Updated ‘requirement to give security’ notice
HMRC have updated another of their notices to reflect a change in strategy in tackling VAT fraud. The revised guidance concerns HMRC’s power to require a taxpayer to provide security where HMRC considers that repaying a VAT claim represents a risk to the revenue or where VAT is at risk of being unpaid by a taxpayer.
‘Notice of Requirement to give security to HM Revenue & Customs’ (Notice 700/52) cancels and replaces the previous version published in April 2009. The following sections of the notice have been updated:
- Sections 2 and 3 which explain in detail the circumstances in which HMRC may issue a notice of requirement to give security.
- Sections 2.4 and 3.5 which explain the accepted forms of security.
- Section 4 which explains what a taxpayer can do if they do not accept the decision to require security by exercising a statutory right to an independent review or by submitting an appeal to the tribunal.