PART 2Provisions corresponding to Part 7 of the Finance Act 2004

Doubt as to notifiabilty6

1

HMRC may apply to the tribunal for an order that—

a

a proposal is to be treated as a notifiable contribution proposal; or

b

arrangements are to be treated as notifiable contribution arrangements.

2

An application must specify—

a

the proposal or arrangements in respect of which the order is sought; and

b

the promoter.

3

On an application the tribunal may make the order only if satisfied that HMRC—

a

have taken all reasonable steps to establish whether the proposal is a notifiable contribution proposal or the arrangements are notifiable contribution arrangements; and

b

have reasonable grounds for suspecting that the proposal may be a notifiable contribution proposal or the arrangements may be notifiable contribution arrangements.

4

Reasonable steps under paragraph (3)(a) may (but need not) include taking action under regulation 17 or 18.

5

Grounds for suspicion under paragraph (3)(b) may include—

a

the fact that the relevant arrangements fall within a description prescribed by the Descriptions Regulations;

b

an attempt by the promoter to avoid or delay providing information or documents about the proposal or arrangements under or by virtue of regulation 17 or 18;

c

the promoter’s failure to comply with a requirement under or by virtue of regulation 17 or 18 or section 313A or 313B in relation to another proposal or other arrangements.

6

Where an order is made under this regulation in respect of a proposal or arrangements, the period for the purposes of paragraphs (1) and (3) of regulation 8 is that prescribed.

7

An order under this regulation in relation to a proposal or arrangements is without prejudice to the possible application of regulation 8, other than by virtue of this regulation, to the proposal or arrangements.