SDLTM80980 - Compliance: Opening an enquiry

Time to respond: General outline

The information required should always be requested informally at every stage of an enquiry before considering the use of formal powers.

A formal notice under FA03/SCH10/PARA14 should not be issued unless the purchaser has refused to co-operate with an informal request for information, or has failed to produce some or all of that information within the time shown in the informal request.

The opening letter of an enquiry should contain an informal request for information and should state the date by which it should be produced. A compliance caseworker is encouraged to agree a time limit for response (normally 30 days as a minimum) but should show a flexible approach where warranted. A longer time might be allowed if, for example

• the purchaser is known to be abroad, or to be incapacitated in circumstances which will prevent compliance within 30 days
• a final figure has been requested to replace a provisional one included in the land transaction return, and it is known that it can not be supplied within 30 days

The date by which the information is to be provided should always be stated. Do not use vague expressions such as `as soon as possible', or `at your earliest convenience'.

In some cases, for example where the value attributed to non-chargeable assets in a commercial transaction appears to be inflated, a compliance caseworker may wish to ask to see the information at the purchaser's premises.

In this case, the assets could actually be viewed. If so the proposals should be set out in the opening letter making it clear that this is subject to the purchaser's agreement.

The general principle that information should be requested informally in the first instance at all stages of the enquiry should always be followed.

It may sometimes be considered that the information required can be more conveniently obtained over the telephone. This approach may be appropriate in the case of an un-represented purchaser, or where the information needed is fairly limited and straightforward.

There is no objection to the adoption of this approach in suitable cases, either at the commencement of the enquiry or at any subsequent stage, as long as it is remembered that a formal written notice of intention to enquire at the outset of the enquiry is issued.

If information over the telephone or in person is unobtainable, a follow up of the original request should be made by the compliance caseworker in writing. In these circumstances the purchaser should usually be contacted informally requesting the information, and only issue a formal FA03/SCH10/PARA14 notice later if the information is not forthcoming.

It would not normally be appropriate to request extensive or complex information over the telephone.