(1)In section 20 of the M1Taxes Management Act 1970 (powers to call for information), after subsection (7) there shall be inserted—
“(7A)A notice under subsection (2) above is not to be given unless the Board have reasonable grounds for believing—
(a)that the person to whom it relates may have failed or may fail to comply with any provision of the Taxes Acts; and
(b)that any such failure is likely to have led or to lead to serious prejudice to the proper assessment or collection of tax.”
(2)This section shall apply with respect to notices given on or after the day on which this Act is passed.