Communications: Procedure for disclosure of information: limited disclosure for Capital Gains Tax (CGT) purposes
If you receive a request for information from an applicant on the grounds that it is needed for Capital Gains Tax (CGT) purposes but to which he or she is not entitled under the general rule (IHTM02031) on disclosure, you should deal with it in accordance with the following instructions and the instructions on the extent of disclosure (IHTM02065).
You are only permitted to disclose:
- to genuine applicants (or to their professional representatives)
- specific items of information
- which are strictly relevant to the determination of CGT liability
You can normally decide that an applicant is genuine when they are:
- a beneficiary becoming absolutely entitled on the deceased’s death
- a trustee of property passing on the deceased’s death under a continuing settlement
- a transferee
But, you do not need to question whether an applicant is genuine when they say they are acting on behalf of a taxpayer and is from a recognised professional body such as solicitors, accountants, banks or professional trustees.
If in doubt you should make enquiries to satisfy yourself that the information is genuinely required for CGT purposes.
If you remain unsatisfied you should inform the applicant that you are unable to provide the information to them personally but you can provide the information to the tax office dealing with the CGT liability if the tax office contacts you directly.