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Home / Simons-Taxes /Administration and compliance /Part A1 Legal framework of the UK taxation system /Division A1.7 Recovery of tax by or against the Crown /Recovery of tax by taking control of goods / A1.711 HMRC powers to take control of goods
Commentary

A1.711 HMRC powers to take control of goods

Administration and compliance

A1.711 HMRC powers to take control of goods

This article describes HMRC's powers to take control of a taxpayer's possessions and sell them to collect unpaid tax. HMRC use these powers only as a last resort. For an overview of HMRC's policy in relation to tax debt collection, see A4.601.

The powers are different for England and Wales, Scotland and Northern Ireland. See HMRC's guidance for taxpayers on the GOV.UK website ('What will happen if you do not pay your tax bill').

Taking control of goods in England and Wales

In England and Wales, HMRC can use the procedure in the Tribunals, Courts and Enforcement Act 2007, Sch 12 to recover sums payable to it under or by virtue of any enactment or contract settlement1. This power applies to all taxes administered by HMRC. A contract settlement is defined for this purpose as an agreement made in connection with a person's liability to make a payment to HMRC under or by virtue of an enactment2.

The procedure involves recovering a sum by

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