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Robert Newey & Co
Solicitors and Chartered Tax Advisers |
New powers for HM Revenue & Customs ("HMRC") are expected to come into force in April 2009. Under the new rules HMRC will have power to issue three types of "information notice":
The new rules will give HMRC much broader powers to make enquiries than the "old" (pre-April 2009) rules. They weaken the principle that, after a self-assessment return has been made, HMRC have a fixed period to start enquiries into the return. Under the new rules a taxpayer who is not at fault can still be required to produce information or documents if HMRC reasonably suspect that tax is due.
HMRC will also have new powers to inspect business premises. They will not necessarily have to warn the occupier.
When the powers come into force, they will apply to income tax, capital gains tax, corporation tax and VAT. It seems, however, that there are plans to extend the new powers to cover almost all other taxes. This is not expected to occur before April 2010.
Click here to download a more detailed note (PDF).
Last updated 19th March 2009
Important note: All technical notes on this site are necessarily simplified. Also, tax law and practice can change very fast. Always take detailed, specific advice before taking, or deciding not to take, any action.
