ECSH34130 - Case management: Withholding or postponing Economic Crime Supervision (ECS) operational activity

During criminal investigation, there are several legal frameworks that HMRC and investigators must abide by. These are chiefly housed under the Police and Criminal Evidence Act 1984 (PACE), Northern Ireland’s PACE (NI) Order 1989 equivalent, and the Criminal Justice (Scotland) Act (CJSA) 2016.

For intrusive investigations into serious fraud, HMRC is included as an authorised authority to use powers contained in the Investigatory Powers Act 2016 (IPA) which are governed by the corresponding Regulation of Investigatory Powers Act 2000 (RIPA).

HMRC publishes details of its powers to carry out criminal and civil investigations on GOV.UK. In the guidance HMRC states the following:

1.1.2 Division of civil and criminal powers

When conducting a criminal investigation officers will use their criminal investigation powers to gather evidence to support a future prosecution. Conversely, civil powers are used when seeking to make a civil assessment of tax owed, collect that tax, or levy civil penalties.

It is possible for someone to be under criminal investigation and also subject to civil processes to assess and collect tax at the same time. Officers will use criminal powers to advance the criminal investigation and collect evidence to support a prosecution, and civil powers to gather material to inform the assessment and collection of tax or levying of civil penalties. Internal procedures ensure that the appropriate power is used for the right purpose and that civil powers are not misused to gather evidence to prove a criminal charge.

For further assistance on running parallel criminal and civil investigations please see Solicitors Office and Legal Services (SOLS) portal.

(This content has been withheld because of exemptions in the Freedom of Information Act 2000)