Guidance on Complying with RSTPA Information Notices and Associated Penalties
Complying with a Revenue Scotland information notice
A Revenue Scotland information notice is a formal legal requirement to provide information or documents. You usually can provide copies unless the notice asks for originals or Revenue Scotland later reasonably requests them, but you must also make sure your response is accurate and that relevant documents are preserved.
- Documents must be produced at a place agreed with Revenue Scotland or at a place it reasonably specifies, as long as that place is not used solely as a home.
- Providing a copy will normally be enough unless the notice requires the original document or Revenue Scotland later asks for the original within a reasonable time and by reasonable means.
- Handing over a document to comply with the notice does not, by itself, affect any lien or security interest claimed over that document.
- Failure to comply can lead to penalties, and penalties may also apply if inaccurate information or documents are provided carelessly or deliberately.
- Concealing, destroying or disposing of documents that are, or may be, covered by an information notice can lead to penalties and may sometimes amount to a criminal offence.
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Guidance on Complying with RSTPA Information Notices and Associated Penalties
Complying with a Revenue Scotland information notice
This page explains what it means to comply with an information notice issued by Revenue Scotland under the Revenue Scotland and Tax Powers Act 2014. The main points are where documents must be produced, when copies are enough, when originals may be required, and what can happen if you do not comply or if you provide inaccurate material.
What this rule is about
An information notice is a formal notice requiring a person to provide information or documents. This page is about the practical rules for producing documents in response to that notice.
The issue matters because an information notice is not just an informal request. If the notice requires documents, there are legal rules about:
- where the documents must be produced,
- whether a copy is enough,
- when Revenue Scotland can insist on the original, and
- the consequences of non-compliance or inaccurate compliance.
The source material also highlights that documents must not be concealed, destroyed or otherwise disposed of where they are, or may be, the subject of an information notice.
What the official source says
Under sections 132 and 133 of the Revenue Scotland and Tax Powers Act 2014, if an information notice requires a document to be produced, the document must be produced either:
- at a place agreed between you and Revenue Scotland, or
- at a place Revenue Scotland reasonably specifies, provided that place is not used solely as a dwelling.
The source also states that producing a document to comply with the notice does not break any lien claimed over that document. In other words, handing over the document for this purpose does not, by itself, destroy a security interest that someone claims over it.
In general, you may comply by providing a copy of the document. However, that is only true unless:
- the information notice itself requires the original, or
- after issuing the notice, Revenue Scotland later asks for the original.
If Revenue Scotland later asks for the original, it must be provided within the period, at the time, and by the means that Revenue Scotland reasonably requests.
The source goes on to say that failure to comply with an information notice, or with a requirement in it, can lead to a penalty. A penalty may also arise if, in responding to the notice, a person carelessly or deliberately provides inaccurate information or produces a document containing an inaccuracy.
There is also a more serious point. It may be a criminal offence to conceal, destroy or otherwise dispose of a document, or arrange for that to happen, where the document is or may be the subject of a tribunal-approved information notice. Separately, the source says a person may be liable to a penalty for concealing, destroying or disposing of a document, or arranging for that to happen, even if tribunal approval has not been obtained or will not be sought.
What this means in practice
If you receive an information notice requiring documents, you should treat it as a formal legal requirement. The practical starting point is to identify exactly what documents are covered and whether the notice asks for originals or whether copies will do.
If the notice does not require originals, supplying copies will usually satisfy the requirement at that stage. But that may not be the end of the matter. Revenue Scotland can later ask for the originals, and if it does so, you must comply with that later request if it is reasonable.
The rules about place are also important. You do not have to produce documents at a place used solely as a dwelling. Either the place is agreed, or Revenue Scotland must specify a place reasonably.
The reference to a lien matters mainly where documents are held subject to some form of security interest. The legislation makes clear that producing the document to comply with the notice does not, on its own, prejudice that lien.
The penalty risk is not limited to saying nothing. You can also face consequences if you respond but do so inaccurately, and the inaccuracy is careless or deliberate. So compliance means more than sending over papers. It means taking reasonable care that the information and documents provided are accurate.
The warning about concealment or destruction is especially important once you know documents are, or may be, relevant to an information notice. Destroying or disposing of material in that situation can have serious consequences, including possible criminal consequences in some cases.
How to analyse it
A sensible way to deal with an information notice is to work through the following questions.
- What exactly does the notice require? Check whether it asks for information, documents, or both.
- Does it require originals, or can you provide copies? If it is silent, the source indicates that copies are generally acceptable unless Revenue Scotland later requests the originals.
- Where must the documents be produced? Is there an agreed location, or has Revenue Scotland specified one? If specified, is it reasonable and is it somewhere other than premises used solely as a dwelling?
- Are the documents complete and accurate? Consider whether any document contains inaccuracies and whether any explanation is needed.
- Are any of the documents at risk of being lost, altered or destroyed? If so, preserve them immediately.
- Is there a claimed lien over any document? If so, note that production under the notice does not itself break that lien.
- Has Revenue Scotland made a later request for originals? If yes, check the time, period and means requested, and whether those requirements are reasonable.
This framework helps separate three different issues that are easy to confuse: whether you must produce anything at all, whether copies are enough, and whether the way you respond exposes you to penalties.
Example
A company receives an information notice requiring it to produce transaction records. The notice does not expressly require original documents. The company sends scanned copies to Revenue Scotland. At that stage, that may satisfy the requirement to produce the documents.
Later, Revenue Scotland asks to see the original signed agreements and specifies a reasonable time and method for producing them at an office location. The company must then provide the originals in line with that request. If, instead, it ignores the request or destroys one of the agreements, it may face a penalty, and in some circumstances destruction of the document could amount to a criminal offence.
Why this can be difficult in practice
The main difficulty is that compliance is not just a yes-or-no question. A person may think they have complied because they sent copies, but the position can change if Revenue Scotland later reasonably asks for originals.
There can also be factual questions about accuracy. A document may contain an inaccuracy without the person immediately realising it. The source does not say that every inaccuracy leads to a penalty. It refers specifically to inaccuracies provided carelessly or deliberately. That means the person’s conduct and the surrounding facts matter.
Another area of practical difficulty is document preservation. Once a document is, or may be, the subject of an information notice, ordinary document destruction processes can become risky. The source indicates that penalties may apply even where tribunal approval has not been obtained or will not be sought, so the risk is not confined to the most formal type of notice.
Finally, what Revenue Scotland may “reasonably” specify or request will depend on the circumstances. The source gives the legal standard, but whether a particular place, time, period or means is reasonable can be fact-sensitive.
Key takeaways
- If an information notice requires documents, they must be produced at an agreed place or at a place reasonably specified by Revenue Scotland, but not at a place used solely as a dwelling.
- Copies are generally enough unless the notice requires originals or Revenue Scotland later reasonably asks for the originals.
- Failure to comply, careless or deliberate inaccuracies, and concealing or destroying relevant documents can all lead to serious consequences.
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Useful article? You may find it helpful to read the original guidance here: Guidance on Complying with RSTPA Information Notices and Associated Penalties
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