827VAT penalties etc
(1)Where, under Chapter II of Part I of the [1985 c. 54.] Finance Act 1985 (value added tax), a person is liable to make a payment by way of—
(a)penalty under any of sections 13 to 17; or
(b)interest under section 18; or
(c)surcharge under section 19;
the payment shall not be allowed as a deduction in computing any income, profits or losses for any tax purposes.
(2)A sum paid to any person by way of supplement under section 20 of the [1985 c. 54.] Finance Act 1985 (VAT repayment supplements) shall be disregarded for all purposes of corporation tax and income tax.