Draft legislation on voluntary restitution

HMRC has published draft legislation to refund voluntary payments made on or after 16 March 2016 as part of a settlement with HMRC for loans made in unprotected years. 

The legislation requires HMRC to set up a scheme to administer refunds and sets out the eligibility criteria for claiming a refund, the claims process and how refunds will be calculated. 

However, taxpayers are advised to wait until HMRC releases guidance on the process before taking any action. Refunds can be issued only after the Finance Bill has received royal assent.

Comments on the draft legislation should be emailed to: loanchargeconsultationresponses@hmrc.gov.uk.