What does paragraph 8 of Schedule 2 to the Commissioners for Revenue and Customs Act 2005 do?

Paragraph 8 disapplies section 10 of the Finance Act 1985, which dealt with computer records, where the function in question relates to a matter covered by section 7 of the 2005 Act. This ensures HMRC's modern confidentiality obligations take precedence over older computer records rules when handling taxpayer information.

Why are the Finance Act 1985 computer records provisions set aside by the 2005 Act?

The Finance Act 1985 contained older rules on how computer records could be used and treated as evidence. The 2005 Act established a modern confidentiality framework under section 7. Paragraph 8 ensures that when HMRC handles confidential taxpayer data, the updated confidentiality rules govern data handling rather than the outdated 1985 provisions.

How does paragraph 8 affect accountants dealing with HMRC computer records?

For accountants, the practical effect is that where HMRC handles confidential taxpayer data held in computer records, the rules on management and disclosure follow the 2005 Act's provisions rather than the earlier 1985 rules. This ensures a consistent, up-to-date approach to data handling and confidentiality across all HMRC operations.

Commissioners for Revenue and Customs Act 2005 section 8

Q: What is section 7 of the Commissioners for Revenue and Customs Act 2005?

Section 7 of the 2005 Act establishes the duty of confidentiality that applies to information held by HMRC. It governs how taxpayer information must be protected and restricts disclosure. When HMRC deals with data falling within this section, the confidentiality framework under the 2005 Act takes priority over earlier legislative provisions.

Finance Act 1985 (c. 54)

Section 8 of Schedule 2 disapplies the computer records provisions of the Finance Act 1985 in relation to functions covered by the confidentiality rules in section 7 of the Commissioners for Revenue and Customs Act 2005.

Section 10 of the Finance Act 1985 deals with the use and admissibility of computer records
This provision is switched off where a function relates to a matter covered by section 7 of the 2005 Act
Section 7 of the 2005 Act governs the confidentiality of taxpayer information held by HMRC
The effect is to ensure that HMRC's confidentiality obligations take precedence over the older computer records rules

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