A person is liable to the public interest business protection tax (PIBPT) where a specified type of business enters any one of a number of prescribed insolvency procedures and that person has taken steps that:
- deprive the business of the use of its assets; and
- materially contributed to the business entering special measures or to a significant increase in the cost of the business.
The relevant legislation refers to the insolvency procedures as “special measures”.
Under the terms of FA 2022, Sch. 10, a sunsetting provision has stated that a liability to PIBPT only arises in respect of businesses entering special measures before 28th January 2023.
These regulations – The Finance Act 2022, Schedule 10 (Public Interest Business Protection Tax) (Substitution of Date) Regulations 2022 – move on that end date to 30 April 2024.
A Tax Information and Impact Note covering this instrument was published on 28 January 2022.