The International Tax Enforcement (Disclosable Arrangements) Regulations 2020

Made: 9th January 2020

Laid before the House of Commons: 13th January 2020

Coming into force: 1st July 2020

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PART 1 — Introductory provisions

Citation and commencement

1

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Interpretation

2

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PART 2 — Reporting obligations

Reporting obligations: UK intermediaries

3

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Reporting obligations: UK relevant taxpayers

4

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Annual reporting requirement

5

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Reportable information

6

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Legal professional privilege

7

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Arrangement reference number

8

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Electronic return system

9

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Evidence

10

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Provision of information

11

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Application of Annex IV of the DAC: hallmarks

12

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Employees

13

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PART 3 — Penalties for breach of obligations

Penalties for failure to comply with Regulations

14

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Determination of penalty by HMRC: initial penalty under regulation 14(1)(a)(i)

15

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Determination of penalty by First-tier Tribunal: daily penalty under regulation 14(1)(a)(ii)

16

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Determination of penalty by HMRC: further daily penalty under regulation 14(1)(b) and penalty in relation to annual report

17

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Time limits and treatment of penalties

18

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Appeals against penalty determinations by HMRC

19

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Special reduction

20

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Matters to be disregarded in relation to liability to penalties

21

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Signed

Rebecca Harris — Mike Freer — Two of the Lords Commissioners of Her Majesty's Treasury — 2020-01-09

Explanatory note

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Footnotes

[^f00001]: 2002 c. 23.

[^f00002]: 2019 c. 1.

[^f00003]: OJ No. L064, 11.3.2011, p1, most recently amended by Council Directive (EU) 2018/822 (OJ No. L139, 5.6.2018, p1).

[^f00004]: Article 2 of the DAC sets out the scope of the Directive.

[^f00005]: 2007 c. 15.

[^f00006]: S.I. 2001/769; regulation 9 has been amended by S.I. 2006/2897, 2008/223, 2015/1828 and 2015/67.

[^f00007]: “Participate” is defined in section 84(3) of the Finance Act 2019.

[^f00008]: “Tax year” is defined in section 4(2) of the Income Tax Act 2007 (c. 3).

[^f00009]: “Accounting period” is defined in section 1119 of the Corporation Tax Act 2010 (c. 4).

[^f00010]: 1998 c. 36; paragraph 14 was amended by Part 3(16) of Schedule 40 to the Finance Act 2002 (c. 23).

[^f00011]: Annex IV of the DAC sets out hallmarks at least one of which must be contained in a cross-border arrangement for it to constitute a reportable cross-border arrangement; “hallmark” has the meaning given by Article 3(20) of the DAC.

[^f00012]: The Rules and commentary are available at http://www.oecd.org/tax/exchange-of-tax-information/model-mandatory-disclosure-rules-for-crs-avoidance-arrangements-and-opaque-offshore-structures.pdf, a hard copy is available for inspection at the offices of HMRC at 10 South Colonnade, 9th Floor, Canary Wharf, London E14 4PU.

[^f00013]: 2010 c. 8. Chapter 3 has been amended by paragraphs 2 to 5 of Schedule 2 to the Finance Act 2012 (c. 14) and paragraphs 37 and 40 of Schedule 15 to the Finance (No 2) Act 2017 (c. 32).

[^f00014]: The Transfer Pricing Guidelines are available at http://www.oecd.org/tax/transfer-pricing/oecd-transfer-pricing-guidelines-for-multinational-enterprises-and-tax-administrations-20769717.htm; a hard copy is available for inspection to registered readers free of charge at the British Library in the library’s reading rooms, registration for a readers pass is also free of charge (further information can be found at the British Library’s website at https://www.bl.uk/visit/reading-rooms).

[^f00015]: 2003 c. 1.

[^f00016]: Section 11 of TCEA 2007 was amended by paragraph 5 of Schedule 2 to the Crime and Security Act 2010 (c. 17), paragraph 130 and 131 of Schedule 19 to the Data Protection Act 2018 (c. 12) and sections 116(1) and 181I(1) of Tax Collection and Management (Wales) Act 2016 (2016 anaw 6).

[^f00017]: 1970 c. 9. Part 5 of the Act contains provisions relating to appeals.

[^f00018]: Section 50(6) to (8) of the Taxes Management Act 1970 was amended by section 67(2) of the Finance (No. 2) Act 1975 (c. 45), paragraph 17 of Schedule 19 to Finance Act 1994 (c. 9), paragraph 7 of Schedule 19 to the Finance Act 1996 (c. 8), paragraph 30 of Schedule 29 to the Finance Act 2001 (c. 9) and S.I. 2009/56.

Editorial notes

[^key-ba79a4644a10f128d6dab46c1f40b4b4]: Regulations revoked (28.3.2023) by The International Tax Enforcement (Disclosable Arrangements) Regulations 2023 (S.I. 2023/38), regs. 1, 21(a) (with reg. 5)