Finance Act 1997 (c. 16)

(The document as of February, 2008)

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(b) the entry relating to him on the register specifies those premises.

(3) The Commissioners shall not enter into an agreement under this paragraph for a change in the date on which an accounting period begins in relation to any premises unless they are satisfied that appropriate transitional provision for the protection of the revenue is contained in the agreement.

(4) The provision which, for the purposes of sub-paragraph (3) above, may be contained in any agreement under this paragraph shall include any such provision as may be contained in regulations under section 11(5) of this Act.

(5) Sections 14 to 16 of the Finance Act 1994 (review and appeals) shall have effect in relation to any refusal of the Commissioners to enter into an agreement under this paragraph, or to enter into such an agreement on particular terms, as if that refusal were a decision of a description specified in Schedule 5 to that Act.

Directions as to the making of returns

10 (1) The Commissioners may give directions as to the making of returns in connection with gaming duty by--

(a) persons registered on the gaming duty register;

(b) persons liable to pay any gaming duty.

(2) Directions under this paragraph may, in particular, make provision as to--

(a) when any returns are to be made;

(b) the persons by whom any returns are to be made;

(d) the information to be given in any returns;

(e) the declarations to be contained in returns and the manner in which returns are to be authenticated;

(f) returns being treated as not made until received by the Commissioners;

(g) the places to which returns are to be made.

(3) Where a person fails to comply with any provision of a direction given under this paragraph, that failure shall attract a penalty under section 9 of the [1994 c. 9.] Finance Act 1994 (civil penalties) and shall also attract daily penalties.

Regulations

11 (1) The Commissioners may make regulations providing for any matter for which provision appears to them to be necessary or expedient for the administration or enforcement of gaming duty, or for the protection of the revenue from that duty.

(2) Regulations under this paragraph may, in particular, include provision as to the giving and operation of directions under section 11(6) of this Act.

(3) Where any person contravenes or fails to comply with any of the provisions of any regulations under this paragraph, his contravention or failure to comply shall attract a penalty under section 9 of the Finance Act 1994 (civil penalties).

Offences

12 (1) Any person who obstructs any officer in the exercise of his functions in relation to gaming duty shall be guilty of an offence and liable, on summary conviction, to a penalty of level 5 on the standard scale.

(2) Any person who--

(a) in connection with gaming duty, makes any statement which he knows to be false in a material particular or recklessly makes any statement which is false in a material particular,

(b) in that connection, with intent to deceive, produces or makes use of any book, account, record, return or other document which is false in a material particular, or

(c) is knowingly concerned in, or in the taking of steps with a view to, the fraudulent evasion (by him or any other person) of any gaming duty or of any obligation to make a payment on account of gaming duty,

shall be guilty of an offence.

(3) A person guilty of an offence under sub-paragraph (2) above shall be liable--

(a) on summary conviction, to a penalty of--

(i) the statutory maximum, or

(ii) if greater, three times the duty or other amount which is unpaid or the payment of which is sought to be avoided,

or to imprisonment for a term not exceeding six months, or to both;

(b) on conviction on indictment, to a penalty of any amount, or to imprisonment for a term not exceeding--

(i) two years in the case of an offence by virtue of sub-paragraph (2)(a) above, and

(ii) seven years in any other case,

or to both.

(4) Section 27 of the [1981 c. 63.] Betting and Gaming Duties Act 1981 (offences by bodies corporate) shall have effect for the purposes of any offence under this paragraph as it has effect for the purposes of the offences mentioned in that section.

(5) Where a person has committed an offence under sub-paragraph (2) above, all designated items related to the relevant gaming shall be liable to forfeiture if--

(a) at the time the offence was committed that person was not registered on the gaming duty register; and

(b) the relevant gaming did not take place on premises which, at the time the offence was committed, were specified in any person's entry on that register.

(6) In sub-paragraph (5) above, "the relevant gaming" means--

(a) in relation to an offence under sub-paragraph (2)(a) or (b) above, any gaming to which the false statement or (as the case may be) the false document related; and

(b) in relation to an offence under sub-paragraph (2)(c) above, any gaming on the premises the gaming duty on which was, or was sought to be, fraudulently evaded.

(7) For the purposes of sub-paragraph (5) above, the designated items related to any gaming are--

(a) any furniture, machines and other articles and equipment which--

(i) are on the premises where the gaming takes place; and

(ii) have been or are being, or are capable of being, used for or in connection with gaming;

and

(b) any cash and gaming chips in the custody or under the control of any person who--

(i) is a provider of the premises on which the gaming takes place, or

(ii) is in any way concerned with the organisation or management of the gaming.

(8) For the purposes of sub-paragraph (7)(b) above the cash and gaming chips taken to be under the control of a person who is the provider of any premises or is concerned with the organisation or management of gaming on any premises shall include all cash and gaming chips in play or left on a gaming table on those premises.

Distress and poinding

13 (1) Sections 28 and 29 of the Betting and Gaming Duties Act 1981 (recovery of duty) shall have effect as follows so as to apply in relation to gaming duty as they applied in relation to the duty on gaming licences--

(a) in subsection (1) of each section, for "or 14 above or of Schedule 2 to this Act" there shall be substituted "above or sections 10 to 15 of, and Schedule 1 to, the Finance Act 1997"; and

(b) in subsections (2) and (3) of each section, for the words "the duty on a gaming licence" there shall be substituted--

(i) in the first place where they occur in subsection (2), the words "the gaming duty"; and

(ii) in the other places where they occur, the words "gaming duty".

(2) Sub-paragraph (1) above shall cease to have effect on such day as the Commissioners may by order made by statutory instrument appoint, and different days may be appointed under this sub-paragraph for different purposes.

Disclosure of information

14 (1) No obligation as to secrecy or other restriction on the disclosure of information imposed by statute or otherwise shall prevent--

(a) the Commissioners or an authorised officer of the Commissioners from disclosing to the Gaming Board for Great Britain or to an authorised officer of that Board, or

(b) that Board or an authorised officer of that Board from disclosing to the Commissioners or an authorised officer of the Commissioners,

information for the purpose of assisting the Commissioners in the carrying out of their functions with respect to gaming duty or, as the case may be, that Board in the carrying out of that Board's functions under the [1968 c. 65.] Gaming Act 1968.

(2) Information obtained by virtue of a disclosure authorised by this paragraph shall not be disclosed except--

(a) to the Commissioners or the Gaming Board for Great Britain or to an authorised officer of the Commissioners or that Board; or

(b) for the purposes of any proceedings connected with a matter in relation to which the Commissioners or that Board carry out the functions mentioned in sub-paragraph (1) above.

Evidence by certificate

15 Section 29A of the [1981 c. 63.] Betting and Gaming Duties Act 1981 (evidence by certificate) shall apply for the purposes of sections 10 to 15 of this Act and this Schedule as it applies for the purposes of that Act.

Protection of officers

16 Section 31 of the Betting and Gaming Duties Act 1981 (protection of officers) shall apply for the purposes of gaming duty as it applies for the purposes of general betting duty.

Section 13.

SCHEDULE 2 Gaming duty: consequential and incidental amendments

Part I Amendments of the Customs and Excise Management Act 1979

Introductory

1 The [1979 c. 2.] Customs and Excise Management Act 1979 shall be amended in accordance with the provisions of this Part of this Schedule.

Meaning of "revenue trade provisions" and "revenue trader"

2 (1) This paragraph amends section 1(1) (interpretation).

(2) In the definition of "the revenue trade provisions of the customs and excise Acts", after paragraph (d) there shall be inserted the following paragraph--

" (e) the provisions of sections 10 to 15 of, and Schedule 1 to, the Finance Act 1997; " .

(3) In paragraph (a) of the definition of "revenue trader", after sub-paragraph (ia) there shall be inserted the following sub-paragraphs--

" (ib) being (within the meaning of sections 10 to 15 of the Finance Act 1997) the provider of any premises for gaming;

(ic) the organisation, management or promotion of any gaming (within the meaning of the [1968 c. 65.] Gaming Act 1968 or the [S.I. 1985/1204 (N.I. 11).] Betting, Gaming, Lotteries and Amusements (Northern Ireland) Order 1985); or " .

(4) In sub-paragraph (ii) of that paragraph, for "or (ia)" there shall be substituted ", (ia), (ib) or (ic)".

Amendments of Part IXA

3 In section 118B (furnishing of information etc. by revenue traders)--

(a) in subsection (1)(a), after sub-paragraph (ii) there shall be inserted " or

(iii) any transaction or activity effected or taking place in the course or furtherance of a business, " ;

(b) in subsection (1)(b), at the end there shall be inserted "or to the transaction or activity"; and

(c) in subsection (3), after "any business" there shall be inserted ", or to any transaction or activity effected or taking place in the course or furtherance of any business,".

4 (1) This paragraph amends section 118C (powers of entry and search).

(2) After subsection (2) there shall be inserted the following subsections--

" (2A) Where an officer has reasonable cause to believe that any premises are premises where gaming to which section 10 of the Finance Act 1997 (gaming duty) applies is taking place, has taken place or is about to take place, he may at any reasonable time enter and inspect those premises and inspect any relevant materials found on them.

(2B) In subsection (2A) above "relevant materials" means--

(a) any accounts, records or other documents found on the premises in the custody or control of any person who is engaging, or whom the officer reasonably suspects of engaging--

(i) in any such gaming, or

(ii) in any activity by reason of which he is or may become liable to gaming duty,

and

(b) any equipment which is being, or which the officer reasonably suspects of having been or of being intended to be, used on the premises for or in connection with any such gaming. "

(3) In subsection (3) (justice's warrant for entry), after paragraph (b) there shall be inserted " or

(i) that gaming to which section 10 of the Finance Act 1997 applies is taking place, has taken place or is about to take place on any premises, or

(ii) that evidence of the commission of a gaming duty offence is to be found there, " .

(4) In subsection (4)(b) (powers on entry under a warrant), after "of a serious nature" there shall be inserted "or in respect of a gaming duty offence".

(5) In subsection (5) (meaning of "fraud offence"), at the end there shall be inserted "and "a gaming duty offence" means an offence under paragraph 12(2) of Schedule 1 to the Finance Act 1997 (offences in connection with gaming duty)".

Part II Other amendments

Licences under the Gaming Act 1968

5 (1) Schedule 2 to the [1968 c. 65.] Gaming Act 1968 (grant etc. of licences) shall be amended in accordance with the provisions of this paragraph.

(2) In paragraph 20(1) (grounds for refusing to grant or renew a licence), after paragraph (f) there shall be inserted the following paragraph--

" (g) that any gaming duty charged on the premises remains unpaid. "

(3) In paragraph 48(1) (cancellation of licence on conviction for second or subsequent offence), after "the enactments consolidated by that Act)" there shall be inserted "or of an offence under paragraph 12 of Schedule 1 to the Finance Act 1997".

(4) In paragraph 60(c) (transfer of licence may be refused if duty unpaid), after "bingo duty" there shall be inserted "or gaming duty".

Preferential debts on insolvency

6 In paragraph 5(a) of Schedule 6 to the [1986 c. 45.] Insolvency Act 1986, paragraph 2(3)(a) of Schedule 3 to the [1985 c. 66.] Bankruptcy (Scotland) Act 1985 and paragraph 5(a) of Schedule 4 to the [S.I. 1989/2405 (N.I. 19).] Insolvency (Northern Ireland) Order 1989 (preferential debts), for "or bingo duty" there shall, in each case, be substituted ", bingo duty or gaming duty".

Assessments to duty

7 In section 12(2)(c) of the [1994 c. 9.] Finance Act 1994 (duty may be assessed upon the occurrence of certain defaults in connection with betting duties and bingo duty), after "under Schedule 1 or 3 to the [1981 c. 63.] Betting and Gaming Duties Act 1981" there shall be inserted "or Schedule 1 to the Finance Act 1997".

Section 18.

SCHEDULE 3 Vehicle excise duty: exempt vehicles

Interpretation

1 In this Schedule "the 1994 Act" means the [1994 c. 22.] Vehicle Excise and Registration Act 1994.

Registration of vehicle on issue of nil licence

2 In section 21 of the 1994 Act (registration of vehicles), for subsection (1) there shall be substituted the following subsection--

" (1) Subject to subsection (3), on the issue by the Secretary of State for a vehicle which is not registered under this section of either--

(a) a vehicle licence, or

(b) a nil licence,

the Secretary of State shall register the vehicle in such manner as he thinks fit without any further application by the person to whom the licence is issued. "

Return of nil licence

3 In section 22 of the 1994 Act (registration regulations), after subsection (3) there shall be inserted the following subsection--

" (4) Regulations made by the Secretary of State may make provision for the return of any nil licence to the Secretary of State in such circumstances as may be prescribed by the regulations. "

Offence of not exhibiting nil licence

4 (1) In section 33 of the 1994 Act (not exhibiting licence), after subsection (1) there shall be inserted the following subsection--

" (1A) A person is guilty of an offence if--

(a) he uses, or keeps, on a public road an exempt vehicle,

(b) that vehicle is one in respect of which regulations under this Act require a nil licence to be in force, and

(c) there is not fixed to and exhibited on the vehicle in the manner prescribed by regulations made by the Secretary of State a nil licence for that vehicle which is for the time being in force. "

(2) In subsection (2) of that section, after "(1)" there shall be inserted "or (1A)".

(3) For subsection (3) of that section there shall be substituted the following subsection--

" (3) Subsections (1) and (1A)--

(a) have effect subject to the provisions of regulations made by the Secretary of State, and

(b) are without prejudice to sections 29 and 43A. "

(4) In subsection (4) of that section, for "in respect of which excise duty is chargeable" there shall be substituted "which is kept or used on a public road".

(5) After that subsection there shall be inserted the following subsection--

" (5) The reference to a licence in subsection (4) includes a reference to a nil licence. "

Offence of failing to have nil licence for exempt vehicle

5 Immediately before section 44 of the 1994 Act there shall be inserted the following section--

" 43A Failure to have nil licence for exempt vehicle

(1) A person is guilty of an offence if--

(a) he uses, or keeps, on a public road an exempt vehicle,

(b) that vehicle is one in respect of which regulations under this Act require a nil licence to be in force, and

(2) A person guilty of an offence under subsection (1) is liable on summary conviction to a fine not exceeding level 2 on the standard scale.

(3) Subsection (1) has effect subject to the provisions of regulations made by the Secretary of State.

(4) The Secretary of State may, if he thinks fit, compound any proceedings for an offence under this section. "

Offence of forging or fraudulently using etc. nil licence

6 In subsection (2) of section 44 of the 1994 Act (forgery and fraud), for paragraph (c) there shall be substituted the following paragraph--

" (c) a nil licence, " .

Supplemental provisions

7 (1) In section 46 of the 1994 Act (duty to give information)--

(a) in subsection (1), for "or 37" there shall be substituted ", 37 or 43A";

(b) in subsections (2) and (3), after "section 29" there shall be inserted "or 43A".

(2) In subsection (1) of section 51 of that Act (admissions), for "or 34" there shall be substituted ", 34 or 43A".

(3) In subsection (1) of section 62 of that Act (other definitions), after the definition of "motor trader" there shall be inserted the following definition--

" "nil licence" means a document which is in the form of a vehicle licence and is issued by the Secretary of State in pursuance of regulations under this Act in respect of a vehicle which is an exempt vehicle, " .

(4) In paragraph 20 of Schedule 2 to that Act (exempt vehicles), sub-paragraph (4) shall cease to have effect.

Further amendments

8 (1) In Schedule 3 to the [1988 c. 53.] Road Traffic Offenders Act 1988 (fixed penalty offences), in column 2 of the entry relating to section 33 of the 1994 Act, for "licence" there shall be substituted "vehicle licence, trade licence or nil licence".

(2) In Article 198 of the [S.I. 1981/154 (N.I. 1).] Road Traffic (Northern Ireland) Order 1981 (offences punishable without prosecution), in paragraph (1)(f) for "licence" there shall be substituted "vehicle licence, trade licence or nil licence".

Commencement

9 This Schedule shall come into force on such day as the Secretary of State may by order made by statutory instrument appoint; and different days may be appointed under this paragraph for different purposes.

Section 22.

SCHEDULE 4 Insurance premium tax: the higher rate

Schedule to be inserted into the Finance Act 1994

Section 51A.

" SCHEDULE 6A Premiums liable to tax at the higher rate

Part I Interpretation

1 (1) In this Schedule--

"insurance-related service" means any service which is related to, or connected with, insurance;
"supply" includes all forms of supply; and "supplier" shall be construed accordingly.

(2) For the purposes of this Schedule, any question whether a person is connected with another shall be determined in accordance with section 839 of the Taxes Act 1988.

Part II Descriptions of premium

Insurance relating to motor cars or motor cycles

2 (1) A premium under a taxable insurance contract relating to a motor car or motor cycle falls within this paragraph if--

(a) the contract is arranged through a person falling within sub-paragraph (2) below, or

(b) the insurer under the contract is a person falling within that sub-paragraph,

unless the insurance is provided to the insured free of charge.

(2) A person falls within this sub-paragraph if--

(a) he is a supplier of motor cars or motor cycles;

(b) he is connected with a supplier of motor cars or motor cycles; or

(i) the whole or any part of the premium received under the taxable insurance contract, or

(ii) a fee connected with the arranging of that contract,

to a supplier of motor cars or motor cycles or to a person who is connected with a supplier of motor cars or motor cycles.

(3) Where a taxable insurance contract relating to a motor car or motor cycle is arranged through a person who is connected with a supplier of motor cars or motor cycles, the premium does not fall within this paragraph by virtue only of sub-paragraph (2)(b) above except to the extent that the premium is attributable to cover for a risk which relates to a motor car or motor cycle supplied by a supplier of motor cars or motor cycles with whom that person is connected.

(4) Where the insurer under a taxable insurance contract relating to a motor car or motor cycle is connected with a supplier of motor cars or motor cycles, the premium does not fall within this paragraph by virtue only of sub-paragraph (2)(b) above except to the extent that the premium is attributable to cover for a risk which relates to a motor car or motor cycle supplied by a supplier of motor cars or motor cycles with whom the insurer is connected.

(5) For the purposes of this paragraph, the cases where insurance is provided to the insured free of charge are those cases where no charge (whether by way of premium or otherwise) is made--

(a) in respect of the taxable insurance contract, or

(b) at or about the time when the taxable insurance contract is made and in connection with that contract, in respect of any insurance-related service,

by any person falling within sub-paragraph (2) above to any person who is or becomes the insured (or one of the insured) under the contract or to any person who acts, otherwise than in the course of a business, for or on behalf of such a person.

(6) In this paragraph--

"motor car" and "motor cycle" have the meaning given--
(a)
by section 185(1) of the [1988 c. 52.] Road Traffic Act 1988; or
(b)
in Northern Ireland, by Article 3(1) of the [S.I. 1995/2994 (N.I. 18).] Road Traffic (Northern Ireland) Order 1995;
"supplier" does not include an insurer who supplies a car or motor cycle as a means of discharging liabilities arising by reason of a claim under an insurance contract.

Insurance relating to domestic appliances etc.

3 (1) A premium under a taxable insurance contract relating to relevant goods falls within this paragraph if--

(a) the contract is arranged through a person falling within sub-paragraph (2) below, or

(b) the insurer under the contract is a person falling within that sub-paragraph,

unless the insurance is provided to the insured free of charge.

(2) A person falls within this sub-paragraph if--

(a) he is a supplier of relevant goods;

(b) he is connected with a supplier of relevant goods; or

(i) the whole or any part of the premium received under the taxable insurance contract, or

(ii) a fee connected with the arranging of that contract,

to a supplier of relevant goods or to a person who is connected with a supplier of relevant goods.

(3) Where a taxable insurance contract relating to relevant goods is arranged through a person who is connected with a supplier of relevant goods, the premium does not fall within this paragraph by virtue only of sub-paragraph (2)(b) above except to the extent that the premium is attributable to cover for a risk which relates to relevant goods supplied by a supplier of relevant goods with whom that person is connected.

(4) Where the insurer under a taxable insurance contract relating to relevant goods is connected with a supplier of relevant goods, the premium does not fall within this paragraph by virtue only of sub-paragraph (2)(b) above except to the extent that the premium is attributable to cover for a risk which relates to relevant goods supplied by a supplier of relevant goods with whom the insurer is connected.

(5) For the purposes of this paragraph, the cases where insurance is provided to the insured free of charge are those cases where no charge (whether by way of premium or otherwise) is made--

(a) in respect of the taxable insurance contract, or

(b) at or about the time when the taxable insurance contract is made and in connection with that contract, in respect of any insurance-related service,

(6) In this paragraph--

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