SVM116140 - Case Selection, Handling and Settlement: Practice - Reminding - Before you Remind

Think about possible reminding action before you even send your letter for which a reminder may become necessary.

Ask yourself the following questions:

• Have you got a clear picture in your own mind of what you want and why you want it?
• Have you considered all internal/external sources for information or documents that you require?
• Do you need that information or document? Remember, the taxpayer or agent will spend time and money obtaining it for you and you may have to justify your request before an independent Tribunal.
• Ask yourself: Is the information or document reasonably required to check the person’s tax position and is it proportionate to the tax at risk?
• Have you requested all the information or documents you need? Ensure that your request is not only in relation to that which is reasonably required and proportionate to the tax at risk, but make sure too that it is comprehensive.
• You may not always know whether the information or documents you are requesting will affect a person’s tax position until you get it. In such circumstances, you will be expected to show, through your completed Record of Actions, why obtaining the information or documents will help you to decide what the tax position is and how you can correct it if necessary.
• Do not request information or documents informally that you would not be permitted to request formally.
• Have you considered cost-effectiveness? Are you certain that the value offered is unacceptable even on a without prejudice basis?
• Are you clear as to the amount of tax involved?
• Has the Inspector warned you that the agent is habitually dilatory or never replies to HMRC correspondence until forced to do so through the use of formal powers? If so, consider making your initial request for information or documents using the formal information powers under Schedule 36 Finance Act 2008.

Your letter for which a reminder may become necessary should itself state the date (not normally more than 40 days ahead) by which you expect a reply. You need approval from your team leader at grade 7 level to set a period for a reply that exceeds 40 days.