CH232550 - How to do a compliance check: information powers: financial institution notices: obtaining information for other tax authorities

HMRC officers may use formal information powers on behalf of other tax authorities following an exchange of information (EOI) request, see IEIM120100. In all such cases, the UK competent authority will check the legal basis of the request before using formal powers.

This includes checking that the information is foreseeably relevant to the administration or enforcement of taxes covered by a valid international agreement, see IEIM101300, and that the requesting tax authority has exhausted domestic avenues for obtaining the information or have been able to justify that they could not exhaust such opportunities as to do so would compromise their enquiry.

Handling EOI requests

In international cases, it will not be necessary, or possible, to issue a taxpayer notice before using a FIN. This will either be because the taxpayer will normally be resident in the requesting jurisdiction or because the requesting tax authority will have exhausted their domestic avenues for obtaining information (or justified why they could not).

EOI requests are normally dealt with in central liaison offices. Officers working exchange of information cases have access to specialist Authorised Officers, but from time to time there may be a requirement for support from Authorised Officers outside their Directorate.