Textual Amendments
F1 See also—Finance Act 1973 s.38andSch.15 para.2—particulars which may be required from holder of licence under thePetroleum (Production) Act 1934 (c.36).Finance Act 1974 s.47andSch.10 para.3—duty to make returns in relation to tax on first letting or occupation of building after material development, andpara.4—particulars which may be required for purposes of such tax or tax on development gains.Finance Act 1988 (c. 39, SIF 63:1,2) s. 127—production of computer records.
(1)Subject to this section, an inspector may by notice in writing require [a person—
(a)to deliver to him such documents as are in the person’s possession or power and as (in the inspector’s reasonable opinion) contain, or may contain, information relevant to—
(i)any tax liability to which the person is or may be subject, or
(ii)to the amount of any such liability, or
(b)to furnish to him such particulars as the inspector may reasonably require as being relevant to, or to the amount of, any such liability F2.]
(2)Subject to this section, the Board may by notice in writing require [a person—
(a)to deliver, to a named officer of the Board such documents as are in the person’s possession or power and as (in the Board’s reasonable opinion) contain, or may contain, information relevant to—
(i)any tax liablity to which the person is or may be subject, or
(ii)to the amount of such liability, or
(b)to furnish to a named officer of the Board such particulars as the Board may reasonably require as being relevant to, or to the amount of, any such liability F2].
(3)Subject to this section, an inspector may, for the purpose of enquiring into the tax liability of any person (“the taxpayer”), by notice in writing require any [other person F2] to deliver to the inspector or, if the person to whom the notice is given so elects, to make available for inspection by a named officer of the Board, such documents as are in his possession or power and as (in the inspector’s reasonable opinion) contain, or may contain, information relevant to any tax liability to which the taxpayer is or may be, or may have been, subject, or to the amount of any such liability[; and the persons who may be required to deliver or make available a document under this subsection include the Director of Savings F3.]
(4)The persons so subject are—
(a)the taxpayer’s spouse, and any son or daughter of his;
(b)in so far as the inspector’s enquiries relate to liability of the taxpayer in respect of income, profits or gains that were, or may have been, derived from—
(i)any business (past or present) carried on by the taxpayer or his spouse, or
(ii)any business (past or present) with whose management either of them was concerned at a material time,
any person who is carrying on a business, or was doing so at a material time, [any company, whether carrying on a business or not, and the Director of Savings]
F4F5(5)For the purposes of subsection (4) above, every director of a company is to be taken as being concerned with the management of any business carried on by the company; and a material time is any time which (in the inspector’s reasonable opinion) is, or may have been, material in the ascertainment of any past or present tax liability of the taxpayer F5.
(6)The persons who may be treated as “the taxpayer” [for the purposes of this section F6] include a company which has ceased to exist and an individual who has died;and in relation to such an individual the references in subsection (4) to the spouse are then instead to the widow or widower (the circumstances that she or he may have re-married being immaterial for the purposes of those subsections)F5.
(7)Notices under [subsection (1) or (3) above F4] are not to be given by an inspector unless he is authorised by the Board for its purposes; and—
(a)a notice is not to be given by him except with the consent of a General or Special Commissioner; and
(b)the Commissioner is to give his consent only on being satisfied that in all the circumstances the inspector is justified in proceeding under this section.
[(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 F7.]
[(8)Subject to subsection (8A) below, a notice under subsection (3) above shall name the taxpayer with whose liability the inspector (or, where section 20B(3) applies, the Board) is concerned F6.]
[(8A)If, on an application made by an inspector and authorised by order of the Board, a Special Commissioner gives his consent, the inspector may give such a notice as is mentioned in subsection (3) above by without naming the taxpayer to whom the notice relates; but such a consent shall not be given unless the Special Commissioner is satisfied—
(a)that the notice relates to a taxpayer whose identity is not known to the inspector or to a class of taxpayers whose individual identities are not so known;
(b)there are reasonable grounds for believing that the taxpayer or any of the class of taxpayers to whom the notice relates may have failed or may fail to comply with any provision of the Taxes Acts;
(c)that any such failure is likely to have led or to lead to serious prejudice to the proper assessment or collection of tax; and
(d)that the information which is likely to be contained in the documents to which the notice relates is not readily available from another source.
(8B)A person to whom there is given a notice under subsection (8A) above may, by notice in writing given to the inspector within thirty days after the date of the notice under that subsection object to that notice on the ground that it would be onerous for him to comply with it; and if the matter is not resolved by agreement, it shall be referred to the Special Commissioners, who may confirm, vary or cancel that notice F8.]
[(8C)In this section references to documents do not include—
(a)personal records (as defined in section 12 of the Police and Criminal Evidence Act 1984), or
(b)journalistic material (as defined in section 13 of that Act),
and references to particulars do not include particulars contained in such personal records or journalistic material.
(8D)Subject to subsection (8C) above, references in this section to documents and particulars are to those specified or described in the notice in question; and—
(a)the notice shall require documents to be delivered (or delivered or made available), or particulars to be furnished, within such time (which, except in the case of a notice under subsection (2) above, shall not be less than thirty days after the date of the notice) as may be specified in the notice; and
(b)the person to whom they are delivered, made available or furnished may take copies of them or of extracts from them F9.]
(9)To the extent specified in section 20B below, the above provisions are subject to the restrictions of that section F10.] F11
Textual Amendments
F2Finance Act 1989 s. 142(2), (3)and (4)(a)with respect to notices given on or after 27July 1989. Previously “a person to deliver to him such documents as are in the person's possession or power and as (in the inspector's reasonable opinion) contain, or may contain, information relevant to any tax liability to which the person is or may be subject, or to the amount of any such liability.”, “a person to deliver, to a named officer of theirs, such documents as are in the person's possession or power and as (in the Board's reasonable opinion) contain, or may contain, information relevant to any tax liability to which he is or may be subject, or to the amount of any such liability.”
and
“of the persons who in relation to the taxpayer are subject to this subsection”
respectively.
F3Finance Act 1989 s. 142(4)(b)with respect to notices given on or after 27July 1989.
F4Finance Act 1988 s. 126(1), (2), (6)with respect to notices given on or after 29July 1988.Previously
“and any company whether carrying on a business or not”
and
“this section”.
F5Repealed by Finance Act 1989 s. 142(5)(6)(b), (10)and 187 and Sch. 17 Part VIIIwith respect to notices given or warrants issued on or after 27July 1989.
F6Finance Act 1989 s. 142(6)(a), (7)with respect to notices given on or after 27July 1989.Previously
“under subsections (3) and (4)”
and
“(8) The references in subsections (1), (2) and (3) above to documents are to those specified or described in the notice in question; and—(a) the notice shall require them to be delivered or (as the case may be) made available within such time as may be there specified; and (b) the person to whom they are delivered or made available may take copies of, or extracts from them; and a notice under subsection (3) shall name the taxpayer with whose liability the inspector (or, as the case may be, the Board) is concerned.”
respectively.
F7Finance Act 1990 s. 93with respect to notices given on or after 26July 1990.
F8Finance Act 1988 (c. 39 SIF 63:1,2) s. 126(3), (6)with respect to notices given after 29July 1988.
F9Finance Act 1989 s. 142(8), (10)with respect to notices given on or after 27July 1989.
F10Finance Act 1976 s. 57and Sch. 6.
F11 See Finance Act 1990 s. 125(1), (2), (6)—in respect of notices given on or after 26July 1990, subss.(1)to (8)and (8C)to (9)to apply as if references to tax liability included reference to liability to a tax of a member state which is a tax on income or capital.
(1)Where after the passing of the Finance Act 1976 F12 a person—
(a)is convicted of an offence in relation to tax (whenever committed) by or before any court in the United Kingdom; or
(b)has [a penalty imposed on F13] him (whether before or after the passing of that Act) under section 99 of this Act,
and he has stood in relation to others as tax accountant, an inspector authorised by the Board for the purpose of this section may by notice in writing require the person to deliver to him such documents as are in his possession or power and as (in the inspector’s reasonable opinion) contain information relevant to any tax liability to which any client of his is or has been, or may be or have been, subject, or to the amount of any such liability.
[(1A)The reference to documents in subsection (1) above does not include—
(a)personal records (as defined in section 12 of the Police and Criminal Evidence Act 1984), or
(b)journalistic material (as defined in section 13 of that Act).
(1B)Subject to subsection (1A) above, the reference to documents in subsection (1) above is to those specified or described in the notice in question; and—
(a)the notice shall require documents to be delivered within such time (which shall not be less than thirty days after the date of the notice) as may be specified in the notice; and
(b)the inspector may take copies of them or of extracts from them F14.]
(2)Subsection (1) above does not have effect in relation to a person convicted or penalised as there mentioned for so long as an appeal is pending against the conviction or [penalty F15]; and—
(a)for this purpose an appeal is to be treated as pending (where one is competent but has not been brought) until the expiration of the time for bringing it or, in the case of a conviction in Scotland, until the expiration of 28 days from the date of conviction; and
(b)references here to appeal include further appeal but, in relation to the [imposition F15] of a penalty, do not include appeal against the amount of the penalty.
(3)A notice is not to be given to any person under this section unless with the consent of the appropriate judicial authority; and that authority is to give his consent only on being satisfied that in all the circumstances the inspector is justified in so proceeding.
(4)The power to give a notice under this section, by reference to a person’s conviction or the [imposition on F16] him of a penalty, ceases at the expiration of the period of 12 months beginning with the date on which it was first exercisable in his case by virtue of that conviction or [penalty F16].
(5)To the extent specified in section 20B below, the above provisions are subject to the restrictions of that section F17.]
Textual Amendments
F12 TheFinance Act 1976received the Royal Assent on29July1976.
F13Finance Act 1989 s. 168(2)(a).Previously
“awarded against him a penalty incurred by”.
F14Finance Act 1989 s. 143with respect to notices given on or after 27July 1989.Previously
“for this purpose section 20(8) above applies, substituting “the client” for “the taxpayer”.”
F15Finance Act 1989 s. 168(2)(b)Previously
“award”.
F16Finance Act 1989 s. 168(2)(c)Previously
“award against” and “award”.
F17Finance Act 1976 s.57andSch.6.
(1)Before a notice is given to a person by an inspector under [section 20(1), (3) or (8A) F18], or under section 20A, the person must have been given a reasonable opportunity to deliver (or, in the case of section 20(3), to deliver or make available) the documents in question [, or to furnish the particulars in question F19]; and the inspector must not apply for consent under [section 20(7) or (8A) F18] or, as the case may be, section 20A(3), until the person has been given that opportunity.
[(1A)Subject to subsection (1B) below, where a notice is given to any person under section 20(3) the inspector shall give a copy of the notice to the taxpayer to whom it relates.
(1B)If, on an application by the inspector, a General or Special Commissioner so directs, a copy of a notice under section 20(3) need not be given to the taxpayer to whom it relates; but such a direction shall not be given unless the Commissioner is satisfied that the inspector has reasonable grounds for suspecting the taxpayer of fraud F20.]
(2)A notice under section 20(1) does not oblige a person to deliver documents [or furnish particulars F20] relating to the conduct of any pending appeal by him; a notice under section 20(3) [or (8A) F21] does not oblige a person to deliver or make available documents relating to the conduct of a pending appeal by the taxpayer; and a notice under section 20A does not oblige a person to deliver documents relating to the conduct of a pending appeal by the client.
“Appeal” means appeal relating to tax.
(3)An inspector cannot under section 20(1) or (3), or under section 20A(1), give notice to a barrister, advocate or solicitor, but the notice must in any such case be given (if at all) by the Board; and accordingly in relation to a barrister, advocate or solicitor for references in section 20(3) and (4) and section 20A to the inspector there are substituted references to the Board.
(4)To comply with a notice under section 20(1) or section 20A(1), and as an alternative to delivering documents to comply with a notice under section 20(3),[or (8A) F21] copies of documents may be delivered instead of the originals; but—
(a)the copies must be photographic or otherwise by way of facsimile; and
(b)if so required by the inspector (or, as the case may be, the Board) in the case of any documents specified in the requirement, the originals must be made available for inspection by a named officer of the Board (failure to comply with this requirement counting as failure to comply with the notice).
(5)A notice under section 20(3), [does not oblige a person F22] to deliver or make available any document the whole of which originates more than 6 years before the date of the notice.
(6)But subsection (5) does not apply where the notice is so expressed as to exclude the restrictions of that subsection; and it can only be so expressed where—
(a)the notice being given by an inspector with consent under section 20(7), the Commissioner giving consent has also given approval to the exclusion;
(b)the notice being given by the Board, they have applied to a General or Special Commissioner for, and obtained, that approval.
For this purpose the Commissioner gives approval only if satisfied, on the inspector’s or the Board’s application, that there is reasonable ground for believing that tax has, or may have been, lost to the Crown owing to the fraud of the taxpayer.
(7)A notice under section 20(3) in relation to a taxpayer who has died cannot be givento a person by virtue of her or his being the taxpayer’s widower, son or daughterF23 if more than 6 years have elapsed since the death.
(8)A notice under section 20(3) [or (8A) F21] or section 20A(1) does not oblige a barrister, advocate or a solicitor to deliver or make available, without his client’s consent, any document with respect to which a claim to professional privilege could be maintained F24].
[(9)Subject to subsections (11) and (12) below, a notice under section 20(3) or (8A)—
(a)does not oblige a person who has been appointed as an auditor for the purposes of any enactment to deliver or make available documents which are his property and were created by him or on his behalf for or in connection with the performance of his functions under that enactment, and
(b)does not oblige a tax adviser to deliver or make available documents which are his property and consist of relevant communications.
(10)In subsection (9) above “relevant communications” means communications between the tax adviser and—
(a)a person in relation to whose tax affairs he has been appointed, or
(b)any other tax adviser of such a person,
the purpose of which is the giving or obtaining of advice about any of those tax affairs; and in subsection (9) above and this subsection “tax adviser” means a person appointed to give advice about the tax affairs of another person (whether appointed directly by that other person or by another tax adviser of his).
(11)Subject to subsection (13) below, subsection (9) above shall not have effect in relation to any document which contains information explaining any information, return, accounts or other document which the person to whom the notice is given has, as tax accountant, assisted any client of his in preparing for, or delivering to, the inspector or the Board.
(12)Subject to subsection (13) below, in the case of a notice under section 20(8A) subsection (9) above shall not have effect in relation to any document which contains information giving the identity or address of any taxpayer to whom the notice relates or of any person who has acted on behalf of any such person.
(13)Subsection (9) above is not disapplied by subsection (11) or (12) above in the case of any document if—
(a)the information within subsection (11) or (12) is contained in some other document, and
(b)either—
(i)that other document, or a copy of it, has been delivered to the inspector or the Board, or
(ii)that other document has been inspected by an officer of the Board.
(14)Where subsection (9) above is disapplied by subsection (11) or (12) above in the case of a document, the person to whom the notice is given either shall deliver the document to the inspector or make it available for inspection by an officer of the Board or shall—
(a)deliver to the inspector (or, where subsection (3) above applies, the Board) a copy (which is photographic or otherwise by way of facsimile) of any parts of the document which contain the infomation within subsection (11) or (12), and
(b)if so required by the inspector (or, as the case may be, the Board), make available for inspection by a named officer of the Board such parts of the document as contain that information;
and failure to comply with any requirement under paragraph (b) above shall constitute a failure to comply with the notice F25.]
Textual Amendments
F18Finance Act 1988 s. 126(4), (6)with respect to notices given on or after 29thJuly 1988.Previously
“section 20(1) or (3)”
and
“section 20(7)”
in subs. (1).
F19Finance Act 1989 s. 144(2), (8)with respect to notices given on or after 27July 1989.
F20Finance Act 1989 s. 144(3)(4), (8)with respect to notices given on or after 27July 1989.
F21Finance Act 1988 s. 126(4)With respect to notices given on or after 27July 1988.
F22Finance Act 1989 s. 144(5), (8)with respect to notices given on or after27July 1989.Previously
“if given to a person who is carrying on a business or was doing so at any time material to the subject matter of the inspector's (or the Board's) enquiries, or if given to a company (whether carrying on a business or not), does not oblige the person or company”.
F23 Words repealed by Finance Act 1989 ss. 144(6), (8)and 187and Sch. 17 Part VIIIwith respect to notices given on or after 27July 1989.
F24Finance Act 1976 s. 57and Sch. 6.
F25Finance Act 1989 s. 144(7), (8)in respect of notices given on or after 27July 1989Previously
“9. A notice under section 20(3) [or 8A(a)] does not, in the case of a person who (in the course of a business carried on by him) has stood in relation to another as tax accountant, oblige that person to deliver or make available documents which are his (the accountant's) property and originate as working papers of that relationship(b).]”
(a) Finance Act 1988 s. 126(4)with respect to notices given on or after 29July 1988.
(b) Finance Act 1976 s. 57and Sch. 6 (with subs. (1) to (8)).
(1)Subject to subsections (2) to (4) below, a person shall be guilty of an offence if he intentionally falsifies, conceals, destroys or otherwise disposes of, or causes or permits the falsification, concealment, destruction or disposal of, a document which—
(a)he has been required by a notice under section 20 or 20A above, or
(b)he has been given an opportunity in accordance with section 20B(1) above,
to deliver, or to deliver or make available for inspection.
(2)A person does not commit an offence under subsection (1) above if he acts—
(a)with the written permission of a General or Special Commissioner, the inspector or an officer of the Board,
(b)after the document has been delivered or, in the case within section 20(3) or (8A) above, inspected, or
(c)after a copy has been delivered in accordance with section 20B(4) or (14) above and the original has been inspected.
(3)A person does not commit an offence under subsection (1)(a) above if he acts after the end of the period of two years beginning with the date on which the notice is given, unless before the end of that period the inspector or an officer of the Board has notified the person in writing that the notice has not been complied with to his satisfaction.
(4)A person does not commit an offence under subsection (1)(b) above if he acts—
(a)after the date of the period of six months beginning with the date on which an opportunity to deliver the document was given, or
(b)after an application for consent to a notice being given in relation to the document has been refused.
(5)A person guilty of an offence under subsection (1) above shall be liable—
(a)on summary conviction, to a fine not exceeding the statutory maximum;
(b)on conviction on indictment, to imprisonment for a term not exceeding two years or to a fine or both F26.]
Textual Amendments
F26Finance Act 1989 s. 145(1), (2)in relation to any falsification, concealment, destruction or disposal of a document occurring on or after 27July 1989.
(1)If the appropriate judicial authority is satisfied on information on oath given by an officer of the Board that—
(a)there is reasonable ground for suspecting that an offence involving [serious fraud F27] in connection with, or in relation to, tax [is being, has been or is about to be F27] committed and that evidence of it is to be found on premises specified in the information; and
(b)in applying under this section, the officer acts with the approval of the Board given in relation to the particular case,
the authority may issue a warrant in writing authorising an officer of the Board to enter the premises, if necessary by force, at any time within 14 days from the time of issue of the warrant, and search them.
(1A)Without prejudice to the generality of the concept of serious fraud—
(a)any offence which involves fraud is for the purposes of this section an offence involving serious fraud if its commission had led, or is intended or likely to lead, either to substantial financial gain to any person or to serious prejudice to the proper assessment or collection of tax; and
(b)an offence which, if considered alone, would not be regarded as involving serious fraud may nevertheless be so regarded if there is reasonable ground for suspecting that it forms part of a course of conduct which is, or but for its detection would be, likely to result in serious prejudice to the proper assessment or collection of tax.
(1B)The powers conferred by a warrant under this section shall not be exercisable—
(a)by more than such number of officers of the Board as may be specified in the warrant;
(b)outside such times of day as may be so specified;
(c)if the warrant so provides, otherwise than in the presence of a constable in uniform F28.]
(2)Section 4A of the Inland Revenue Regulation Act 1890 (Board’s functions to be exercisable by an officer acting under their authority) does not apply to the giving of Board approval under this section F29.
[(3)An officer who enters the premises under the authority of a warrant under this section may—
(a)take with him such other persons as appear to him to be necessary;
(b)seize and remove any things whatsoever found there which he has reasonable cause to believe may be required as evidence for the purposes of proceedings in respect of such an offence as is mentioned in subsection (1) above; and
(c)search or cause to be searched any person found on the premises whom he has reasonable cause to believe to be in possession of any such things;
but no person shall be searched except by a person of the same sex.
(4)Nothing in subsection (3) above authorises the seizure and removal of documents in the possession of a barrister, advocate or solicitor with respect to which a claim to professional priviledge could be maintained.
(5)An officer of the Board seeking to exercise the powers conferred by a warrant under this section or, if there is more than one such officer, that one of them who is in charge of the search—
(a)if the occupier of the premises concerned is present at the time the search is to begin, shall supply a copy of the warrant endorsed with his name to the occupier;
(b)if at that time the occupier is not present but a person who appears to the officer to be in charge of the premises is present, shall supply such a copy to that person; and
(c)if neither paragraph (a) nor paragraph (b) above applies, shall leave such a copy in a prominent place on the premises.
(6)Where entry to premises has been made with a warrant under this section, and the officer making the entry has seized any things under the authority of the warrant, he shall endorse on or attach to the warrant a list of the things seized.
(7)Subsections (10) to (12) of section 16 of the Police and Criminal Evidence Act 1984 (return, retention and inspection of warrants) apply to a warrant under this section (together with any list endorsed on or attached to it under subsection (6) above) as they apply to a warrant issued to a constable under any enactment.
(8)Subsection (7) above extends to England and Wales only F30.] F31]
Textual Amendments
F27Finance Act 1989 s. 146(2), (5)with respect to warrants issued on or after 27July 1989.Previously
“any form of fraud” and “has been”
respectively.
F28Finance Act 1989 s. 146(3), (5)with respect to warrants issued on or after 27July 1989.
F29 TheInland Revenue Regulation Act 1890 s.4Ais reproduced inPart II Vol.5.
F30Finance Act 1989 s. 146(4), (5)with respect to warrants issued on or after 27July 1989.Previously
“(3) On entering the premises with a warrant under this section, the officer may seize and remove any things whatsoever found there which he has reasonable cause to believe may be required as evidence for the purposes of proceedings in respect of such an offence as is mentioned in subsection (1) above.But this does not authorise the seizure and removal of documents in the possession of a barrister, advocate or solicitor with respect to which a claim to professional privilege could be maintained.(4) Where entry to premises has been made with a warrant under this section, and the officer making the entry has seized any things under the authority of the warrant, he shall, if so requested by a person showing himself either—(a) to be the occupier of the premises; or(b) to have had the possession or custody of those things immediately before the seizure,provide that person with a list of them.(5) Where documents are seized which relate to any business, and it is shown that access to them is required for the continued conduct of the business, the officer who has seized them shall afford reasonable access to the documents to the person carrying on the business.”
F31Finance Act 1976 s.57andSch.6.
(1)An officer of the Board who removes anything in the exercise of the power conferred by section 20C above shall, if so requested by a person showing himself—
(a)to be the occupier of premises from which it was removed, or
(b)to have had custody or control of it immediately before the removal,
provide that person with a record of what he removed.
(2)The officer of the Board shall provide the record within a reasonable time from the making of the request for it.
(3)Where anything which has been removed by an officer of the Board as mentioned in subsection (1) above is of such a nature that a photograph or copy of it would be sufficient—
(a)for use as evidence at a trial for an offence, or
(b)for forensic examination or for investigation in connection with an offence,
it shall not be retained longer than is necessary to establish that fact and to obtain the photograph or copy.
(4)Subject to subsection (8) below, if a request for permission to be granted access to anything which—
(a)has been removed by an officer of the Board, and
(b)is retained by the Board for the purpose of investigating an offence,
is made to the officer in overall charge of the investigation by a person who had custody or control of the thing immediately before it was so removed or by someone acting on behalf of any such person, the officer shall allow the person who made the request access to it under the supervision of an officer of the Board.
(5)Subject to subsection (8) below, if a request for a photograph or copy of any such thing is made to the officer in overall charge of the investigation by a person who had custody or control of the thing immediately before it was so removed, or by someone acting on behalf of any such person, the officer shall—
(a)allow the person who made the request access to it under the supervision of an officer of the Board for the purpose of photographing it or copying it, or
(b)photograph or copy it, or cause it to be photographed or copied.
(6)Where anything is photographed or copied under subsection (5)(b) above the photograph or copy shall be supplied to the person who made the request.
(7)The photograph or copy shall be supplied within a reasonable time from the making of the request.
(8)There is no duty under this section to grant access to, or to supply a photograph or copy of, anything if the officer in overall charge of the investigation for the purposes of which it was removed has reasonable grounds for believing that to do so would prejudice—
(a)that investigation;
(b)the investigation of an offence other than the offence for the purposes of the investigation of which the thing was removed; or
(c)any criminal proceedings which may be brought as a result of—
(i)the investigation of which he is in charge, or
(ii)any such investigation as is mentioned in paragraph (b) above.
(9)Any reference in this section to the officer in overall charge of the investigation is a reference to the person whose name and address are endorsed on the warrant concerned as being the officer so in charge F32.]
Textual Amendments
F32S. 20CC inserted by Finance Act 1989 (c. 26), s. 147, with respect to warrants issued on or after 27 July 1989
(1)For the purposes of section 20A and 20C above, “the appropriate judicial authority” is—
(a)in England and Wales, a Circuit judge;
(b)in Scotland, a sheriff; and
(c)in Northern Ireland, a county court judge.
(2)For the purposes of sections 20 and 20A, a person stands in relation to another as tax accountant at any time when he assists the other in the preparation[or delivery of any information, return, accounts or other document which he knows will be, or is or are likely to be, used F33] for any purpose of tax; and his clients are all those to whom he stands or has stood in that relationship. F34]
[(3)Without prejudice to section 127 of the Finance Act 1988, in sections 20 to 20CC above “document” has, subject to sections 20(8C) and 20(1A), the same meaning as it has—
(a)in relation to England and Wales, in Part I of the Civil Evidence Act 1968,
(b)in relation to Scotland, in Part III of the Law reform (Miscellaneous Provisions) (Scotland) Act 1968, and
(c)in relation to Northern Ireland, in Part I of the Civil Evidence Act (Northern Ireland) 1971 F35.]
(1)The Board may exercise the powers conferred by this section as respects, and in connection with, any business which is, or has been, carried on by a [market maker F36] . . . F37 whose liability to tax in respect of the business is determined on the footing that any excess of his payments in respect of interest on securities over his receipts in respect thereof, being payments made or receipts accrued in pursuance of a contract for the sale or purchase of the securities, is to be treated for all the purposes of the Income Tax Acts or the Corporation Tax Acts as an annual payment made by him F38.
(2)With a view to obtaining information about transactions in the course of a business within subsection (1) above, the Board may serve on the [market maker F36] . . . F37 by whom the business is or has been carried on a notice requiring him to make available within a time specified in the notice, for inspection by an inspector or other officer of the Board, all such books, accounts and other documents in his possession or power as may be specified or described in the notice, being books, accounts or other documents which in the opinion of the Board contain or may contain information directly or indirectly relating to any such transactions.
(3)The Board may serve on any broker a notice requiring him to make available within a time specified in the notice, for inspection by an inspector or other officer of the Board, all such books, accounts or other documents in his possession or power as may be specified or described in the notice, being books, accounts or other documents which in the opinion of the Board contain or may contain information relating directly or indirectly to transactions in the course of a business within subsection (1) above.
(4)The Board may by notice in writing require—
(a)a person, other than a broker, who has directly or indirectly received from a [market maker F39] . . . F40 any payment made by the [market maker F39] . . . F40 in the course of a business within subsection (1) above, being a payment treated by the [market maker F39] . . . F40 as made in respect of interest on securities, to state within a time specified in the notice whether the amount received is in whole or in part received on behalf of, or for payment on to, any other person and, if so, to furnish the name and address of that other person, or
(b)a person who has directly or indirectly paid to a [market maker F39] . . . F40 any sum constituting a receipt by him in the course of a business within subsection (1) above, being a receipt treated by the [market maker F39] . . . F40 as accruing in respect of interest on securities, to state within a time specified in the notice whether the amount paid is in whole or in part received from, or paid on account of, any other person and, if so, to furnish the name and address of that other person.
M1(5)If, for the purpose of obtaining(from any persons whether brokers or [market makers F39] or not) information directly or indirectly relating to any transactions in the course of a business within subsection (1) above, any person in whose name any securities are registered is so required by notice in writing by the Board, he shall state whether or not he is the beneficial owner of those securities, and, if not the beneficial owner of those securities or any of them, shall furnish the name and address of the person or persons on whose behalf the securities are registered in his name.
M2(6)The Board may not exercise their powers[[1966 s.50(6)—(7).]] under the preceding provisions of this section for the purpose of obtaining information relating to transactions in any year of assessment ending more than six years before the service of the notice.
(7)In this section—
[“broker” in relation to securities, means a member of The Stock Exchange who carries on his business in the United Kingdom and is not a market maker in securities of the kind concerned F39;]
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F40
[“market maker”, in relation to securities, means a person who—
(a)holds himself out at all normal times in compliance with the rules of The Stock Exchange as willing to buy and sell securities of the kind concerned at a price specified by him, and
(b)is recognised as doing so by the Council of The Stock Exchange F41;]
“securities” includes shares and stock, and references to interest include references to dividends.
Textual Amendments
F36Finance Act 1986 s. 63and Sch. 18 para. 7in relation to transactions effected on or after 27October 1986.Previously
“jobber”.
F37 Words omitted repealed byFinance Act 1973 ss.54, 59(7), Sch.21 para.5andSch.22 Part IVfrom25March1973except in relation to things done before that day.
F38 See Finance Act 1986 Sch. 18 para. 9(1)(b)—the Board may by regulations substitute s. 21(1)and amend other provisions of s. 21.
F39Finance Act 1986 s. 63and Sch. 18 para. 7in relation to transactions effected on or after 27October 1986.Previously
“jobber”
in subs. (4), “jobbers”
in subs. (5),and
“ “broker” means a member of The Stock Exchange who carries on his business in the United Kingdom and is not a jobber;(a)”
in subs. (7).
(a)Finance Act 1973 s. 54and Sch. 21 para. 5on or after 25March 1973except in relation to things done before that day.
F40 Words omitted repealed byFinance Act 1973 ss.54, 59(7), Sch.21 para.5andSch.22 Part IVfrom25March1973except in relation to things done before that day.
F41Finance Act 1986 s. 63and Sch. 18 para. 7in relation to transactions effected on or after 27October 1986.Previously
“ “jobber” means a member of The Stock Exchange who is recognised by the Council thereof as carrying on the business of a jobber and carries on that business in the United Kingdom(a)”.
(a) Finance Act 1973 s. 54and Sch. 21 para. 5on or after 25March 1973Except in relation to things done before that day.
Modifications etc. (not altering text)
C1S. 21 applied (with modifications) (22.3.1992) by S.I. 1992/569, regs.18,22
C2S. 21 applied (with modifications) (24.9.1992) by S.I. 1992/2074, regs.9,12
C3S. 21 applied (with modifications) (1.10.1993) by S.I. 1993/2004, reg.16
Marginal Citations
M1 1952 s.250(4); 1964(M) Sch.IV(1); 1966 s.50(5).
M21966 S.50(6)-(7)