Controversial measures to tackle mass marketed avoidance are going through Parliament. They seek to remove cash flow and perceived procrastination advantages under the current regime for resolving tax disputes. The measures give HMRC the ability to issue ‘follower notices’, where it believes that there is a final ‘judicial ruling which is relevant to the chosen arrangements’; and ‘accelerated payment notices’, requiring the taxpayers to make upfront payments of the disputed tax, pending the outcome of an enquiry or tax appeal. A payment notice may be issued: following a follower notice; if the ‘chosen tax arrangements’ are ‘DOTAS arrangements’; or if a GAAR counteraction notice is or has been given. Taxpayers who expect to be affected by these measures need to consider their options, including any grounds for challenge.
