Part 7Disclosure of tax avoidance schemes

F1313APre-disclosure enquiry

(1)

Where HMRC suspect that a person (P) is the promoter F2or introducer of a proposal, or the promoter of arrangements, which may be notifiable, they may by written notice require P to state—

(a)

whether in P's opinion the proposal or arrangements are notifiable by P, and

(b)

if not, the reasons for P's opinion.

(2)

A notice must specify the proposal or arrangements to which it relates.

(3)

For the purpose of subsection (1)(b)—

(a)

it is not sufficient to refer to the fact that a lawyer or other professional has given an opinion,

(b)

the reasons must show, by reference to this Part and regulations under it, why P thinks the proposal or arrangements are not notifiable by P, and

(c)

in particular, if P asserts that the arrangements do not fall within any description prescribed under section 306(1)(a), the reasons must provide sufficient information to enable HMRC to confirm the assertion.

(4)

P must comply with a requirement under or by virtue of subsection (1) within—

(a)

the prescribed period, or

(b)

such longer period as HMRC may direct.