Taxes Management Act 1970 section 2A

Keeping and preserving of records [TMA 1970 Sch 1A para 2A]

Section 2A sets out the requirements for keeping and preserving records in support of tax claims, including how long records must be retained, the forms in which they may be kept, and the penalties for non-compliance.

• Anyone wishing to make a tax claim must keep all records needed to support a correct and complete claim, and preserve them until HMRC's enquiry window has closed or any enquiry into the claim has been completed, whichever is later.
• HMRC may make regulations specifying which records (including supporting documents such as accounts, books, deeds, contracts, vouchers, and receipts) must be kept, and records may generally be preserved in any form or by any means, subject to certain exceptions for specified record types.
• A person who fails to keep or preserve the required records may face a penalty of up to £3,000, unless the missing records fall within certain specified categories and an HMRC officer is satisfied that the relevant facts can be proved by other documentary evidence.
• Regulations under this provision may make different rules for different cases and may refer to requirements set out in HMRC published notices.