Legislation – Finance Act 2026

have been, or are likely to be, marketed as a means by which a person may seek a particular tax advantage if there is no realistic prospect that the arrangements will result in the tax advantage, or

are of a kind specified in regulations under subsection (2).

have been, or are likely to be, marketed as a means by which a person may seek a particular tax advantage,

are unlikely to result in the tax advantage, and

are likely to cause harm to participants.

a large number of participants;

participants that are not independently advised;

participants with otherwise straightforward tax affairs;

mass-marketing;

standardised implementation documents;

promoters that are unknown to, or not able to be contacted by, participants.

providing examples or illustrations;

such other means as the Commissioners consider appropriate.

communicates information with a view to encouraging another person to implement the arrangements or part of the arrangements,

makes the arrangements available for implementation by another person,

in circumstances where the arrangements have been implemented by another person, organises or manages any aspect of the arrangements, or

arranges (whether directly or indirectly) for another person or persons to take the steps above.

providing goods or services on commercial terms in circumstances where the person does not know, and could not reasonably be expected to know, that the goods or services are being procured or used for the purposes of arrangements falling within section 159(1) (prohibition of promotion), or

providing legally privileged advice or legally privileged information.

Parliament is dissolved or prorogued, or

the House of Commons is adjourned for more than four days.

affect the validity of anything previously done under the regulations, or

prevent the making of new regulations.

£1,000,000, and

£5,000 for each person who participated in the arrangements.

notify the person of the fact that the authorised officer considers subsection (1) to apply, and

allow the person 30 days from the date of notification to make representations to HMRC.

the number of persons participating, or targeted to participate, in the arrangements,

the amount of tax that was likely at risk in connection with the arrangements,

whether and to what extent the person cooperated with HMRC, and

whether the wrongdoing was repeated, or continued over an extended period.

on conviction on indictment, to imprisonment for a term not exceeding two years or to a fine or both.

is committed with the consent or connivance of a responsible person, or

is attributable to the neglect of a responsible person,

in relation to a partnership, a partner or a person purporting to act in that capacity.

in breach of section 236B of FA 2014 (effect of stop notices), or

in breach of section 159(1) (prohibition of promotion of certain tax avoidance arrangements).

the name of the person,

a summary of the officer’s reasons for coming to the conclusion certified, including a description of the arrangements and promotion, and

information about how the person may make representations to HMRC (see subsection (4)(b)).

provide the certified promoter with a copy of the certification, and

allow the certified promoter 30 days from the date of provision to make representations to HMRC.

the person (the “recipient”) is providing goods or services to a certified promoter (the “target”), and

the goods or services are being procured or used wholly or partly in connection with the promotion of arrangements in respect of which the target is certified.

stop providing some or all of the goods or services,

provide the goods or services subject to specified conditions, or

take specified steps in relation to the provision of the goods or services.

the goods or services in respect of which it is issued,

the requirements applicable under subsection (3), and

the time by which the recipient must comply with the requirements under subsection (3).

takes precedence over any statutory or regulatory requirement to provide a period of notice before terminating or modifying a contract.

require the recipient to monitor or assess whether or how particular goods or services are being procured or used in connection with the promotion or arrangements,

restrict the provision of services that provide access to the internet, or

restrict the provision of legal or auditing services.

identify the target referred to in section 167(1);

give reasons for the suspicion referred to in subsection (1);

allow the recipient of the notice a period of 30 days from the date of the notice to make representations to HMRC.

any obligation of confidence owed by the person making the disclosure, or

any other restriction on the disclosure of information (however imposed).

the target identified in the notice, or

any person who might reasonably be expected to disclose the existence or contents of the notice to the target.

information relating to the target identified in a promoter action notice to the recipient of the notice, or

information relating to the target identified in a notice issued under section 168 (preliminary notices) to the recipient of the notice.

may use it only for the purpose for which it was disclosed, and

may not further disclose it without the consent of HMRC (which may be general or specific).

is specified in the disclosure, or

can be deduced from it,

the recipient is not providing the goods or services specified in the notice to the target identified in the notice;

the goods or services are not being used wholly or partly in connection with the arrangements referred to in section 167(1).

state the ground of appeal, and

be given in writing to HMRC before the end of the period of 30 days beginning with the day on which the promoter action notice was issued.

fails to comply with the notice, and

does so without reasonable excuse.

notify the recipient of the fact that the authorised officer considers subsection (1) to apply, and

allow the recipient 30 days from the date of notification to make representations to HMRC.

the likely cost to the recipient of complying with the notice;

any benefit for the recipient of not complying with the notice;

whether and to what extent the recipient cooperated with HMRC or made efforts to comply with the notice.

a penalty under section 171 has been imposed on a recipient of a promoter action notice, and

notice of appeal against the penalty can no longer be given or, if notice has been given, the appeal has been determined or withdrawn.

the recipient’s name (including any trading name, previous name or pseudonym);

any address used by the recipient;

any other information that the authorised officer considers appropriate for the purposes of identifying the recipient or their business;

details of the recipient’s failure to comply;

details of the penalty imposed on the recipient under section 171.

notify the recipient of their intention to publish, including the information that they intend to publish, and—

allow the recipient 30 days from the date of notification to make representations to HMRC.

failed to comply with the notice, and

did so without reasonable excuse.

the recipient’s name (including any trading name, previous name or pseudonym);

any address used by the recipient;

any other information that the authorised officer considers appropriate for the purposes of identifying the recipient or their business;

details of the recipient’s failure to comply;

details of any penalty imposed on the recipient under section 171;

any other information that the authorised officer considers appropriate for the permitted purpose.

a current or future investigation into the failure referred to in subsection (1), or

any other action taken, or to be taken, by the person in relation to that failure.

may use it only for the purpose for which it was disclosed, and

may not further disclose it without the consent of HMRC (which may be general or specific).

is specified in the disclosure, or

can be deduced from it,

contravening an anti-avoidance enactment,

connected to a person who is or has been contravening an anti-avoidance enactment, or

connected to arrangements by reference to which a person is or has been contravening an anti-avoidance enactment.

A is a director, manager, secretary or other officer or employee of B,

A is a member of, or partner in, B,

A is a trustee, settlor, beneficiary or administrator of a trust in respect of which B is a trustee, settlor, beneficiary or administrator, or

A is accustomed to acting in accordance with B’s directions or instructions.

to any extent involved in making the arrangements available for implementation by another person,

to any extent involved in the organisation or management of the arrangements, or

directly or indirectly benefiting from the arrangements.

Part 7 of FA 2004 (disclosure of tax avoidance schemes);

Part 5 of FA 2014 (promoters of tax avoidance schemes);

Schedule 16 to F(No.2)A 2017 (penalties for enablers of defeated tax avoidance);

Schedule 17 to F(No.2)A 2017 (disclosure of tax avoidance schemes: VAT and other indirect taxes);

Chapter 1 of this Part (prohibition on promotion of certain tax avoidance arrangements).

sections 8ZF and 8ZG of the Company Directors Disqualification Act 1986 (disqualification for promoting tax avoidance);

Schedule 13 to FA 2020 (joint and several liability);

section 85 of FA 2022 (winding up petitions by an officer of HMRC);

section 86 of FA 2022 (publication by HMRC of information about tax avoidance schemes);

sections 87, 88 and 89 of FA 2022 (freezing orders etc);

Schedule 13 to FA 2022 (penalties for facilitating avoidance schemes involving non-resident promoters);

Chapter 2 of this Part (promoter action notices).

monitoring the compliance of the connected person with an anti-avoidance enactment, or

HMRC taking, or considering whether HMRC could take, action against the connected person under an anti-avoidance enactment.

monitoring the compliance of a connected person with an anti-avoidance enactment, or

HMRC taking, or considering whether HMRC could take, action against a connected person under an anti-avoidance enactment.

allow the intended recipient reasonable opportunity to make representations to HMRC.

the agreement of the connected person identified in the notice, or

the approval of the tribunal.

a copy of the notice, and

a summary of the officer’s reasons for requiring the information.

monitoring the compliance of an unidentified connected person with an anti-avoidance enactment, or

HMRC taking, or considering whether HMRC could take, action against an unidentified connected person under an anti-avoidance enactment.

a connected person whose identity is not known to the officer, or

a class of persons whose individual identities are not known to the officer but, of which, one or more members is a connected person.

the intended recipient of the notice could identify the unidentified connected person by reference to information provided by the officer, and

the recipient obtained the identifying information in the course of a business.

the tribunal, or

an authorised officer of Revenue and Customs.

monitoring the compliance of a connected person with an anti-avoidance enactment, or

HMRC taking, or considering whether HMRC could take, action against a connected person under an anti-avoidance enactment.

a copy of the notice, and

a summary of the officer’s reasons for requiring the information.

the information that the recipient is required to provide;

the form in which, and the means by which, the information is to be provided;

a reasonable period within which the information is to be provided;

the provision under which the notice is issued;

whether the notice is issued with the approval of the tribunal.

the connected person to whom the notice relates,

in the case of a notice under section 181, members of the class of persons to which the notice relates,

any person who might reasonably be expected to disclose the existence or contents of the notice to the connected person or members of the class, or

any other person.

complying with the notice, or

seeking legal advice.

the requirement is withdrawn in accordance with subsection (4), or

the period is extended in accordance with subsection (5).

extend the period during which a requirement imposed under subsection (1) has effect by a period of 12 months beginning with the day after the last day of the previous period of 12 months, and

do so on one or more occasions.

the officer considers that there are reasonable grounds for believing that failure to extend the period might prejudice the investigation of tax avoidance, and

information that relates to the conduct of a pending tax appeal or appeal against a decision under an anti-avoidance enactment;

personal records (as defined in section 12 of the Police and Criminal Evidence Act 1984) or information contained in such records, except that a notice may require a person to produce a redacted version of a document omitting any information that would otherwise make it personal records;

journalistic material (as defined in section 13 of that Act) or information contained in such material;

information in respect of a which a claim to legal professional privilege or, (in Scotland) to confidentiality of communications as between a client and professional legal advisor, could be maintained by the person in legal proceedings.

a notice under section 182 (identification), or

fails to comply with the notice, or

in purporting to comply with the notice, carelessly or deliberately provides inaccurate information.

the person conceals, destroys or otherwise disposes of the information.

after the end of the period of six months beginning with the day on which they were last notified under section 180(3) in respect of the information, or

after an information notice has been issued to the person in respect of the information.

is committed with the consent or connivance of a responsible person, or

is attributable to the neglect of a responsible person,

in relation to a partnership, a partner or a person purporting to act in that capacity.

fails to comply with the notice, or

in purporting to comply with the notice, carelessly or deliberately provides inaccurate information.

occurred with the consent or connivance of a responsible person, or

is attributable to the neglect of a responsible person,

a reference to carelessness is a reference to a failure to take reasonable care, and

“responsible person” has the same meaning as in section 191.

fails to comply with the notice, and

does so without reasonable excuse.

in relation to a notice under section 183 (financial institutions), £300;

otherwise, £5,000.

in relation to a notice under section 183 (financial institutions), an amount not exceeding £60;

otherwise, an amount not exceeding £1,000.

notify the recipient of the fact that the officer considers subsection (1) or (3) to apply, and

allow the recipient a period of 30 days beginning with the date of notification to make representations to HMRC.

is required to provide information under the notice issued, and

the person conceals, destroys or otherwise disposes of the information.

after the end of the period of 6 months beginning with the day on which they were last notified under section 180(3) in respect of the information, or

after an information notice has been issued to the person in respect of the information.

in relation to a notice under section 183 (financial institutions), £300, or

otherwise, £20,000.

in purporting to comply with the notice, carelessly or deliberately provides inaccurate information, or

in relation to a notice under section 183 (financial institutions), £3,000 for each inaccuracy, or

otherwise, £20,000 for each inaccuracy.

notify the recipient of the fact that the officer considers subsection (1) to apply, and

allow the recipient a period of 30 days beginning with the date of notification to make representations to HMRC.

fails to comply with a requirement imposed under section 185 (restriction on disclosure of notices), and

does so without reasonable excuse.

in relation to a notice under section 183 (financial institutions), £1,000, or

otherwise, £10,000.

a penalty has been imposed on a person under section 194(1) for failure to comply with a notice,

the person, without reasonable excuse, continues to fail to comply with the notice,

the Upper Tribunal decides that it is appropriate for a penalty to be imposed under this section.

it continues beyond the end of the period of six months beginning with the day on which the penalty referred to in subsection (1)(a) was imposed, or

in any other case, the day on which the person became liable to a penalty under section 194(1).

a penalty has been imposed under section 194(3) (daily penalties for continuing failure) in respect of the failure,

the failure continues after the end of the period of 30 days beginning with the day on which notification of the penalty under section 194(3) was issued (see paragraph 46 to Schedule 36 to FA 2008), and

the officer has notified the person of their intention to apply to the tribunal under this section.

the amount of the increased penalty, and

the day from which it is to be applicable.

from the day determined by the tribunal, and

as though the figure in that subsection were replaced with the amount of the increased penalty.

in relation to a notice under section 183 (financial institutions), £1,000, or

otherwise, £5,000.

the likely cost to the person of complying with the notice,

any benefits to the person of not complying with the notice, and

any benefits to anyone else resulting from the person’s non-compliance.

the amount of the increased penalty, and

the day from which it is to be applicable.

a penalty under sections 194 (failure to comply) and 195 (concealing information) as it applies to a penalty under paragraphs 39 and 40 of the Schedule;

a penalty under section 196 (inaccurate information) as it applies to a penalty under paragraph 40A of the Schedule.

a decision of an officer of Revenue and Customs that a penalty is payable under sections 194 to 197, and

a decision of an officer of Revenue and Customs as to the amount of a penalty under sections 194 to 197.

a reference to providing information includes a reference to producing documents;

a reference to a document is a reference to anything in which information of any description is recorded.

HMRC have notified a lawyer that they intend to publish, or are considering publishing, information identifying the lawyer under a provision listed in subsection (5), and

the representations are true, and

the content of privileged communications would be sufficient (whether alone or with other information) to demonstrate this on the balance of probabilities.

section 316C of FA 2004 (disclosure of tax avoidance schemes);

paragraph 36 of Schedule 17 to F(No.2)A 2017 (disclosure of tax avoidance schemes: VAT and other indirect taxes);

section 86 of FA 2022 (publication of information about tax avoidance schemes).

references to a lawyer are references to a person in respect of whose communications a claim to legal professional privilege, or (in Scotland) to confidentiality of proceedings as between client and professional legal adviser, could be maintained in legal proceedings, and

a communication is “privileged” if such a claim could be maintained in respect of it.

the form of a declaration made under subsection (2),

the information to be included in a declaration,

when and how a declaration is to be provided.

are to be made by statutory instrument, and

may make different provision for different purposes.

a person (“A”) provides a declaration under a provision listed in section 209(5) which is made under section 209(2) by another person,

the declaration includes incorrect information, and

A knew, or could reasonably have been expected to have known, that the information was incorrect,

the person has incurred a penalty under section 210 in relation to a declaration, and

the penalty has become final.

the person’s name (including any trading name, previous name or pseudonym);

any address used by the person;

any other information that the authorised officer considers appropriate for the purposes of identifying the person or their business;

details of the arrangements to which the declaration relates including the nature of the person’s involvement in those arrangements;

details of the penalty imposed on the person under section 210.

notify the person that they are considering doing so,

give the person 30 days from that notification in which to make representations about whether it should be published, and

have regard to any representations received.

omit subsection (4A);

omit sub-paragraph (4A);

omit subsection (3)(b) (and the “or” before it);

in subsection (6), after “representations” insert “and any declaration”.

omit section 98C (notifications under Part 7 of FA 2004);

in section 100(2) (determination of penalties by an officer of the Board), omit paragraph (f);

in section 103A (interest on penalties), omit “(other than section 98C)”.

in section 313(4), for “98C of the Taxes Management Act 1970” substitute “315”;

in the cross heading before paragraph 39 omit “(apart from paragraph 26)”;

omit paragraph 45 and the cross heading before paragraph 45;

in the italic cross heading before paragraph 46, omit “under paragraph 39(1)(b) or 44”;

in paragraph 46(1), for “39(1)(b) or 44” substitute “39 or 40”;

in paragraph 49(2)(a), for “prescribed period mentioned in paragraph 41” substitute “period mentioned in paragraph 39(2)(b)”.

in sub-paragraph (3)(a), for “the tribunal” substitute “an authorised officer”;

in paragraph (a), at the end insert “or to a penalty under that Part”;

omit subsection (8).

in paragraph (3), in Table 1, in the first row, for “and 13(2)” substitute “, 13(2) and 13A(2)”.