Beta This part of GOV.UK is being rebuilt – find out what this means

HMRC internal manual

Enquiry Manual

From
HM Revenue & Customs
Updated
, see all updates

Information Powers: TMA70/S19A, TMA70/SCH1A/PARA 6 and FA98/SCH18/PARA 27: Paragraph 27 Notices

A draft of a paragraph 27 notice is shown below.

“Name …………………………….. (‘Company Secretary’ or other authorised officer)

……………………………………….. (Company Name)

Address …………………………………………….. (Registered Office or other prescribed place)

…………………………………………………………………………..

…………………………………………………………………………..

Date ……………………………

Reference …………………………………………….

Accounting Period ……………………………………………………..

Notice Requiring Documents And Other Information (Paragraph 27 Schedule 18 To The Finance Act 1998)

I wrote to [you] [your agent] [name] on [date] to ask for [documents] [and] [information] for the purposes of the enquiry into the company tax return for the period ……………..

I have not received the items listed below. I am now giving notice that the company is required by law to [produce the documents] [and] [provide the information] listed below within [30] days from the date of this notice.

IF THE COMPANY DOES NOT COMPLY, IT MAY BECOME LIABLE TO A PENALTY

Documents

[List of documents etc requested in earlier letter and still outstanding.]

Information

[List of information requested in earlier letter and still outstanding.]

………………………. [Officer’s name]

………………………. [Officer’s title]

The company has the right to appeal against this notice within 30 days of receipt of the notice.

Any appeal must be in writing and state the grounds of appeal.

The appeal will be referred to the independent Appeal Commissioners who will decide whether the requirements set out in this notice were reasonable.

Normally appeals are heard by the local General Commissioners. The company can elect for any hearing to be before the Commissioners for the area in which it carries on its trade or business, in which its head office or principal place of business is situated, or where it resides. It has the right to choose which area when it appeals.

Alternatively, in most cases, the company can elect for hearing by the Special Commissioners, a full-time body which normally sits in London although they do visit other places occasionally. If the company wants the Special Commissioners to hear its appeal it must say so when it appeals.

If you wish to know more about appeal procedures now, please ask for The DCA leaflet “Tax Appeals - A Guide to Appealing Against Decisions of the Inland Revenue on Tax and Other Matters”.

If you are seeking documents or information of a legal nature, the notice or any informal request should contain a paragraph immediately after the list along the following lines

“The company is not obliged to deliver/produce documents [or furnish particulars/provide information] to which a claim to legal professional privilege can be maintained but it can choose to and it may assist progress of the enquiry if it does. Legal professional privilege is a complex area of the law which only properly applies in limited circumstances. I may wish to challenge any claim to legal professional privilege on the basis that I disagree that the documents/particulars/information being withheld properly fall within the scope of the privilege. Therefore, if the company decides to withhold documents/particulars/information on the grounds that legal professional privilege attaches to them, please provide a description of each item withheld”.

For specific advice on legal professional privilege see EM10165.

If you are asking for a lot of information it may be clearer if you adapt the draft so that the documents and information are listed on a separate schedule rather than ‘below’. This may be particularly suitable if your informal request was in schedule form EM1554. You should resist any temptation to shortcut proper procedures by drafting a formal notice which simply asks for ‘the documents and information requested in my letter of dd/mm/yy’ or similar words EM10000.