Commentary on Sections Part 21: Other general provisions Section 1324: Power to undo changes
3391.This section provides a power for the Treasury to undo changes in the law made by the Act for the purpose of restoring the effect of the law to what it was immediately before 1 April 2009. It is new. A corresponding provision is in section 1029 of ITA.
3392.The power will not be exercised without the agreement of the Tax Law Rewrite Project’s Consultative and Steering Committees to the proposed modifications. It will make it possible for any errors made in rewriting the source legislation, or in making consequential amendments, to be corrected without recourse to a Finance Bill.
3393.Subsection (2) provides that the power may not be exercised after 31 March 2010. As with section 1029 of ITA, it is considered sensible to time-limit the power in this way, especially as successive Finance Acts may make it progressively more difficult to make such amendments. The time limit will provide a reasonable period for missed consequential amendments to come to light.
3394.Subsection (4) provides that the power may contain provision having retrospective effect. Whether that would be appropriate would need to be considered on a case-by-case basis.