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HMRC internal manual

Claimant Compliance Manual

End of year: S18 (10) When it can be used

Before making an S18 decision, we may require the claimant(s) to provide further information. S18(10) says:

“the board may by notice require the person, or either or both of the persons, to whom the notice was given to provide any further information or evidence which the Board consider they may need…”

There is no time limit for giving a notice under S18(10). But as it must be given before a S18(1) decision is made on the entitlement to and amount of any tax credit due for the year, no notice can be given if the S18(1) decision has in fact been made, unless a further declaration is made that you need to question.

Any action you take under S18(10) to obtain information for the purposes of your examination will cut into the time available to make any S19 enquiry into the entitlement or the amount of the award. For this reason you will need to take particular care to consider

  • Whether it is necessary to obtain further information, or whether it would be better to make a S18 decision on the basis of the information you already have
  • If it is necessary to obtain further information before concluding your examination, the best and quickest way to obtain that information

S18(10) does not contain any third party information power, so if you have not previously issued a formal information notice under S15(2)(b)/S16(3)(b) to a third party, you must not approach any third party for information at this stage. This is in accordance with the general principle that you should not informally request any information you could not obtain formally. If you have already issued a formal information notice to a third party under S15(2)(b)/S16(3)(b) you will be able to take penalty action, if appropriate, if the information is not supplied see CCM chapter 10