53 Surcharge for undervaluation of property.

[FA 1989 s79]

(1) In this section “ascertained value” means the market value subject to the right of appeal under section 66 or section 67.

(2) Where—

(a) an accountable person delivers a return, and

(b) the estimate of the market value of any asset comprised in a gift or inheritance and included in that return, when expressed as a percentage of the ascertained value of that asset, is within any of the percentages specified in column (1) of the Table to this section,

then the amount of tax attributable to the property which is that asset is increased by a sum (in this section referred to as the “surcharge”) equal to the corresponding percentage, set out in column (2) of that Table opposite the relevant percentage in column (1), of that amount of tax.

(3) Interest is payable under section 51 on any surcharge as if the surcharge were tax, and the surcharge and any interest on that surcharge is chargeable and recoverable as if the surcharge and that interest were part of the tax.

(4) Any person aggrieved by the imposition on that person of a surcharge under this section in respect of any asset may^[1]>, within 30 days of the notification to that person of the amount of such surcharge, appeal to the Appeal Commissioners^{<[1] [1]>}appeal to the Appeal Commissioners, in accordance with section 949I of the Taxes Consolidation Act 1997, within the period of 30 days after the date of the notice of the amount of that surcharge,^<[1] against the imposition of such surcharge on the grounds that, having regard to all the circumstances, there were sufficient grounds on which that person might reasonably have based that person’s estimate of the market value of the asset.