Finance (No. 3) Act 2010

Part 3Information and inspection powers

9CEMA 1979 is amended as follows.

10In section 112 (power of entry upon premises etc of revenue traders), after subsection (6) insert—

(7)For the purposes of subsection (1)—

(a)it does not matter if the premises in question are owned or used partly for the purposes of the trade and partly for other purposes (including as a dwelling), but

(b)the officer may not enter or inspect any part of the premises that is used solely as a dwelling.

(8)Premises used to hold or store anything for the purposes of a revenue trader’s trade are taken to be used by the revenue trader for the purposes of that trade, regardless of who owns or occupies the premises.

11After that section insert—

112ASection 112: supplementary powers

(1)The power in section 112(1) includes power to inspect any business documents that are on the premises.

(2)“Business documents” means documents (or copies of documents) that relate to the carrying on of the revenue trader’s trade, whether or not ones that a person may be required to produce under section 118B.

(3)Subsections (4) to (8) of section 118B apply to documents inspected under section 112(1) as they apply to documents produced under section 118B.

(4)The power in section 112(1) also includes power—

(a)to mark items that have been examined or inspected, and anything containing such items, for the purpose of indicating that they have been examined or inspected, and

(b)to obtain and record information (whether electronically or otherwise) relating to the premises, items and documents that have been examined or inspected.

12After section 118B insert—

118BAFurther duty to provide information and documents

(1)An officer may by notice in writing require a person to provide documents if—

(a)they are reasonably required by the officer for the purpose of protecting, securing, collecting or managing revenues derived from duties of excise, and

(b)the officer has reasonable cause to believe that the person is in possession or control of them.

(2)An officer may not give a notice under this section without the approval of the tribunal.

(3)An application for approval may be made without notice (except as required under subsection (4)).

(4)The tribunal may not give its approval unless—

(a)it is satisfied that, in the circumstances, the officer proposing to give the notice is justified in doing so,

(b)the person to whom the notice is to be given has been told that the documents are required and given a reasonable opportunity to make representations to an officer, and

(c)the tribunal has been given a summary of any representations made by that person.

(5)Paragraphs (b) and (c) of subsection (4) do not apply to the extent that the tribunal is satisfied that taking the action specified in those paragraphs might prejudice the protection, security, collection or management of revenues derived from duties of excise.

(6)A decision of the tribunal under this section is final (despite the provisions of sections 11 and 13 of the Tribunals, Courts and Enforcement Act 2007).

(7)The following provisions of Schedule 36 to the Finance Act 2008 apply to a notice under this section as they apply to an information notice—

(a)paragraphs 7 and 8 (complying with notices and producing copies of documents),

(b)paragraphs 15 and 16 (powers to copy and remove documents),

(c)Part 4 (restrictions on powers) except paragraphs 21, 21A and 28, and

(d)Part 9 (miscellaneous provisions and interpretation) so far as relevant to the provisions listed above.

(8)The powers in this section apply to information as they apply to documents (and “documents” is to be read accordingly).

(9)Nothing in this section affects or limits section 118B.

118BBInspection powers: goods-based duties

(1)This section applies to premises if an officer has reasonable cause to believe that—

(a)the premises are used in connection with the supply, importation or exportation of goods of a class or description chargeable with a duty of excise, and

(b)any such goods, or documents relating to any such goods, are on the premises.

(2)The officer may at any reasonable time enter and inspect the premises and inspect—

(a)any goods found on the premises, and

(b)any documents found on the premises that appear to the officer to relate to the supply, importation or exportation of goods of a class or description chargeable to duty of excise.

(3)For the purposes of this section—

(a)it does not matter if the premises are used partly for a purpose mentioned in subsection (1)(a) and partly for other purposes (including as a dwelling), but

(b)the officer may not enter or inspect any part of the premises that is used solely as a dwelling.

(4)Premises used to hold or store goods in connection with their supply, importation or exportation are taken to be premises used in connection with the supply, importation or exportation of goods, regardless of who owns or occupies the premises.

118BCInspection powers: gaming duty

(1)This section applies to premises if an officer has reasonable cause to believe that section 10 gaming is taking place, has taken place or is about to take place on the premises.

(2)The officer may at any reasonable time enter and inspect the premises and inspect—

(a)accounts, records and other documents in the custody or control of any person who is engaging, or whom the officer reasonably suspects of engaging, in section 10 gaming or in any activity by reason of which the person is or may become liable to gaming duty, and

(b)any equipment that is being, or the officer reasonably suspects of having been or of being intended to be, used on the premises for or in connection with section 10 gaming.

(3)Subsection (1) does not permit an officer to enter or inspect a particular part of premises if—

(a)the officer has no reasonable cause to believe that section 10 gaming is taking place, has taken place or is about to take place in that part, and

(b)the part is used solely as a dwelling.

(4)“Section 10 gaming” means gaming to which section 10 of the Finance Act 1997 applies.

118BDInspection powers: supplementary provision

(1)If an officer, in the course of exercising a power under section 118BB or 118BC, finds reason to believe that the premises are owned or used by a revenue trader (within the meaning of section 112), the officer may also exercise any power that the officer could have exercised under section 112 if the officer had entered the premises under that section.

(2)Subsections (4) to (8) of section 118B apply to documents inspected under section 118BB or 118BC as they apply to documents produced under section 118B.

(3)The powers under sections 118BB and 118BC include power—

(a)to mark items that have been inspected, and anything containing such items, for the purpose of indicating that they have been inspected, and

(b)to obtain and record information (whether electronically or otherwise) relating to the premises, items and documents that have been inspected.

13In section 118C (entry and search of premises and persons), omit subsections (2), (2A) and (2B).

14In section 118D (order for access to recorded information), in subsection (5), for “118B and 118C” substitute “118B to 118C”.

15(1)Section 118G (offences under Part 9) is amended as follows.

(2)The existing provisions become subsection (1).

(3)After that subsection insert—

(2)Part 7 of Schedule 36 to the Finance Act 2008 (penalties) applies to a person who fails to comply with a notice under section 118BA as it applies to a person who fails to comply with an information notice.

(3)Part 8 of that Schedule (offences) applies in relation to documents that are or are likely to be the subject of a notice under section 118BA as it applies in relation to documents that are or are likely to be the subject of an information notice (with the reference to approval of the tribunal in accordance with paragraph 3 or 5 of that Schedule being read as a reference to approval of the tribunal in accordance with section 118BA of this Act).

16(1)Section 161A (power to search premises: search warrant) is amended as follows.

(2)After subsection (2) insert—

(2A)The power in subsection (2)(a) includes power to search for and remove documents relating to any such thing (including documents about title, storage and movement).

(3)In subsection (3), for “subsections (1) and (2)” substitute “subsections (1), (2) and (2A)”.