The disclosure of tax avoidance scheme (DOTAS) rules require certain persons, usually promoters of schemes, but also users in certain circumstances, to provide HMRC with information about schemes falling within certain descriptions, known as 'hallmarks'. The person must tell HMRC how the scheme is intended to work, usually within five days of the date the scheme is made available to any person.1
For an overview of the DOTAS regime, see A7.202.
This article considers the definition of 'promoter' and whether a promoter is required to disclose notifiable arrangements or proposals. For the meaning of notifiable arrangements and notifiable proposals, see A7.205–A7.206.
For commentary on non-UK resident promoters, see A7.211.
For details on who is required to make the disclosure if there is more than one promoter in relation to the notifiable arrangements or proposals, see A7.214.
Definition of promoter for DOTAS regime
The primary obligation to disclose notifiable arrangements or proposals (see A7.205–A7.206) falls on the 'promoter', but this can be difficult when there is a chain of people involved in devising the scheme, expressing an opinion on it, making changes to it, and marketing the final product.
There may also be a problem when an involved person—say someone who has advised on it—does not consider themselves to be a promoter nor wishes to be one.
There are two categories of promoter under the DOTAS regime: those who design schemes and those who make them available. A promoter is2:
(1) in relation to a notifiable proposal (ie one that has