§ Mr. Gray
To ask the Chancellor of the Exchequer pursuant to the answer of 16 December 2003,Official Report, column 811W, on tax compliance, what the very exceptional circumstances are in which Inland Revenue will inform other Government Departments that a potential supplier has poor compliance in its tax affairs; on how many occasions in each year since 1996–97 the Inland Revenue has informed other Government Departments of a potential supplier's poor compliance standing; and which office of the Inland Revenue is responsible for making such reports to other Government Departments.
§ Dawn Primarolo
Where the Inland Revenue is working on a procurement exercise or is engaged in a contract jointly with another Government Department, the Revenue may withdraw from that joint exercise or contract in the light of tax non-compliance by a supplier. In those exceptional circumstances an explanation to joint procurement partners for the withdrawal would be appropriate but would be limited to a brief general statement and will not include details of non-compliance of the potential supplier. Where necessary, this would be done by the most appropriate Revenue office in the specific instance.