Commentary on provisions of Act Section 20: Disclosure of information and co-operation with other customs services
This section inserts two new sections into the Customs and Excise Management Act 1979 ("CEMA"). These provisions provide a legal basis for information disclosure for domestic purposes but also for the purposes of meeting international obligations. An example of this would be where HMRC is under an international obligation to disclose information relating to prohibitions and restrictions on imported or exported goods to the National Crime Agency or other Government departments. Such information disclosure provides the Government with better access to compliance data and improves its efficacy in protecting revenue and preventing fraud.
	Subsection (1) of the section inserts new sections 8A and 8B into CEMA.
	New section 8A (1) sets out the general power for HMRC to disclose information related to its customs functions, specifically for purposes connected to those functions.
	Section 8A (2) defines HMRC’s customs functions as covering both the regulation of duty and the more general movement of goods, including movements of cash.
	Section 8A (3) sets out general principles of confidentiality including use and disclosure of information. Any person who receives information under this section may use it only for the purpose for which it was disclosed, and cannot forward it on (or otherwise further disseminate it) without HMRC’s consent.
	Section 8A (4) confirms that this data sharing section does not limit or constrain data sharing powers in the Commissioners for Revenue and Customs Act 2005 or in any other enactment or rule of law. In effect this means that any restrictions on the sharing of data under this provision are limited to the scope of this Act.
	Section 8A (5) ensures that this section does not affect the circumstances in which information may be disclosed and ensures that nothing in this section breaches existing legislation relating to information sharing.
	Section 8A (6) defines the legislation referenced in subsection (5).
	Section 8A (7) clarifies the interaction with the proposed section 8B. In the context of TCA commitments, section 8A will provide a legal basis for disclosure, such as to relevant bodies to support HMRC’s customs functions, and meet commitments in the TCA around coordination of all border agencies, while section 8B will provide a basis for cooperation, including by way of information disclosure with other customs services.
	Section 8A (8) defines "HMRC" and "cash" for the purposes of this section.
	New section 8B of CEMA allows HMRC to cooperate with other customs services on matters of mutual concern and for the purposes of implementing any international obligations of the United Kingdom. This would include the TCA Protocol on Mutual Administrative Assistance in Customs Matters, which commits HMRC to exchanging information with EU Member State authorities to facilitate effective targeting and identification of non-compliant or fraudulent activity and combat any breach of customs legislation.
	Section 8B (1) is in identical terms to the Taxation (Cross-border Trade) Act 2018 ("TCTA") section 26(1). The inclusion of provision for anyone acting on behalf of HMRC is intended to reflect the role that other Government departments and agencies, particularly Border Force, play in the management of customs issues.
	Section 8B (2) provides for cooperation, including exchange of information, with other customs services for the purpose of implementing international obligations. As an example, HMRC may exchange personnel or expertise with Member States in order to share best practice or undertake initiatives such as pilot projects to support respective customs regimes. HMRC may also engage with customs services from other countries as TCA commitments on cooperation to secure global supply chains can involve trade across a number of territories.
	Sections 8B (3) to (7) contain similar provisions to section 8A providing for safeguards on the use of any information disclosed in the course of cooperation.
	Section 8B (8) defines the scope of co-operation as any international obligation defined in any international agreement to which the UK is party for the purposes of this section .
	Subsections (2) and (3) of this section make consequential changes to the CEMA and the TCTA to tidy up the statute book and avoid duplication.