Finance Act 2017
What this means for your business
- Applies to
- United Kingdom
- On this page
- 3 compliance obligations, 2 practical guides across 2 topics
What you must do
3 compliance obligations under this legislation — 2 can result in imprisonment.
Notifications 1
Notify the Commissioners of your registration liability
3 years imprisonmentIf your business starts producing or importing chargeable soft drinks and therefore becomes liable to be registered under the Finance Act, you must tell the Commissioners about this within 30 days. The notification must be made before the end of the 30‑day period that starts when the liability arises.
Payments and fees 1
Pay the Soft Drinks Industry Levy
If your business packages soft drinks, is the first recipient of imported chargeable soft drinks, or is the first seller of such drinks, you must pay the levy that the Finance Act 2017 imposes on those chargeable events. The amount you owe is the levy rate applied to the volume of the chargeable drinks you handle.
Offences and prohibitions 1
Fraudulently evade the soft drinks industry levy
14 years imprisonmentIf you knowingly arrange, participate in or take steps to avoid paying the soft drinks industry levy – for example by claiming a tax credit or a levy repayment you are not entitled to – you commit a criminal offence. On conviction in the Crown Court you face an unlimited fine and up to 14 years’ imprisonment; on summary conviction the fines are capped and the maximum jail term is lower.
Penalties for non-compliance
2 penalties under this legislation. 2 can result in imprisonment. 2 carry an unlimited fine.
Fail to notify soft drinks levy registration
Unlimited fine and/or 3 years imprisonment
Fraudulently evade the soft drinks industry levy
Unlimited fine and/or 14 years imprisonment
Practical guidance
Our guides explain how to comply with the requirements above.
Use the trading allowance
When to use the £1,000 trading allowance versus claiming actual expenses. Includes eligibility rules, relief types, and the interaction with …
IR35 rules for off-payroll working
How to assess contractor status under IR35 off-payroll working rules. Covers who must make determinations, the key employment tests, CEST …
Sections and provisions
76 classified provisions from this legislation.
Duties 3
Powers 7
- s.34 Secondary warehousing regulations
- s.47 Cancellation of voluntary registration
- s.48 Correction of the register
- s.49 Applications, notifications etc
- s.52 Payment, collection and recovery
- s.54 Power to make further provision about enforcement
- s.57 Regulations: death, incapacity or insolvency of person carrying on a business
Definitions 14
- Schedule 9 Soft drinks industry levy: requirements to keep records etc: penalties
- s.24 Promoters of tax avoidance schemes: threshold conditions etc
- s.26 “Soft drink” and “package” Soft drink added sugar ingredients
- s.27 Meaning of “prepared drink” relevant dilution ratio relevant dispensing instructions
- s.28 Meaning of “chargeable soft drink” Chargeable soft drink
- s.29 Sugar content condition
- s.32 Chargeable events: soft drinks packaged in the UK
- s.33 Chargeable events: soft drinks imported into the UK Relevant person
- s.36A Determining levy rate for flavour concentrates
- s.37 Small producer exemption Small producer
- s.40 The register the register
- s.46 Cancellation of registration under section 41, 42 or 43
- s.59 Interpretation of Part 2 the Commissioners HMRC sugars
- s.62 Interpretation
Exemptions 9
- s.4 Starting rate limit for savings for tax year 2017-18
- Schedule 5 Deduction of income tax at source
- Schedule 10 Soft drinks industry levy: appeals and reviews
- s.39 Tax credits
- s.41 Liability to register: packagers
- s.42 Liability to register: producers
- s.43 Liability to register: imported chargeable soft drinks
- s.53 Records
- s.60 Regulations