This section applies if there is a person ("T") who will or might become liable to tax which, if unpaid, could be recovered under this Part from a person ("H") who is the holder of a licence.
If an officer of Revenue and Customs, on an application made by T, is satisfied that T will comply with any obligations imposed on T by the Taxes Acts, the officer may issue to H a certificate exempting H from section 77C with respect to any tax payable by T.
If a certificate is issued to H under subsection (2), an officer of Revenue and Customs may, by notice in writing to H, cancel the certificate from the date specified in the notice.
The date specified in a notice under subsection (3) may not be earlier than 30 days after the service of the notice.
If a certificate is issued to H under subsection (2), section 77C does not apply to any tax payable by T which becomes due while the certificate is in force.
If a certificate is issued to H under subsection (2) but is subsequently cancelled under subsection (3), section 77C also does not apply to any tax payable by T which—
(a) becomes due after the certificate is cancelled, but
(b) is in respect of profits arising, or chargeable gains accruing, while the certificate is in force.