IHTM30502 - Remissions: distinction between remissions and irrecoverable assessments

In specified circumstances a claim for tax may be discharged:

• as irrecoverable or
• by way of remission of tax prima facie recoverable.

The distinction between these two categories is that:

• tax which is remitted - i.e. is forgiven - is prima facie recoverable but for special reasons the claim is not enforced
• but tax may in whole or part be irrecoverable, e.g. where the liable person ( IHTM30011) has disappeared, has become bankrupt, has removed outside the jurisdiction of the British Courts, or has died leaving no estate. The tax is not forgiven but it cannot be collected.