HMRC has substantially updated its disclosure of tax avoidance schemes (DOTAS) guidance. New topics covered include HMRC’s powers, introduced in Finance Act 2021, to give reference numbers to persons it suspects of being involved in the supply of a scheme.
The new section Opportunity to make representations explains that, in any case where HMRC is considering publishing information about a person who is a promoter or otherwise involved in the supply of a scheme, HMRC is required to inform that person that it is considering doing so and to give the person a reasonable opportunity to make representations about whether the information about them as a promoter or other supplier should be published.
HMRC will give the person a reasonable time in which to make any representations, usually 30 days from when HMRC tells them it is considering publishing the information. HMRC will consider all representations made and, if necessary, seek further details before making a final decision about publishing information.
Other new sections added to the guidance include:
Lawyers and Legal and Professional Privilege (LPP): a lawyer who promotes a scheme is deemed not to be a promoter under the DOTAS rules if LPP would prevent them from making a fully compliant disclosure of that scheme. HMRC is therefore not entitled to publicly name such a lawyer as a promoter of that scheme.
Suppliers: depending on the circumstances of a case and the evidence provided, including by way of representations, HMRC may use its discretion not to publish information about a supplier.
Time limits for publishing: SRN allocated in subsection 3 case: this concerns the time limits that apply to HMRC’s powers to publish information in relation to certain schemes to which SRNs have been allocated without the schemes having been disclosed.
HMRC has substantially updated its disclosure of tax avoidance schemes (DOTAS) guidance. New topics covered include HMRC’s powers, introduced in Finance Act 2021, to give reference numbers to persons it suspects of being involved in the supply of a scheme.
The new section Opportunity to make representations explains that, in any case where HMRC is considering publishing information about a person who is a promoter or otherwise involved in the supply of a scheme, HMRC is required to inform that person that it is considering doing so and to give the person a reasonable opportunity to make representations about whether the information about them as a promoter or other supplier should be published.
HMRC will give the person a reasonable time in which to make any representations, usually 30 days from when HMRC tells them it is considering publishing the information. HMRC will consider all representations made and, if necessary, seek further details before making a final decision about publishing information.
Other new sections added to the guidance include:
Lawyers and Legal and Professional Privilege (LPP): a lawyer who promotes a scheme is deemed not to be a promoter under the DOTAS rules if LPP would prevent them from making a fully compliant disclosure of that scheme. HMRC is therefore not entitled to publicly name such a lawyer as a promoter of that scheme.
Suppliers: depending on the circumstances of a case and the evidence provided, including by way of representations, HMRC may use its discretion not to publish information about a supplier.
Time limits for publishing: SRN allocated in subsection 3 case: this concerns the time limits that apply to HMRC’s powers to publish information in relation to certain schemes to which SRNs have been allocated without the schemes having been disclosed.
