TaxSource Total

Here you can access relevant source documents which support the summaries of key tax developments in Ireland, the UK and internationally

Source documents include:

  • Chartered Accountants Ireland’s representations and submissions
  • published documents by the Irish Revenue, UK HMRC, EU Commission and OECD
  • other government documents

The source documents are displayed per year, per month, by jurisdiction and by title

Revenue & Customs Brief 20/08

Extension of non-statutory clearances service for HM Revenue and Customs (HMRC) business customers

Who should read this business brief?

All businesses and those acting on behalf of business.

Background

At Budget 2006, the Chancellor of the Exchequer announced a review, led by Sir David Varney, of the relationship between large business and HMRC.

The review team consulted with over 140 large businesses and trade and representative bodies and identified four key outcomes that would benefit both large business and HMRC:

  • greater certainty
  • an efficient risk based approach to dealing with tax matters
  • speedy resolution of issues
  • clarity through effective consultation and dialogue

The ‘Review of Links with Large Business’ report published in November 2006 outlined 14 key proposals that would together deliver these outcomes.

One of the proposals related to non-statutory clearances. A non-statutory clearance is written confirmation of our view of the application of tax law to a specific transaction or event.

At Pre-Budget Report 2007, we announced an extension of the non-statutory clearances we provide to all our business customers from April 2008.

Changes affecting business

From 1 April 2008 clearances will be provided across all business taxes regardless of the age of the legislation, where there is material uncertainty. For direct tax legislation older than the last four Finance Acts, there is a further requirement that the uncertainty relates to a commercially significant issue.

We will aim to respond to clearance applications within 28 calendar days, though in complex cases this may take longer.

In addition, as part of the extended clearances service from 1 April 2008, we will publish new guidance on clearances for our business customers, bringing together and updating existing guidance so as to provide a consistent and clear framework for clearance applications across HMRC. The guidance for businesses is available on the HMRC website.

Who do I contact?

Large Business Service (LBS) customers should continue to send their clearance applications to their Client Relationship Manager (CRM).

All other business customers, and those acting on behalf of a business, should send their applications to:

  • HMRC Clearances Team
  • Alexander House
  • 21 Victoria Avenue
  • Southend-on-Sea
  • Essex SS99 1BD
  • Email: HMRC Clearances Team

Comments on the guidance and the extended service can be sent to:

  • Emma Bailey
  • Tax Administration Policy
  • Central Policy
  • 100 Parliament Street
  • SW1A 2BQ

Other guidance on information and advice

Code of Practice 10 (COP10) and Notice 700/6 VAT rulings will remain in place for our customers who are not covered by the new clearances process to provide guidance on how to seek information and advice from HMRC. We will be reviewing these documents over the next year to provide more consistent guidance on the information and advice available to our customers.