122. 13Paragraph 13
  123. 14Paragraph 14
  124. 15Paragraph 15
  125. 16Paragraph 16
  126. 17Paragraph 17
  127. 18Paragraph 18
  128. 19Paragraph 19
  129. 20Paragraph 20
  130. 21Paragraph 21
  131. 22Paragraph 22
  132. 23Paragraph 23
  133. 24Paragraph 24
  134. 25Paragraph 25
  135. 26Paragraph 26
  136. 27Paragraph 27
  137. 28Paragraph 28
  138. 29Paragraph 29
  139. 30Paragraph 30
  140. 31Paragraph 31
  141. 32Paragraph 32
  142. 33Paragraph 33
  143. 34Paragraph 34
  144. 35Paragraph 35
  145. 36Paragraph 36
  146. 37Paragraph 37
  147. 38Paragraph 38
  148. 39Paragraph 39
  149. 40Paragraph 40
  150. 41Paragraph 41
  151. 42Paragraph 42
  152. 43Paragraph 43
  153. 44Paragraph 44
  154. 45Paragraph 45
  155. 46Paragraph 46
  156. 47Paragraph 47
  157. 48Paragraph 48
  158. Exemptions
  159. 49Paragraph 49
  160. Other amendments
  161. 50Paragraph 50
  162. 51Paragraph 51
  163. 52Paragraph 52
  164. 53Paragraph 53
  165. 54Paragraph 54
  166. 55Paragraph 55
  167. 56Paragraph 56
  168. 57Paragraph 57
  169. 58Paragraph 58
  170. 59Paragraph 59
  171. 60Paragraph 60
  172. 61Paragraph 61
  173. Commencement and transitional provision
  174. 62Paragraph 62
  175. Schedule 3: Overseas pensions
  176. Part 1: Registered pension schemes established outside the UK
  177. 1Paragraph 1
  178. Part 2: Income tax on pension income
  179. UK residents to be taxed on 100%, not 90%, of foreign pension income
  180. 2Paragraph 2
  181. Superannuation funds to which section 615(3) of ICTA applies
  182. 3Paragraph 3
  183. Part 3: Lump sums for UK residents from foreign pension schemes
  184. Introductory
  185. 4Paragraph 4
  186. Employer-financed retirement benefit schemes: ending of foreign-service relief
  187. 5Paragraph 5
  188. 6Paragraph 6
  189. 7Paragraph 7
  190. Lump sums under other foreign schemes
  191. 8Paragraph 8
  192. 9Paragraph 9
  193. 10Paragraph 10
  194. 11Paragraph 11
  195. 12Paragraph 12
  196. Relief from tax under Part 9 of ITEPA 2003 not to give rise to tax under other provisions
  197. 13Paragraph 13
  198. Schedule 4: Pensions: offshore transfers
  199. Part 1: Charges where payments made in respect of overseas pensions
  200. Amendments of Schedule 34 to FA 2004
  201. 1Paragraph 1
  202. 2Paragraph 2
  203. 3Paragraph 3
  204. 4Paragraph 4
  205. 5Paragraph 5
  206. 6Paragraph 6
  207. 7Paragraph 7
  208. 8Paragraph 8
  209. Consequential amendments in ITEPA 2003
  210. 9Paragraph 9
  211. 10Paragraph 10
  212. Part 2: Income tax on pension transfers: overseas transfer charge
  213. Tax charge on transfers to qualifying recognised overseas pension schemes
  214. 11Paragraph 11
  215. Further amendments in Part 4 of FA 2004.
  216. 12Paragraph 12
  217. 13Paragraph 13
  218. 14Paragraph 14
  219. 15Paragraph 15
  220. 16Paragraph 16
  221. 17Paragraph 17
  222. 18Paragraph 18
  223. Other amendments
  224. 19Paragraph 19
  225. 20Paragraph 20
  226. 21Paragraph 21
  227. 22Paragraph 22
  228. 23Paragraph 23
  229. 24Paragraph 24
  230. Commencement and transitional provision
  231. 25Paragraph 25
  232. Schedule 5: Deduction of income tax at source
  233. Part 1: Interest distributions of investment trust or authorised investment fund
  234. 1Paragraph 1
  235. 2Paragraph 2
  236. Part 2: Interest on peer-to-peer lending
  237. 3Paragraph 3
  238. Part 3: Further amendment and commencement
  239. Further amendment
  240. 4Paragraph 4
  241. Commencement
  242. 5Paragraph 5
  243. Schedule 6: Employment income provided through third parties
  244. Introductory
  245. 1Paragraph 1
  246. Meaning of “relevant step”
  247. 2Paragraph 2
  248. Loans: transferring, releasing or writing off
  249. 3Paragraph 3
  250. 4Paragraph 4
  251. 5Paragraph 5
  252. 6Paragraph 6
  253. 7Paragraph 7
  254. Exclusions: relevant repayments
  255. 8Paragraph 8
  256. Exclusions: payments in respect of a tax liability
  257. 9Paragraph 9
  258. Double taxation
  259. 10Paragraph 10
  260. 11Paragraph 11
  261. Amendments to Schedule 2 to FA 2011
  262. 12Paragraph 12
  263. Commencement
  264. 13Paragraph 13
  265. 14Paragraph 14
  266. 15Paragraph 15
  267. 16Paragraph 16
  268. Schedule 7: VAT: zero-rating of adapted motor vehicles etc
  269. Adaptation of a qualifying motor vehicle
  270. 1Paragraph 1
  271. Three year rule, reporting and certification
  272. 2Paragraph 2
  273. Penalty
  274. 3Paragraph 3
  275. Minor amendments
  276. 4Paragraph 4
  277. 5Paragraph 5
  278. 6Paragraph 6
  279. 7Paragraph 7
  280. 8Paragraph 8
  281. Commencement
  282. 9Paragraph 9
  283. Schedule 8: Soft drinks industry levy: recovery and overpayments
  284. Part 1: Recovery
  285. Recovery as debt due
  286. 1Paragraph 1
  287. Assessments
  288. 2Paragraph 2
  289. 3Paragraph 3
  290. 4Paragraph 4
  291. Supplementary assessments
  292. 5Paragraph 5
  293. Further provision about assessments under paragraphs 2, 4 and 5
  294. 6Paragraph 6
  295. Time limits for assessments
  296. 7Paragraph 7
  297. Part 2: Overpayments
  298. Repayments of overpaid levy
  299. 8Paragraph 8
  300. Supplementary provisions about repayment etc.
  301. 9Paragraph 9
  302. 10Paragraph 10
  303. Reimbursement arrangements
  304. 11Paragraph 11
  305. Assessment for excessive repayment
  306. 12Paragraph 12
  307. Supplementary assessments
  308. 13Paragraph 13
  309. Further provision about assessments under paragraphs 12 and 13
  310. 14Paragraph 14
  311. Time limits for assessments
  312. 15Paragraph 15
  313. Part 3: Further provision about notices etc.
  314. Notifications to a person's representative
  315. 16Paragraph 16
  316. Service of notices
  317. 17Paragraph 17
  318. Schedule 9: Soft drinks industry levy: requirements to keep records etc: penalties
  319. Part 1: Penalties
  320. Sections 48(2) and 53(1): requirements imposed by regulations
  321. 1Paragraph 1
  322. Section 53(2): requirements imposed by directions
  323. 2Paragraph 2
  324. Power to alter amounts specified in paragraphs 1 and 2
  325. 3Paragraph 3
  326. Reasonable excuse
  327. 4Paragraph 4
  328. Part 2: Assessments
  329. Power to make assessments
  330. 5Paragraph 5
  331. Supplementary assessments
  332. 6Paragraph 6
  333. Further provision about assessments under this Schedule
  334. 7Paragraph 7
  335. Time limits for assessments
  336. 8Paragraph 8
  337. Further provision about notices
  338. 9Paragraph 9
  339. 10Paragraph 10
  340. Schedule 10: Soft drinks industry levy: appeals and reviews
  341. Part 1: Appealable decisions
  342. Appealable decisions
  343. 1Paragraph 1
  344. Part 2: Reviews
  345. Offer of review
  346. 2Paragraph 2
  347. Right to require review
  348. 3Paragraph 3
  349. Review by HMRC
  350. 4Paragraph 4
  351. Extensions of time
  352. 5Paragraph 5
  353. Review out of time
  354. 6Paragraph 6
  355. Nature of review etc.
  356. 7Paragraph 7
  357. Service of notices
  358. 8Paragraph 8
  359. Part 3: Appeals
  360. “Appeal tribunal”
  361. 9Paragraph 9
  362. Bringing of appeals
  363. 10Paragraph 10
  364. Appeals: further provision
  365. 11Paragraph 11
  366. Determinations on appeal
  367. 12Paragraph 12
  368. 13Paragraph 13
  369. 14Paragraph 14
  370. 15Paragraph 15
  371. Schedule 11: Soft drinks industry levy: supplementary amendments
  372. HMRC powers to obtain information etc.
  373. 1Paragraph 1
  374. Penalties: failure to notify etc.
  375. 2Paragraph 2
  376. Penalties: failure to comply with requirements relating to returns
  377. 3Paragraph 3
  378. 4Paragraph 4
  379. 5Paragraph 5
  380. 6Paragraph 6 Not yet in force
  381. Interest
  382. 7Paragraph 7