SCHEDULES
SCHEDULE 19Large businesses: tax strategies and sanctions
PART 3Sanctions for persistently unco-operative large businesses
Warning notices
41
1
A designated HMRC officer may give the head of a UK group a notice under this paragraph (a “warning notice”) if the officer considers that the group is a qualifying group that falls within this Part.
2
The notice must set out the reasons why the officer considers that the group falls within this Part.
3
The notice—
a
may be withdrawn by a designated HMRC officer at any time by giving a further notice to the head of the group, and
b
expires (if not previously withdrawn) at the end of the period of 15 months beginning with the day on which it was given.
4
Once a warning notice has been given —
a
it is immaterial for the purposes of this Part whether the group remains a qualifying group,
b
the identity of the group is not to be regarded as altered by any change in its membership resulting from a relevant body—
i
becoming a 51% subsidiary of a member of the group, or
ii
ceasing to be a 51% subsidiary of another member of the group; and
c
if the group becomes a UK sub-group of a foreign group it is to be treated as if it were still a UK group.
5
Sub-paragraph (4) applies while the group is subject to—
a
the warning notice, or
b
any other notice under this Part issued as a result of the group having been given the warning notice.