Commissioners for Revenue and Customs Bill

House of Commons

Session 2004 - 05
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Other Bills before Parliament

Commissioners for Revenue and Customs Bill

Commissioners for Revenue and Customs Bill
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A
Bill
[AS AMENDED IN STANDING COMMITTEE E]
To
Make provision for the appointment of Commissioners to exercise functions
presently vested in the Commissioners of Inland Revenue and the
Commissioners of Customs and Excise; for the establishment of a Revenue
and Customs Prosecutions Office; and for connected purposes.
Be it enacted by the Queen’s most Excellent Majesty, by and with the advice and
consent of the Lords Spiritual and Temporal, and Commons, in this present
Parliament assembled, and by the authority of the same, as follows:—
Commissioners and officers
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The Commissioners
(1)
Her Majesty may by Letters Patent appoint Commissioners for Her Majesty’s
Revenue and Customs.
(2)
The Welsh title of the Commissioners shall be Comisynwyr Cyllid a Thollau Ei
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Mawrhydi.
(3)
A Commissioner—
(a)
may resign by notice in writing to the Treasury, and
(b)
otherwise, shall hold office in accordance with the terms and conditions
of his appointment (which may include provision for dismissal).
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(4)
In exercising their functions, the Commissioners act on behalf of the Crown.
(5)
Service as a Commissioner is service in the civil service of the State.
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Officers of Revenue and Customs
(1)
The Commissioners may appoint staff, to be known as officers of Revenue and
Customs.
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Bill 42 53/4

Commissioners for Revenue and Customs Bill
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(2)
A person shall hold and vacate office as an officer of Revenue and Customs in
accordance with the terms of his appointment (which may include provision
for dismissal).
(3)
An officer of Revenue and Customs shall comply with directions of the
Commissioners (whether he is exercising a function conferred on officers of
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Revenue and Customs or exercising a function on behalf of the
Commissioners).
(4)
Anything (including anything in relation to legal proceedings) begun by or in
relation to one officer of Revenue and Customs may be continued by or in
relation to another.
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(5)
Appointments under subsection (1) may be made only with the approval of the
Minister for the Civil Service as to terms and conditions of service.
(6)
Service in the employment of the Commissioners is service in the civil service
of the State.
(7)
In Schedule 1 to the Interpretation Act 1978 (c. 30) (defined expressions) at the
15
appropriate place insert—
““Officer of Revenue and Customs” has the meaning given by section 2(1)
of the Commissioners for Revenue and Customs Act 2005.”
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“Her Majesty’s Revenue and Customs”
(1)
The Commissioners and the officers of Revenue and Customs may together be
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referred to as Her Majesty’s Revenue and Customs.
(2)
The Welsh title of the Commissioners and the officers of Revenue and Customs
together shall be Cyllid a Thollau Ei Mawrhydi.
(3)
In Schedule 1 to the Interpretation Act 1978 (defined expressions) at the
appropriate place insert—
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““Her Majesty’s Revenue and Customs” has the meaning given by section
3 of the Commissioners for Revenue and Customs Act 2005.”
Functions
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Commissioners’ initial functions
(1)
The Commissioners shall be responsible for—
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(a)
the collection and management of revenue for which the
Commissioners of Inland Revenue were responsible before the
commencement of this section,
(b)
the collection and management of revenue for which the
Commissioners of Customs and Excise were responsible before the
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commencement of this section, and
(c)
the payment and management of tax credits for which the
Commissioners of Inland Revenue were responsible before the
commencement of this section.
(2)
The Commissioners shall also have all the other functions which before the
40
commencement of this section vested in—
(a)
the Commissioners of Inland Revenue (or in a Commissioner), or
(b)
the Commissioners of Customs and Excise (or in a Commissioner).

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(3)
This section is subject to section 33.
(4)
In this Act “revenue” includes taxes, duties and national insurance
contributions.
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Officers’ initial functions
(1)
A function conferred by an enactment (in whatever terms) on any of the
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persons listed in subsection (2) shall by virtue of this subsection vest in an
officer of Revenue and Customs.
(2)
Those persons are—
(a)
an officer as defined by section 1(1) of the Customs and Excise
Management Act 1979 (c. 2),
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(b)
a person acting under the authority of the Commissioners of Customs
and Excise,
(c)
an officer of the Commissioners of Customs and Excise,
(d)
a customs officer,
(e)
an officer of customs,
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(f)
a customs and excise officer,
(g)
an officer of customs and excise, and
(h)
a collector of customs and excise.
(3)
This section is subject to sections 6 and 33.
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Former Inland Revenue matters
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(1)
This section applies to the matters listed in Schedule 1.
(2)
A function conferred by an enactment (in whatever terms) on any of the
persons specified in subsection (3) shall by virtue of this subsection vest in an
officer of Revenue and Customs—
(a)
if or in so far as it relates to a matter to which this section applies, and
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(b)
in so far as the officer is exercising a function (whether or not by virtue
of paragraph (a)) which relates to a matter to which this section applies.
(3)
Those persons are—
(a)
an officer of the Commissioners of Inland Revenue,
(b)
an officer of the Board of Inland Revenue,
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(c)
an officer of inland revenue,
(d)
a collector of Inland Revenue,
(e)
an inspector of taxes,
(f)
a collector of taxes,
(g)
a person authorised to act as an inspector of taxes or collector of taxes
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for specific purposes,
(h)
an officer having powers in relation to tax,
(i)
a revenue official,
(j)
a person employed in relation to Inland Revenue (or “the Inland
Revenue”), and
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(k)
an Inland Revenue official.
(4)
In so far as an officer of Revenue and Customs is exercising a function which
relates to a matter to which this section applies, section 5(1) shall not apply.

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(5)
This section is subject to section 33.
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Power to transfer functions
(1)
After section 5 of the Ministers of the Crown Act 1975 (c. 26) (transfer of
functions orders: supplemental) insert—
“5A
The Commissioners for Her Majesty’s Revenue and Customs
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(1)
The Commissioners for Her Majesty’s Revenue and Customs shall be
treated for the purposes of section 1(1)(a) and (c) as if they were a
Minister of the Crown.
(2)
The officers of Revenue and Customs shall be treated for the purposes
of section 1(1)(a) and (c) as if they were a Minister of the Crown.
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(3)
An Order in Council under this Act may not provide for the transfer of
a function specified in section 4(1) of the Commissioners for Revenue
and Customs Act 2005.
(4)
An Order in Council under section 1 above transferring a function to
the Commissioners or to officers of Revenue and Customs—
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(a)
may restrict or prohibit the exercise of specified powers in
relation to that function, and
(b)
may provide that the function may be exercised only with the
consent of a specified Minister of the Crown.”
(2)
For the purposes of sections 63 and 108 of the Scotland Act 1998 (c. 46) (transfer
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of functions)—
(a)
the Commissioners shall be treated as a Minister of the Crown, and
(b)
the officers of Revenue and Customs shall be treated as a Minister of the
Crown.
(3)
An Order in Council under section 63 or 108 of that Act—
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(a)
may not make provision about a function specified in section 4(1) of this
Act, and
(b)
if it transfers a function to the Commissioners or to officers of Revenue
and Customs—
(i)
may restrict or prohibit the exercise of specified powers in
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relation to that function, and
(ii)
may provide that the function may be exercised only with the
consent of a specified member of the Scottish Executive.
(4)
For the purposes of section 22 of and Schedule 3 to the Government of Wales
Act 1998 (c. 38) (transfer of functions)—
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(a)
the Commissioners shall be treated as a Minister of the Crown, and
(b)
the officers of Revenue and Customs shall be treated as a Minister of the
Crown.
(5)
An Order in Council under section 22 of that Act may not make provision
about a function specified in section 4(1) of this Act.
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Ancillary powers
(1)
The Commissioners may do anything which they think—

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(a)
necessary or expedient in connection with the exercise of their
functions, or
(b)
incidental or conducive to the exercise of their functions.
(2)
This section is subject to section 33.
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The Valuation Office
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(1)
An officer of Revenue and Customs may provide a valuation of property—
(a)
for a purpose relating to the functions of Her Majesty’s Revenue and
Customs, or
(b)
at the request of any person who appears to the officer to be a public
authority, or
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(c)
at the request of any other person if the officer is satisfied that the
valuation is necessary or expedient in connection with—
(i)
the exercise of a function of a public nature, or
(ii)
the management of money or assets received from a person
exercising functions of a public nature.
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(2)
The Commissioners may charge a fee for the provision of a valuation under
subsection (1)(b) or (c).
(3)
In this section a reference to providing valuations of property includes a
reference to advising about matters appearing to an officer of Revenue and
Customs to be connected to the valuation of property.
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Exercise of functions
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Treasury directions
In the exercise of their functions the Commissioners shall comply with any
directions of a general nature given to them by the Treasury.
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Commissioners’ arrangements
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(1)
The Commissioners shall make arrangements for—
(a)
the conduct of their proceedings, and
(b)
the conduct of the proceedings of any committee established by them.
(2)
Arrangements under subsection (1) may, in particular—
(a)
make provision for a quorum at meetings;
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(b)
provide that a function of the Commissioners—
(i)
may be exercised by two Commissioners, or
(ii)
may be exercised by a specified number of Commissioners
(greater than two).
(3)
A decision to make arrangements under subsection (1) must be taken with the
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agreement of more than half of the Commissioners holding office at the time.
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Exercise of Commissioners’ functions by officers
(1)
An officer of Revenue and Customs may exercise any function of the
Commissioners.

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(2)
But subsection (1)—
(a)
does not apply to the functions specified in subsection (3), and
(b)
is subject to directions under section 2(3) and arrangements under
section 11.
(3)
The non-delegable functions mentioned in subsection (2)(a) are—
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(a)
making, by statutory instrument, regulations, rules or an order,
(b)
approving an application for a warrant to search premises under
section 20C of the Taxes Management Act 1970 (c. 9), and
(c)
approving an application for a warrant to enter premises under Part 7
of Schedule 13 to the Finance Act 2003 (c. 14).
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Delegation
(1)
Arrangements under section 11 may, in particular, enable the Commissioners,
or a number of Commissioners acting in accordance with arrangements by
virtue of section 11(2)(b), to delegate a function of the Commissioners, other
than a function specified in subsection (2) below—
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(a)
to a single Commissioner,
(b)
to a committee established by the Commissioners (which may include
persons who are neither Commissioners nor staff of the Commissioners
nor officers of Revenue and Customs), or
(c)
to any other person.
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(2)
The non-delegable functions mentioned in subsection (1) are—
(a)
making, by statutory instrument, regulations, rules or an order,
(b)
approving an application for a warrant to search premises under
section 20C of the Taxes Management Act 1970, and
(c)
approving an application for a warrant to enter premises under Part 7
25
of Schedule 13 to the Finance Act 2003.
(3)
The delegation of a function by virtue of subsection (1) by the Commissioners
or a number of Commissioners—
(a)
shall not prevent the exercise of the function by the Commissioners or
those Commissioners, and
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(b)
shall not, subject to express provision to the contrary in directions
under section 2(3) or arrangements under section 11, prevent the
exercise of the function by an officer of Revenue and Customs.
(4)
Where the Commissioners or a number of Commissioners delegate a function
to a person by virtue of subsection (1)(c)—
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(a)
the Commissioners or those Commissioners shall monitor the exercise
of the function by that person, and
(b)
in the exercise of the function the delegate shall comply with any
directions of the Commissioners or of those Commissioners.
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Agency: Scotland and Northern Ireland
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(1)
For the purposes of section 93 of the Scotland Act 1998 (c. 46) (agency)—
(a)
the Commissioners shall be treated as a Minister of the Crown, and
(b)
the officers of Revenue and Customs shall be treated as a Minister of the
Crown.

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(2)
For the purposes of section 28 of the Northern Ireland Act 1998 (c. 47)
(agency)—
(a)
the Commissioners shall be treated as a Minister of the Crown, and
(b)
the officers of Revenue and Customs shall be treated as a Minister of the
Crown.
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Restrictions, &c.
Part 1 of Schedule 2 (which restricts, or makes other provision in connection
with, the exercise of certain functions) shall have effect.
Information
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Use of information
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(1)
Information acquired by the Revenue and Customs in connection with a
function may be used by them in connection with any other function.
(2)
Subsection (1) is subject to any provision which restricts or prohibits the use of
information and which is contained in—
(a)
this Act,
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(b)
any other enactment, or
(c)
an international or other agreement to which the United Kingdom or
Her Majesty’s Government is party.
(3)
In subsection (1) “the Revenue and Customs” means—
(a)
the Commissioners,
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(b)
an officer of Revenue and Customs,
(c)
a person acting on behalf of the Commissioners or an officer of Revenue
and Customs,
(d)
a committee established by the Commissioners,
(e)
a member of a committee established by the Commissioners,
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(f)
the Commissioners of Inland Revenue (or any committee or staff of
theirs or anyone acting on their behalf),
(g)
the Commissioners of Customs and Excise (or any committee or staff of
theirs or anyone acting on their behalf), and
(h)
a person specified in section 5(2) or 6(3).
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(4)
In subsection (1) “function” means a function of any of the persons listed in
subsection (3).
(5)
In subsection (2) the reference to an enactment does not include—
(a)
an Act of the Scottish Parliament or an instrument made under such an
Act, or
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(b)
an Act of the Northern Ireland Assembly or an instrument made under
such an Act.
(6)
Part 2 of Schedule 2 (which makes provision about the supply and other use of
information in specified circumstances) shall have effect.