Policy paper

Statement of Practice 5 (1987)

Published 15 June 1987

Introduction

HM Revenue and Customs (HMRC) have reconsidered their interpretation of Taxes Management Act (TMA) 1970 section 113(1) in the light of improvements in office technology and its more widespread adoption, in order to help taxpayers and their professional advisers to benefit fully from such developments. This statement explains HMRC’s current approach towards the acceptance of tax returns and other forms by way of facsimiles or photocopies, as substitutes for officially produced printed forms.

The legislation

TMA 1970 section 113(1) says that any returns under the Taxes Acts shall be in such form as the Commissioners for HMRC prescribe. The Commissioners for HMRC are satisfied that where a photocopy of an official return or an accurate facsimile are used these will satisfy the requirements of the section. Further details about these 2 alternatives are given below.

Accurate facsimiles

For any substitute tax return to be acceptable, it must satisfactorily present to the taxpayer the information which the Commissioners for HMRC have determined shall be before him when he signs the declaration that the return is correct and complete to the best of his knowledge. Put another way, the form, which need not be colour printed, must otherwise be an accurate facsimile of the official form in terms of the words which appear and the general layout. It should also be readily recognisable as a return when it is received in HMRC Offices, and the entries of the taxpayer’s details should be distinguishable from the background text. Recent advances in printing technology now mean that accurate facsimile returns can be produced. The Commissioners for HMRC will accept such returns if approval of their wording and design has been obtained before they are sent in to HMRC Offices. Any substitute which is produced with approval will need to bear an agreed unique imprint of some sort so that its source can be readily identified at all times.

To facilitate the production of substitute returns, HMRC have arranged for advance copies of the major Income Tax returns for 1987 to 1988 to be made available to professional bodies and software houses. HMRC intend that this will become an annual practice so that modifications to the returns can be incorporated in the computer produced facsimiles in time for their submission.

All applications for approval will be considered as quickly as possible but there may be delays in the immediate run up to the Budget. Applications made before 15 February will be cleared before 6 April in that year.

Applications for approval should be made to:

HMRC
Forms,1st Floor, New Wing,
Somerset House
Strand
London
WC2R 1LB

Telephone: 020 7438 7312

Photocopies

A return made on a photocopy of an official form is a valid return provided that it is identical to the official form. It is sufficient that all of the pages are present and attached in the correct order if the facility to produce double sided photocopies is not available. HMRC will also accept other types of forms (ie, forms which are not strictly speaking returns) which are sent in as photocopies. The requirement for all pages to be present is important where 1 side of the form contains notes, as it does in wife’s earnings elections and separate assessment cases. Any copy which does not also duplicate the notes on the original will not be acceptable. This is because such elections may not be valid in the absence of the notes being before the signatories.

The photocopying of official forms is in strictness a breach of copyright. If this is done on an individual basis HMRC will however take no action. On the other hand if forms are photocopied on a large scale for commercial gain HMRC will advise The Stationery Office who will collect copyright fees. In the large majority of cases there is no objection to the copying of another HMRC form where the original is lost. This is not to say that HMRC actively welcomes photocopies as they have disadvantages, particularly if colour and size are important features in handling the completed forms.

To avoid any misunderstanding, HMRC cannot accept a photocopy of a completed return or form. In other words, the document sent in must bear the actual signature of the relevant person.

References

Where a facsimile or a photocopy is submitted instead of an official form it is important that it bears the correct reference which appeared on the original form. Additionally where an original form was not supplied it is equally important that the taxpayer’s reference should be inserted.

Statement of Practice 4 (1991)

Design of and information required in a tax return.

Note: this statement is as it appears in HMRC’s Statements of Practice (March 2009).