16 August 2010
Notice ET1
In the same way that HMRC may require the payment of an amount of security if they consider there is a risk of tax being unpaid, a similar security may be required in respect of environmental taxes: landfill tax, aggregates levy, climate change levy and insurance premium tax.
Notice ET1 explains that a notice of requirement may be issued to taxpayers where:
- there has been a failure to comply with tax obligations;
- a business is run by disqualified directors or undischarged bankrupts;
- there has been a previous prosecution or penalty for a tax offence; or
- other persons concerned in the current registration of the business are connected with past failures to pay tax.
Other circumstances may also require security.
