HMRC information notices under Schedule 36
An information notice is HMRC's formal power to demand information and documents. It carries penalties, but it also has limits, and parts of many notices can be appealed. The time to use those rights starts when the notice is given.
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When HMRC wants information or documents to check someone’s tax, it usually asks first. If the request is not answered, or HMRC decides an informal request will not work, it can use the formal power in Schedule 36 to the Finance Act 2008, often written as Sch 36 FA 2008. A notice under that power is a legal requirement, not a request, and failing to comply can lead to penalties.
The same schedule also sets out what HMRC cannot ask for, which parts of a notice can be appealed, and when HMRC can inspect business premises. This guide explains those rules, and what to do if a notice has arrived.
What is a Schedule 36 information notice?
An information notice is a written notice from an HMRC officer requiring a person to provide information, produce documents, or both. The officer can give one if the information or documents are reasonably required to check the person’s tax position, or to collect a tax debt they owe (see our guide to HMRC debt collection and enforcement).
“Tax position” is wide. It covers past, present and future liability to tax, penalties, and claims and elections. The schedule applies to a long list of taxes, including income tax, capital gains tax, corporation tax, VAT and inheritance tax.
HMRC’s guidance to its officers says most requests for information will be informal, and that an officer should normally consider a notice only when an informal request has gone unanswered. There are exceptions: an officer can go straight to a notice where, for example, an informal request is likely to cause unacceptable delay.
A genuine notice tells you what HMRC needs, how and when to provide it, what to do if you disagree, and whether the tribunal has approved it. HMRC’s guidance requires the officer to send its factsheet CC/FS2 with every notice. If you are not sure whether a letter is a notice or an ordinary request, our guide to identifying your HMRC letter explains the difference.
The different kinds of notice
| Notice | Who receives it | What it is for |
|---|---|---|
| Taxpayer notice | The person whose tax is being checked | Checking that person’s own tax position, or collecting their tax debt |
| Third party notice | Someone else, such as a customer, supplier or adviser | Checking the tax position of a taxpayer HMRC can name |
| Financial institution notice | A bank, card issuer or other financial institution | Checking a named taxpayer’s position, or collecting their tax debt |
| Identity unknown notice | Anyone holding information about people HMRC cannot name | Checking the position of a person or class of people; normally needs the tribunal’s approval |
HMRC third party notices
A third party notice cannot be given without either the taxpayer’s agreement or the tribunal’s approval. HMRC says it will normally ask the taxpayer for permission first. You can refuse, but HMRC asks you to say why. The taxpayer must normally be sent a copy of the notice.
The main exception is a notice that asks only for statutory records about the supply of goods or services, or about importing goods in the course of a business. That needs neither the taxpayer’s agreement nor the tribunal’s approval.
Financial institution notices
A financial institution notice needs the agreement of an authorised HMRC officer, but not the taxpayer’s agreement or the tribunal’s approval. The taxpayer must normally be sent a copy and a summary of HMRC’s reasons. The tribunal can remove those requirements if it is satisfied that meeting them might prejudice the assessment or collection of tax.
What “reasonably required” means
Every notice has to meet the same basic test: the information or documents must be reasonably required by the officer to check the tax position, or to collect the debt. HMRC’s guidance tells its officers that they do not need evidence that the material will definitely change the tax due, only that it is reasonably required to carry out the check.
When a return has already been filed
Once a Self Assessment or company tax return has been filed for a period, a taxpayer notice cannot be used to check the income tax, capital gains tax or corporation tax position for that period unless one of a set of conditions is met. The main ones are:
- an enquiry into the return is open, and has not been closed on the matters the notice covers
- an officer has reason to suspect that tax has been under-assessed, or that relief given is excessive, which is the territory of a discovery assessment
- the information is also needed to check another tax, such as VAT, or tax the person must deduct under PAYE or similar schemes
If a notice concerns a year with no open enquiry, it is worth establishing which of these conditions HMRC is relying on. Our page on compliance checks and formal enquiries explains when an enquiry can be opened.
Statutory records and other documents
The most important distinction in any notice is between statutory records and everything else.
Statutory records are the information and documents a person is required by tax law to keep. For a business, that means its ordinary books and records: for income tax, records of all amounts received and spent in the course of the business, with supporting documents such as contracts and receipts; for VAT, the records VAT law requires. Information stops being a statutory record when the period for keeping it has ended.
Business records count as statutory records as soon as they are created. Records that do not relate to a business, but must be kept for tax, become statutory records only once the tax year or accounting period they relate to has ended.
It matters because there is no right of appeal against a requirement in a taxpayer notice to produce statutory records. Other information and documents can generally be appealed.
How to appeal an information notice
Which notices can be appealed, and on what grounds, depends on the type:
- Taxpayer notice. You can appeal against the notice or any requirement in it, except a requirement to produce statutory records, and except where the tribunal approved the notice.
- Third party notice. The person who receives it can appeal only on the ground that complying would be unduly onerous. There is no appeal against a requirement for the taxpayer’s statutory records, or if the tribunal approved the notice.
- Statutory records about supplies or imports only. A notice that asks only for statutory records about the supply of goods or services, or importing goods in the course of a business, cannot be appealed.
- Financial institution notice. HMRC’s factsheet says it cannot be appealed.
An appeal must be in writing, must state the grounds, and must be sent to the officer who gave the notice, within 30 days beginning with the date the notice was given.
As with other direct tax appeals, HMRC can offer a review, and the appeal can go to the First-tier Tribunal. The tribunal can confirm, vary or set aside the notice or any requirement in it, and its decision is final: there is no further appeal. If the notice is confirmed or varied, you must comply within the period the tribunal sets or, if it sets none, within a reasonable period that HMRC then specifies in writing.
HMRC’s guidance says that someone who appeals against a notice does not have to comply with it until the appeal is decided, and that officers should not charge a penalty during the appeal period or while an appeal is open. If only some requirements are appealed, the rest must still be met: statutory records, for instance, must be produced even while other parts are under appeal. Our guide to appealing an HMRC decision explains reviews and the tribunal more generally.
When the tribunal approves a notice
HMRC can ask the First-tier Tribunal to approve a taxpayer notice or third party notice before it is given. The application must be made by, or with the agreement of, an authorised officer, and the tribunal must be satisfied that giving the notice is justified.
Before approval, the person who will receive the notice must normally have been told that the information is needed and given a reasonable opportunity to make representations to HMRC, and the tribunal must be given a summary of them. For a third party notice, the taxpayer must also be given a summary of HMRC’s reasons. Those steps can be skipped where the tribunal is satisfied they might prejudice the assessment or collection of tax. HMRC’s factsheet on third party notices says neither the taxpayer nor the third party can attend the approval hearing itself.
Approval has three consequences. The notice must say it has been approved. There is no right of appeal against it. And concealing or destroying a document it asks for becomes a criminal offence. The tribunal’s decision to approve is itself final. If HMRC writes to say it intends to seek approval, that letter is the opportunity to comment on what is being asked for.
What HMRC cannot ask for
Even a notice that meets the “reasonably required” test cannot require:
- Documents that are not in your possession or power. HMRC’s factsheet puts it as information you do not have and cannot get, or get copies of, from whoever holds it.
- Old documents. A document that originated wholly more than six years before the date of the notice can be required only by, or with the agreement of, an authorised officer. A document with some entries inside the six years, such as a cash book, is not covered by this restriction.
- Information about someone who has died, more than four years after the death. Draft legislation published by HMRC on 13 July 2026 would allow later notices with the tribunal’s approval. It is not yet law.
- Material about a pending tax appeal, so far as it relates to the conduct of the appeal.
- Privileged communications. HMRC describes these as communications between lawyers and their clients about getting or giving legal advice.
- A tax adviser’s own advice papers. A notice cannot require a tax adviser to provide information about, or produce their own documents recording, communications with the client (or the client’s other advisers) made to give or obtain tax advice.
- A statutory auditor’s own audit papers, and information held for the audit.
- Journalistic material.
- Personal records about anyone’s physical, mental, spiritual or personal welfare. A notice can still require such documents with the welfare information left out.
Two limits on these protections catch people out. First, the tax adviser and auditor protections do not cover information explaining a return, accounts or other document the adviser or accountant helped a client prepare for, or send to, HMRC (unless HMRC has already been given that information). Second, HMRC’s guidance says the tax adviser protection applies to notices given to the adviser, not to the taxpayer, although it also says the advice a person received is not usually reasonably required. Client confidentiality on its own is not a ground for refusing a notice.
Do I have to give HMRC my bank statements?
It depends on how HMRC asks, and whose account it is.
If HMRC asks informally, there is no legal requirement to send them. But HMRC takes account of how much help you give when it sets any penalty: its factsheet says not giving everything asked for affects its view of the quality of any disclosure.
If a taxpayer notice requires them, you must comply, unless you appeal a requirement you are entitled to appeal. For a business, bank statements are among the proof HMRC’s record-keeping guidance tells the self-employed to keep, so they are likely to be statutory records, with no right of appeal. A purely personal account is less clear-cut: its statements are statutory records only if you were required to keep them to make a correct return. If they are not, the requirement can be appealed, unless the tribunal approved the notice.
HMRC can also go to the bank. Its guidance tells officers to ask the taxpayer to obtain statements for their own accounts first, and never to approach a bank informally. Failing that, it can give the bank a financial institution notice. The bank cannot appeal it, and you will normally receive a copy and a summary of HMRC’s reasons.
Inspections of business premises
Schedule 36 also lets an officer enter a person’s business premises and inspect the premises, the business assets there and the business documents there, if that is reasonably required to check that person’s tax position. Letting property counts as a business for this purpose. The business documents that can be inspected are statutory records; anything else needs an information notice.
Homes are not covered, except for the parts used for the business. The power never extends to any part of a property used solely as a dwelling. HMRC says it will only ask to visit your home if you run your business from there, and its guidance tells officers that a director or employee simply working from home does not give them power to visit. A separate power allows officers to enter premises, including homes, to value property for some taxes, after agreeing a time in writing or with the tribunal’s approval.
An inspection can take place:
- at a time the occupier agrees
- at any reasonable time, if the occupier has had at least 7 days’ notice
- without notice, if it is carried out by, or with the agreement of, an authorised officer; the officer must then hand over, or leave, a written notice stating the consequences of obstructing the inspection
HMRC’s factsheet on unannounced visits says you can seek advice, but that it will not delay the inspection while you do. The penalty for refusing applies only to deliberately obstructing an inspection the tribunal has approved; if an inspection is refused, HMRC says it can ask the tribunal to approve it. Officers can copy documents and remove them for a reasonable period. You can ask for a receipt, and for a free copy of anything you reasonably need.
VAT inspections and PAYE compliance reviews use the same powers; our pages on each explain how a visit usually runs.
How long you have to comply
A notice must be complied with within the period, and by the means and in the form, reasonably specified in the notice. There is no fixed minimum. HMRC’s guidance gives 30 days as the standard period for documents sent by post, with longer for large requests or archived records and, exceptionally, much shorter periods for simple information, or for statutory records kept at premises an officer is visiting.
Copies are normally acceptable unless the notice, or a later written request, asks for originals. HMRC cannot require documents to be produced at a place used solely as a home.
If more time is needed, ask the officer before the deadline, giving the reason. HMRC’s guidance tells officers to consider any reasonable request carefully, and there is no penalty if you comply within any extra time an officer allows. Keep the two dates apart: the appeal deadline, 30 days from the date the notice was given, is separate from the date for compliance, and may come first.
Penalties for not complying
| Penalty | Amount | When it can apply |
|---|---|---|
| Initial penalty | £300 | Failing to comply with a notice, or deliberately obstructing a tribunal-approved inspection |
| Daily penalties | Up to £60 a day | If the failure continues after the initial penalty is imposed |
| Tax-related penalty | Set by the Upper Tribunal | The most serious cases, where HMRC believes the failure has significantly reduced the tax paid, or likely to be paid |
| Inaccurate information | Up to £3,000 per inaccuracy | A careless or deliberate inaccuracy in what is provided, or one known about and not corrected |
HMRC’s guidance tells officers to consider daily penalties 30 days after the initial penalty, and every 30 days after that. A tax-related penalty needs an application by HMRC to the Upper Tribunal within 12 months, and is decided by reference to the tax that has not been, or is not likely to be, paid. It comes on top of the other penalties.
No penalty for failing to comply is due if there is a reasonable excuse. HMRC’s examples include serious illness, a bereavement and records lost in a fire or flood. A lack of money is not an excuse unless it was caused by events outside your control, and relying on someone else is not an excuse unless you took reasonable care. A penalty can be appealed, in writing to HMRC, within 30 days of the penalty notice.
Penalties are not the only cost. How fully someone helps during a check also affects any penalty for errors in their returns; our guide to penalties for careless and deliberate errors explains how that works.
Concealing or destroying documents
Concealing, destroying or disposing of a document that is the subject of an information notice, or that HMRC has told you is likely to be, is treated as failing to comply, so the same penalties can follow. The rule stops applying once the document has been produced, unless HMRC tells you in writing to keep it available.
It becomes a criminal offence where the notice was approved by the tribunal, or where HMRC has told you in writing that a document is likely to be covered by a notice and that it intends to seek the tribunal’s approval. On conviction on indictment, the maximum is two years’ imprisonment, a fine, or both.
If records have already been lost, say so. HMRC’s guidance tells officers to set aside the relevant part of a notice where they are satisfied that a document does not exist. Knowingly giving HMRC untrue information can lead to a criminal investigation; our guide to criminal and civil investigations explains how HMRC decides between them.
What to do if an information notice arrives
- Check that it is a formal notice. It will usually cite Schedule 36, and should say what is needed and by when, explain how to disagree, and say if the tribunal approved it.
- Note both dates: the date for compliance, and 30 days from the date the notice was given for any appeal.
- Sort the requests. Separate statutory records, which must be produced, from other information and documents, which a taxpayer notice can usually be appealed against.
- Check the protections: the six-year rule for old documents, privilege, advisers’ papers, and whether a filed return without an open enquiry is involved.
- Ask for more time early, in writing, if the deadline is not realistic.
- Keep everything. Do not destroy, alter or tidy away any document the notice covers.
- Make sure what you send is accurate. Each careless inaccuracy can carry a penalty.
- Take advice before you answer if any part of the notice looks too wide.
If a notice has arrived and you are not sure what it requires, contact us with a photo of page one.
Frequently asked questions
Can I refuse to give HMRC information?
You can decline an informal request, although HMRC takes co-operation into account when it sets any penalty. A formal information notice is different: you must comply unless you appeal a requirement you are entitled to appeal, and failing to comply can lead to penalties.
Can HMRC ask my accountant for my records?
It can give your accountant a third party notice, normally with your agreement or the tribunal’s approval. An accountant acting as your tax adviser does not have to hand over their own papers recording advice to you, but material explaining the returns or accounts they prepared for you is not protected in the same way.
Does an information notice mean I am being investigated?
It means HMRC is checking a tax position and wants something formally. Notices are used in ordinary compliance checks as well as larger investigations, and on their own they say nothing about what HMRC has found. Our guide to the signs that HMRC is looking at your affairs explains the different kinds of check.
Can HMRC inspect my home?
Not as a home. The inspection power covers business premises and never any part of a property used solely as a dwelling. If you run a business from home, the parts used for the business can be inspected, and a separate power allows valuation visits.
Sources
- Finance Act 2008, Schedule 36: paragraphs 1 and 2 (taxpayer and third party notices), 3 and 4 (approval and copying), 4A (financial institution notices), 5 and 5A (identity unknown and identification notices), 6 to 8 (notices, compliance and copies), 10 to 13 (inspections), 15 and 16 (copying and removing documents), 18 to 28 (restrictions), 29 to 32 and 34 (appeals), 39 to 50 (penalties), 53 to 55 (offence), 60, 62 to 64 (interpretation)
- Taxes Management Act 1970, section 12B (records to be kept for returns)
- HMRC factsheets CC/FS1a (about compliance checks), CC/FS2 (information notices), CC/FS4 (unannounced visits), CC/FS23 (third party information notices) and CC/FS60 (financial institution notice) (GOV.UK)
- HMRC Compliance Handbook: CH21700, CH22140, CH22180, CH22220, CH22280, CH22300, CH23100, CH23540, CH24320, CH26680, CH26720, CH221000, CH223100, CH223200, CH223700, CH223800, CH229300, CH229950, CH254530, CH270200 and CH270400
- HMRC, “Business records if you’re self-employed” (GOV.UK)
- HMRC, “Reforming information powers and modernising computer records law”, draft legislation and policy paper, 13 July 2026 (GOV.UK)
This guide is general information, not advice on any particular case.