The Tax Credits (Payment by Employers) Regulations 1999

Inspection of employer’s records

14.—(1) Every relevant employer or relevant subsequent employer, whenever called upon to do so by any authorised officer of the Board, shall produce the records specified in paragraph (2) to that officer for inspection, at such time as that officer may reasonably require, at the prescribed place.

(2) The records specified in this paragraph are–

(a) all wages sheets, deductions working sheets and other documents and records whatsoever relating to the calculation or payment of the tax credits of his employees in respect of the tax years or income tax months specified by the authorised officer; or

(b) such of those wages sheets, deductions working sheets or other documents and records as may be specified by the authorised officer.

(3) “The prescribed place” mentioned in paragraph (1) means–

(a) such place in the United Kingdom as the employer and the authorised officer may agree upon; or

(b) in default of such agreement, the place in the United Kingdom at which the documents and records referred to in paragraph (2)(a) are normally kept; or

(c) in default of such agreement and if there is no such place as is referred to in sub-paragraph (b), the employer’s principal place of business in the United Kingdom.

(4) The authorised officer may–

(a) take copies of, or make extracts from, any document produced to him for inspection in accordance with paragraphs (1) and (2); and

(b) remove any document so produced if it appears to him to be necessary to do so, at a reasonable time and for a reasonable period.

(5) Where any document is removed in accordance with paragraph (4)(b), the authorised officer shall provide a receipt for that document.

(6) Where any document is removed in accordance with paragraph (4)(b) which is reasonably required for the proper conduct of a business, the authorised offer shall, not later than seven days following the date on which the document was so removed, provide a copy of the document, free of charge, to the person by whom it was produced or caused to be produced.

(7) Where a lien is claimed on a document produced in accordance with paragraphs (1) and (2), the removal of the document in accordance with paragraph (4)(b) shall not be regarded as breaking the lien.

(8) Where records are maintained by computer, the person required to make them available for inspection shall provide the authorised officer with all facilities necessary for obtaining information from them.

(9) For the purposes of paragraphs (1) and (2), the wage sheets, deductions working sheets and other documents and records mentioned in those paragraphs shall be retained by the employer for not less than three years after the end of the tax year to which they relate.