Commissioner General may obtain info
and evidence
In last week’s article in this column, we
noted that the Commissioner General has wide powers to have full and
free access to all buildings, places, computers, books, documents,
records, papers and other information storage devices, and may seize,
retain and remove for inspection or make extracts from or copies of
any such
computer, book, documentary or paper records you may have.
In addition, the Commissioner General may also by notice in writing
require you (whether or not you are a taxpayer) to comply with all or
any of the following requirements: provide information, attend and
give evidence, and produce documents.
The Commissioner General may obtain a wide range of information from
you including, for example, a list of the contents of a locked
safety-deposit box, to determine which documents he should require you
to produce or which evidence you should give.
A company may be required (through its human resource agents) to
provide information, with the notice being addressed either to the
company itself or to the public officer.
It is possible that a notice issued to you may require you to
speculate, or to form an opinion or conclusion.
You may also be obliged to incur expenses in collating and supplying
relevant information in your custody or control at the time you
receive the notice.
You are not required to obtain and provide information that is not
already within your custody or control.
The Commissioner General or any officer authorised by him may require
you to attend and give evidence concerning your income or
assessment of your income or of any other person.
You may be required to give evidence on oath, either verbally or in
writing, and may be required to attend and give evidence before more
than one taxation officer.
A company (although not its human officers or representatives) is
exempt from the requirement to attend and give evidence.
You can claim deduction on any expense you incur in attending to give
evidence before the Commissioner General or his authorised taxation
officers.
You may also be required to produce all books, documents and other
papers whatever which are in your custody or under your control
relating to the income or assessment or your income or income of any
other person.
“Custody’ refers to situations where you have direct physical
possession and are able to produce it when you are issued a notice to
do so.
“Control” refers to situations where you do not have physical
possession, but have the right or power to require another person to
produce it.
You may be required to give evidence or provide documents in relation
to the tax affairs of another person.
There is no obligation on IRC to notify the
person under investigation that it is seeking information from a third
party.
All that is required is for the notice to specify the documents
required with particularity so as to enable it to be easily
identified.
You are only obliged to produce existing
documents, both originals and copies which are in existence at the
time a notice is issued.
You are not required to make copies of documents in order to comply
with the notice.
by MARK OPUR
