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HMRC internal manual

Technical Teams Operational Guidance

Case identification: liaison: internal referrals

Many of SI’s cases are self-generated. Investigators should constantly be on the alert as they work their cases for situations that point to fraud, avoidance or non-compliance by taxpayers other than the ones who are the focus of the existing registration.

If an Investigator finds a ‘spin-off’ from an existing registration the first action should be to check the databases to establish whether there is an existing or past SI interest. If there is current or past SI interest the Investigator should liaise with the Investigator responsible wherever possible.

Depending on the extent or seriousness of the information the Operational Leader or Assistant Director may need to decide where and how the case should be worked.

Investigators and Operational Leaders should particularly keep in mind that information transmitted by internal referrals can often indicate cases where there has been collusion between taxpayers, provable misstatements to SI or complicity of advisers. (This content has been withheld because of exemptions in the Freedom of Information Act 2000)

Success in internal referral depends upon information being properly noted and passed on, and entries being made on caseflow (see TTOG3000 for advice concerning the entry of ‘associate’ details) and the database being searched on a regular basis.

Information which is not to be used in SI may be useful to other investigation sections within HMRC e.g. Local Compliance or other specialist sections, and should be passed on unless there are restrictions which prevent us from doing so.

See TTOG3235 for advice concerning referrals of Review cases from one office to another. See TTOG3510 for advice concerning situations in which it is appropriate to subdivide an existing registration.