(3) In paragraph 46 of Schedule 18 to FA 1998 (general time limits for assessments
to corporation tax), in sub-paragraph (2A)—

(a) omit the “or” following paragraph (b), and

(b) at the end of paragraph (c) insert “, or

“(d) 5attributable to arrangements which were expected to
give rise to a tax advantage in respect of which the
company was under an obligation to notify the
Commissioners for Her Majesty’s Revenue and
Customs under section 246 of the Finance Act 2014
10(duty to notify Commissioners of promoter reference
number) but failed to do so.”

(4) In paragraph 31 of Schedule 10 to FA 2003 (time limit for assessment of stamp
duty land tax), in sub-paragraph (2A)—

(a) omit the “or” following paragraph (b), and

(b) 15at the end of paragraph (c) insert “, or

“(d) attributable to arrangements which were expected to
give rise to a tax advantage in respect of which the
person was under an obligation to notify the
Commissioners for Her Majesty’s Revenue and
20Customs under section 246 of the Finance Act 2014
(duty to notify Commissioners of promoter reference
number) but failed to do so.”

(5) In paragraph 25 of Schedule 33 to FA 2013 (time limit for assessment: annual
tax on enveloped dwellings), in sub-paragraph (4)—

(a) 25omit the “or” following paragraph (b), and

(b) at the end of paragraph (c) insert “, or

“(d) attributable to arrangements which were expected to
give rise to a tax advantage in respect of which the
person was under an obligation to notify the
30Commissioners for Her Majesty’s Revenue and
Customs under section 246 of FA 2014 (duty to notify
Commissioners of promoter reference number) but
failed to do so.”

Offences

271 35Offence of concealing etc documents

(1) A person is guilty of an offence if—

(a) the person is required to produce a document by a notice given under
section 248,

(b) the tribunal approved the giving of the notice under section 249, and

(c) 40the person conceals, destroys or otherwise disposes of, or arranges for
the concealment, destruction or disposal of, that document.

(2) Subsection (1) does not apply if the person acts after the document has been
produced to an officer of Revenue and Customs in accordance with section 248,
unless the officer has notified the person in writing that the document must
45continue to be available for inspection (and has not withdrawn the
notification).

(3) Subsection (1) does not apply, in a case to which section 261(1) applies, if the
person acts after the end of the expiry of 6 months beginning with the day on
which a copy of the document was produced in accordance with that section
unless, before the expiry of that period, an officer of Revenue and Customs
5makes a request for the original document under section 261(2)(b).

272 Offence of concealing etc documents following informal notification

(1) A person is guilty of an offence if the person conceals, destroys or otherwise
disposes of, or arranges for the concealment, destruction or disposal of, a
document after an officer of Revenue and Customs has informed the person in
10writing that—

(a) the document is, or is likely, to be the subject of a notice under section
248, and

(b) in cases where the approval of the tribunal is required before the notice
is given, the officer of Revenue and Customs intends to seek that
15approval.

(2) A person is not guilty of an offence under this section if the person acts after—

(a) at least 6 months has expired since the person was, or was last,
informed as described in subsection (1), or

(b) a notice has been given to the person under section 248, requiring the
20document to be produced.

273 Penalties for offences

(1) A person who is guilty of an offence under section 271 or 272 is liable—

(a) on summary conviction, to—

(i) in England and Wales, a fine, or

(ii) 25in Scotland or Northern Ireland, a fine not exceeding the
statutory maximum, or

(b) on conviction on indictment, to imprisonment for a term not exceeding
2 years or to a fine or both.

(2) In relation to an offence committed before section 85(1) of the Legal Aid,
30Sentencing and Punishment of Offenders Act 2012 comes into force, subsection
(1)(a)(i) has effect as if the reference to “a fine” were a reference to “a fine not
exceeding the statutory maximum”.

Supplemental

274 Partnerships

35Schedule 32 contains provision about the application of this Part to
partnerships.

275 Regulations under this Part

(1) Regulations under this Part are to be made by statutory instrument.

(2) Apart from an instrument to which subsection (3) applies, a statutory
40instrument containing regulations made under this Part is subject to
annulment in pursuance of a resolution of the House of Commons.

(3) A statutory instrument containing (whether alone or with other provision)
regulations made under—

(a) section 231(7),

(b) paragraph 14 of Schedule 30,

(c) 5paragraph 5(1) of Schedule 31, or

(d) paragraph 21 of Schedule 32,

may not be made unless a draft of the instrument has been laid before and
approved by a resolution of the House of Commons.

(4) Regulations under this Part—

(a) 10may make different provision for different purposes;

(b) may include transitional provision and savings.

276 Interpretation of this Part

(1) In this Part—

• “arrangements” has the meaning given by section 227(4);

• 15“the Commissioners” means the Commissioners for Her Majesty’s
  Revenue and Customs;

• “calendar quarter” means a period of 3 months beginning with 1 January,
  1 April, 1 July or 1 October;

• “conduct notice” means a notice of the description in section 231 that is
  20given under—

  (a)

  section 230(7),

  (b)

  section 238(7), or

  (c)

  paragraph 8(2) or (3) or 10(3)(a) or (4)(a) of Schedule 32;

• “HMRC” means Her Majesty’s Revenue and Customs;

• 25“firm approach” has the meaning given by section 228(4);

• “monitored promoter” has the meaning given by section 237(5);

• “monitored proposal” and “monitored arrangements” have the meaning
  given by section 247;

• “monitoring notice” means a notice given under section 237(1) or
  30paragraph 9(2) or (3) or 10(3)(b) or (4)(b) of Schedule 32;

• “the original monitoring notice” has the meaning given by paragraph
  11(2) of Schedule 32;

• “prescribed” means prescribed, or of a description prescribed, in
  regulations made by the Commissioners;

• 35“promoter reference number” has the meaning given by section 243(5);

• “relevant arrangements” has the meaning given by section 227(2);

• “relevant proposal” has the meaning given by section 227(1);

• “replacement conduct notice” has the meaning given by paragraph 11(1)
  of Schedule 32;

• 40“replacement monitoring notice” has the meaning given by paragraph
  11(1) of Schedule 32;

• “tax” means—

  (a)

  income tax,

  (b)

  capital gains tax,

  (c)

  45corporation tax,

  (d)

  petroleum revenue tax,

  (e)

  inheritance tax,

  Finance (No. 2) BillPage 183

  (f)

  stamp duty land tax,

  (g)

  stamp duty reserve tax, or

  (h)

  annual tax on enveloped dwellings;

• “tax advantage” has the meaning given by section 227(3);

• 5“Taxes Acts” has the same meaning as in TMA 1970 (see section 118(1) of
  that Act);

• “the tribunal” means the First-tier Tribunal or, where determined by or
  under Tribunal Procedure Rules, the Upper Tribunal.

(2) A reference in a provision of this Part to an authorised officer is to an officer of
10Revenue and Customs who is, or is a member of a class of officers who are,
authorised by the Commissioners for the purposes of that provision.

(3) A reference in a provision of this Part to meeting a threshold condition is to
meeting one of the conditions described in paragraphs 2 to 12 of Schedule 30.

Part 6 15Other provisions

Anti-avoidance

277 Disclosure of tax avoidance schemes: information powers

(1) Part 7 of FA 2004 (disclosure of tax avoidance schemes) is amended as set out
in subsections (2) to (4).

(2) 20After section 310 insert—

“310A Duty to provide further information requested by HMRC

(1) This section applies where—

(a) a person has provided the prescribed information about
notifiable proposals or arrangements in compliance with
25section 308, 309 or 310, or

(b) a person has provided information in purported compliance
with section 309 or 310 but HMRC believe that the person has
not provided all the prescribed information.

(2) HMRC may require the person to provide—

(a) 30further specified information about the notifiable proposals or
arrangements (in addition to the prescribed information under
section 308, 309 or 310);

(b) documents relating to the notifiable proposals or arrangements.

(3) Where HMRC impose a requirement on a person under this section, the
35person must comply with the requirement within—

(a) the period of 10 working days beginning with the day on which
HMRC imposed the requirement, or

(b) such longer period as HMRC may direct.

310B Failure to provide information under section 310A: application to the
40Tribunal

(1) This section applies where HMRC—

(a) have required a person to provide information or documents
under section 310A, but

(b) believe that the person has failed to provide the information or
documents required.

(2) 5HMRC may apply to the tribunal for an order requiring the person to
provide the information or documents required.

(3) The tribunal may make an order under subsection (2) only if satisfied
that HMRC have reasonable grounds for suspecting that the
information or documents will assist HMRC in considering the
10notifiable proposals or arrangements.

(4) Where the tribunal makes an order under subsection (2), the person
must comply with it within—

(a) the period of 10 working days beginning with the day on which
the tribunal made the order, or

(b) 15such longer period as HMRC may direct.”

(3) In section 316(2) (meaning of the “information provisions”), after “310,” insert
“310A,”.

(4) In section 318(1) (interpretation of Part 7), at the end insert—

• ““working day” means a day which is not a Saturday or a Sunday,
  20Christmas Day, Good Friday or a bank holiday under the
  Banking and Financial Dealings Act 1971 in any part of the
  United Kingdom.”

(5) Section 98C of TMA 1970 (notification under Part 7 of FA 2004) is amended as
set out in subsections (6) to (10).

(6) 25In subsection (1)(a)(i), for “or (c)” substitute “, (c) or (ca)”.

(7) In subsection (2), after paragraph (c) insert—

“(ca) section 310A (duty to provide further information requested by
HMRC),”.

(8) In subsection (2ZA), at the end of the table add—

(9) In subsection (2ZB)—

(a) in paragraph (a)—

(i) for “person’s” substitute “promoter’s”;

(ii) after “(3)” insert “or section 310A”;

(iii) 45for “person” substitute “promoter”;

(b) in paragraph (b)—

(i) before “person’s” insert “relevant”;

(ii) for “or 310” substitute “, 310 or 310A”;

(iii) before “person” insert “relevant”.

(10) After subsection (2ZB) insert—

“(2ZBA) In subsection (2ZB)—

(a) 5“promoter” has the same meaning as in Part 7 of the Finance Act
2004, and

(b) “relevant person” means a person who enters into any
transaction forming part of notifiable arrangements within the
meaning of that Part.”

(11) 10Section 310A of FA 2004 applies to a person who provides the prescribed
information about notifiable proposals or arrangements in compliance or
purported compliance with section 308, 309 or 310 on or after the day on which
this Act is passed.

Code of Practice on Taxation of Banks

278 15The Code of Practice on Taxation for Banks: HMRC to publish reports

(1) No later than the end of the calendar year in which a reporting period ends, the
Commissioners for Her Majesty’s Revenue and Customs must publish a report
on the operation during the period of the Code of Practice on Taxation for
Banks as published by the Commissioners on 31 May 2013 (“the Code”).

(2) 20If the Commissioners determine that a group or entity which was a
participating group or entity (see section 279) during some or all of a reporting
period breached the Code at a time during the period, the Commissioners may
name the group or entity in a report under this section.

This subsection is subject to section 280.

25This subsection is subject to section 280.

(3) If—

(a) the Commissioners determine that there has been a breach of the Code,
but

(b) it was not reasonably practicable for information relating to the breach
30to be included in the report for the reporting period in which the breach
occurred,

the information may be included in the first subsequent report in which it is
reasonably practicable for the information to be included.

(4) The report for a reporting period must list—

(a) 35the groups or entities which were participating groups or entities
during some or all of the reporting period,

(b) the groups or entities appearing to the Commissioners—

(i) not to be covered by paragraph (a), and

(ii) to be groups or entities in relation to which the bank levy is
40charged in a case where the chargeable period ends in the
reporting period (or would be charged in such a case if it is
assumed that any period of account beginning before or in, but
ending after, the reporting period ends at the end of the
reporting period instead), and

(c) 45the entities appearing to the Commissioners—

(i) not to be covered by paragraph (a) or (b), and

(ii) to be entities which fell within subsection (2)(b) or (c) of section
991 of ITA 2007 (subject to subsection (3) of that section) during
some or all of the reporting period.

(5) In a case where the bank levy is (or would be) charged in relation to a relevant
5non-banking group (as defined in paragraph 11 of Schedule 19 to FA 2011), any
list prepared under subsection (4)(b) is to refer to the group only so far as it
consists (or would consist) of—

(a) relevant UK banking sub-groups (as defined in paragraph 19(5) of that
Schedule), and

(b) 10so far as not covered by paragraph (a)—

(i) UK resident banks (as defined in paragraph 80 of that
Schedule), and

(ii) relevant foreign banks (as defined in paragraph 78 of that
Schedule).

(6) 15For the purposes of subsection (4)(b)(ii) it does not matter if the amount of the
bank levy is (or would be) nil in the case of a group or entity.

(7) The first “reporting period” is the period beginning with 5 December 2013 and
ending with 31 March 2015.

(8) After that, each year beginning with 1 April is a “reporting period”.

(9) 20The report for the first reporting period must list the groups or entities which
were participating groups or entities on 5 December 2013.

(10) Subsection (9) does not require the inclusion in the report of any information
which has previously been published by the Commissioners, so long as the
report makes reference to the previous publication.

(11) 25If, on or after 31 May 2013, the Commissioners publish a document which
states that only Part 1 of the Code is to apply in the case of a group or entity of
a specified description, in the case of such a group or entity references to the
Code are to be read as references to Part 1 of the Code.

279 The Code of Practice on Taxation for Banks: “participating” groups or entities

(1) 30This section applies for the purposes of section 278.

(2) A group or entity becomes a “participating” group or entity if, on or after 31
May 2013, it notifies the Commissioners in writing that it is unconditionally
committed to complying with the Code.

(3) A group or entity ceases to be a “participating” group or entity if it notifies the
35Commissioners in writing that it is no longer unconditionally committed to
complying with the Code.

(4) A group or entity which ceases to be a “participating” group or entity in
accordance with subsection (3) becomes a “participating” group or entity again
if it gives a further written notice of the kind mentioned in subsection (2)
40(subject to what follows).

(5) Subsections (6) and (7) apply if a group or entity is named in a report under
section 278 under subsection (2) of that section.

(6) If the group or entity is a “participating” group or entity immediately before
the publication of the report, it ceases to be so on the publication of the report.

(7) In any case, the group or entity cannot be a “participating” group or entity after
the publication of the report unless and until—

(a) it gives the Commissioners a further written notice of the kind
mentioned in subsection (2), and

(b) 5the Commissioners are satisfied that it is unconditionally committed to
complying with the Code.

280 The Code of Practice on Taxation for Banks: operation & breaches of the Code

(1) The Commissioners must—

(a) publish a protocol, to be called “the Governance Protocol”, setting out
10how the Commissioners are going to operate the Code and section
278(2), and

(b) follow the Governance Protocol when operating the Code and section
278(2).

(2) The Governance Protocol must require the Commissioners, before
15determining for the purposes of section 278(2) whether a group or entity has
breached the Code at a time during a reporting period, to commission a person
(an “independent reviewer”) who is independent of the Commissioners and
the group or entity to report on—

(a) whether the group or entity has breached the Code, and

(b) 20whether the group or entity should be named in a report under section
278 were the Commissioners to determine that the group or entity has
breached the Code.

(3) The independent reviewer—

(a) must give the group or entity a reasonable opportunity to make
25representations about the matters being considered by the independent
reviewer,

(b) subject to subsection (8), must have regard to the group or entity’s
representations and may have regard to any other matter which the
independent reviewer considers to be relevant,

(c) 30must give the group or entity a copy of the independent reviewer’s
report, and

(d) must otherwise follow the Governance Protocol but only so far as it is
relevant to the independent reviewer’s functions.

(4) The Governance Protocol may provide that, in the case of any conduct of a
35group or entity to which subsection (5) applies, the independent reviewer is to
assume that the conduct constitutes a breach of the Code and, accordingly, is
to report only on the matter mentioned in subsection (2)(b).

(5) This subsection applies to any conduct—

(a) in relation to which there has been given—

(i) 40an opinion notice under paragraph 11(3)(b) of Schedule 43 to FA
2013 (GAAR advisory panel: opinion that conduct
unreasonable) stating the joint opinion of all the members of a
sub-panel arranged under paragraph 10 of that Schedule, or

(ii) one or more such notices stating the opinions of at least two
45members of such a sub-panel, and

(b) in relation to which there has been given a notice under paragraph 12
of that Schedule (HMRC final decision on tax advantage) stating that a
tax advantage is to be counteracted.

(6) The Governance Protocol must make provision—

(a) for the Commissioners, in determining whether a group or entity has
breached the Code or should be named in a report under section 278—

(i) to have regard to the independent reviewer’s report, and

(ii) 5to give the group or entity a reasonable opportunity to make
representations about the matters being considered by the
Commissioners,

(b) for the Commissioners to notify the group or entity in writing of their
determination,

(c) 10if the Commissioners’ determination is different from the independent
reviewer’s determination, for the Commissioners to include in the
notification of their determination to the group or entity their reasons
for making a different determination, and

(d) if the Commissioners determine that the group or entity should be
15named in a report under section 278, for the Commissioners to hold off
including in a report under that section any information relating to the
breach of the Code—

(i) until the notification of the determination is given to the group
or entity, and

(ii) 20for at least 90 days after the day on which that notification is
given.

(7) The Governance Protocol must make provision for the independent reviewer
and the Commissioners, in determining whether a group or entity should be
named in a report under section 278, to have regard to—

(a) 25any action taken by the group or entity to remedy the breach of the
Code or otherwise to mitigate its effect, and

(b) any exceptional circumstances which might justify not naming the
group or entity.

(8) In determining whether a group or entity has breached the Code or should be
30named in a report under section 278, the independent reviewer and the
Commissioners—

(a) may have regard to any conduct of the group or entity occurring on or
after 5 December 2013, but

(b) must not have regard to any conduct of the group or entity occurring
35before that date or at a time when the group or entity is not a
participating group or entity.

(9) Subsection (10) applies if the independent reviewer determines—

(a) that a group or entity has not breached the Code, or

(b) that a group or entity should not be named in a report under section
40278.

(10) The Commissioners may make a determination which is different from the
independent reviewer’s determination only if—

(a) the independent reviewer’s determination is flawed when considered
in the light of the principles applicable in proceedings for judicial
45review, or

(b) there are other compelling reasons for making a different
determination.

(11) If the Commissioners make a different determination in a case where
subsection (10) applies—

(a) their reasons notified under subsection (6)(c) must set out (in
particular) why the independent reviewer’s determination is flawed or
(as the case may be) the other compelling reasons,

(b) in any proceedings in which an issue arises as to whether it was lawful
5for them to make the different determination it is for them to show that
it was lawful for them to make the different determination, and

(c) subsection (12) applies in relation to any proceedings for judicial
review of the different determination instituted by a member of the
group or by the entity.

(12) 10If the proceedings are instituted no later than the end of the 90 day period
mentioned in subsection (6)(d)(ii)—

(a) they are to be treated as having been instituted within any applicable
time limit (if that would not otherwise be the case),

(b) the court must give permission or leave for the proceedings to proceed
15(if the court’s permission or leave is required), unless that would lead
to multiple proceedings dealing with the same issues, and

(c) any hearing (including any hearing on appeal) must be held in private,
unless (having regard to the risk that holding the hearing in public
might undermine to any extent the purpose of the instituting of the
20proceedings) the court is satisfied that there are exceptional
circumstances requiring the hearing to be held in public.

(13) If a determination of the Commissioners is different from the independent
reviewer’s determination, they must mention that fact—

(a) in the report under section 278 for the reporting period in question, or

(b) 25if it was not reasonably practicable for that fact to be mentioned in that
report, in the first subsequent report under section 278 in which it is
reasonably practicable for that fact to be mentioned.

(14) In determining for the purposes of section 278(3) or subsection (13)(b) of this
section when it is reasonably practicable for any information to be included in
30a report under section 278, regard must be had (in particular) to the
requirements of subsections (1) to (12) of this section.

(15) The Commissioners must disclose to an independent reviewer such
information held by them as they consider appropriate to enable the
independent reviewer to carry out the independent reviewer’s functions.

(16) 35If the Commissioners disclose information to an independent reviewer under
subsection (15), section 18 of CRCA 2005 (confidentiality) applies in relation to
the independent reviewer’s holding and use of the information as if the
independent reviewer were an officer of Revenue and Customs and the
independent reviewer’s functions were functions of the independent reviewer
40as such an officer.

281 The Code of Practice on Taxation for Banks: documents relating to the Code

(1) The Commissioners may publish a relevant document, or revoke or modify a
relevant document previously published by them, only after—

(a) consultation with such persons as they consider appropriate, and

(b) 45consideration of any representations made to them in the course of the
consultation.