The guidance available to customers on Clearances and Approvals provided for in the Taxes Act has been updated to reflect the new guidance on the extended clearances service now offered to business customers. The updated guidance sets out what you need to do to make a clearance application, and what information you need to provide.

It includes information for business customers across all of the taxes that was previously set out in VAT Notice 700/6 and Code of Practice 10.

A non-statutory clearance is written confirmation of HMRC's view of the application of tax law to a specific transaction or event that you can rely on in most circumstances, as their view of the tax consequences of the transaction.

There are a few statutes where tax law provides that HMRC will give a clearance relating to a specific point. These are referred to as “statutory clearances” and are outside the scope of this guidance.

HMRC will aim to respond to a clearance request within 28 calendar days, though in complex cases this may take longer. Clearances are provided across all business taxes, regardless of the age of the legislation, where it can be demonstrated that:

• there is material uncertainty
• the issue is commercially significant.

Clearances do not alter the tax treatment but simply give HMRC's view of what the correct tax treatment is. Full information is available at http://www.hmrc.gov.uk/cap/links-dec07.htm