ANNEX 1:: MINOR CHANGES IN THE LAW MADE BY THE BILL This change has no implications for the amount of tax due, who pays it or when. It affects (in principle and in practice) only administrative matters. Change 132: Deduction of tax: deposit-takers and building societies: inspection of declarations: section 862
This change aligns the rules about inspection of declarations as between deposit-takers and building societies.
Section 482(3) of ICTA allows an officer of Revenue and Customs to issue a notice to inspect “all” declarations made to deposit-takers. This section has been rewritten so the notice may allow the officer to inspect “any” declarations made. This change makes the position more flexible and brings the deposit-taker legislation into line with the building society legislation (regulation 11(5) of the Income Tax (Building Societies) (Dividends and Interest) Regulations 1990 (SI 1990/2231)).
This change may, in some circumstances, make compliance more onerous for a deposit-taker. For example, where a notice specifies particular declarations and the deposit-taker has to select the appropriate declarations.
But it is likely, in general, that this change will reduce both the compliance burden for deposit-takers and administrative costs for HMRC as it will be possible for the notice only to require specific declarations.