Income Tax Act 2007 section 257SG

Power to require information in section 257SE or 257SF cases

Section 257SG gives HMRC the power to demand information from a person where an officer believes that required notifications relating to social investment tax relief have not been given, or where certain transactions fell just below the reporting threshold.

• HMRC can act where a person has failed to give a required notice under the social investment relief reporting rules after a relevant event has occurred.
• The power also applies where value has been given or received that would have triggered a reporting obligation but for the amount being treated as an insignificant receipt.
• Similarly, HMRC can intervene where a repayment of share capital was made or received that escaped the reporting requirement only because it was treated as an insignificant payment.
• Any notice issued by HMRC requiring information must allow the person at least 60 days to respond.