From 2004, the revenue will base its tax credit division in a former Motorola factory at Bathgate.
That plant closed in 2001 with the loss of almost 3,000 jobs.
The site will now become the main centre for processing pension credits for the whole of the UK.
The decision to move to West Lothian is a success for the local council that has long lobbied for government jobs to be located in the region.
Willie Dunn, West Lothian council’s economic development spokesman said: ‘We have been campaigning for more government jobs to come to West Lothian for a long time.
‘We have got the lowest percentage of government-based jobs in Scotland.’
The area has an unemployment rate of 2.6%.
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