SCHEDULES

SCHEDULE 19Large businesses: tax strategies and sanctions

PART 3Sanctions for persistently unco-operative large businesses

Special measures notices

42

1

This paragraph applies to a UK group if—

a

the head of the group has been given a warning notice in relation to the group that has not been withdrawn,

b

the period of 12 months beginning with the day on which the warning notice was given has elapsed, and

c

the period of 15 months beginning with that day has not elapsed.

2

If a designated HMRC officer considers that the group falls within this Part, the officer may give the head of the group a notice under this paragraph (a “special measures notice”).

3

When considering whether the group falls within this Part, the officer may take into account any relevant behaviour, whether or not it is mentioned in the warning notice.

4

When deciding whether to give a special measures notice, the designated HMRC officer must consider any representations made by a member of the group before the end of the period of 12 months beginning with the day on which the warning notice was given.

5

The special measures notice must set out the reasons why the officer considers that the group falls within this Part.

6

Paragraph 45 deals with other circumstances in which a UK group may be given a special measures notice.