Commentary on Provisions Part 5 – Enforcement of the levy and penalties Chapter 1 – Investigatory Powers Section 40 – Carrying out inspections under sections 38 and 39
76.This section sets out conditions for inspections of business premises as provided for under sections 38 and 39. Subsection (1) gives the person whose business premises are to be inspected an opportunity to agree a time for the inspection to be carried out, but this may be overridden where the conditions in subsection (2) are satisfied (in which case, the inspection is to be carried out at any reasonable time). Those conditions are that either: (a) the occupier of the premises is given at least 7 days’ notice in writing of the time of the inspection; or (b) the authorised officer has reasonable grounds for believing that giving notice of the inspection would seriously prejudice the assessment of the liable person’s liability to pay the levy, or the payment of the levy by the liable person (for example, if the officer had concerns that the person was likely to try and destroy or remove important evidence in advance of an inspection).
77.Subsection (3) provides that where an inspection is carried out by virtue of section (2)(b) (i.e., where no notice of the inspection is given), a written notice must be provided to the occupier or someone else who appears to be in charge of the premises at the time. If no one is present at the time, the notice must be left in a prominent place on the premises. Subsection (4) provides that a notice given in advance of an inspection (under subsection (2)(a)) or at the time of an inspection (under subsection (3)) must state the possible consequences of obstructing the authorised officer from exercising the power to carry out the inspection.