SCHEDULES

SCHEDULE 18 Company tax returns, assessments and related matters

F1Penalty

83R

(1)

The company is liable to a penalty where it—

(a)

fraudulently or negligently makes a claim to which this Part of this Schedule applies which is incorrect, or

(b)

discovers that such a claim made by it (neither fraudulently nor negligently) is incorrect and does not remedy the error without unreasonable delay.

(2)

The penalty is an amount not exceeding the excess credit claimed, that is, the difference between—

(a)

the amount of the credit to which the company is entitled under Schedule 13 to the Finance Act 2002 for the accounting period to which the claim relates, and

(b)

the amount of such credit claimed by the company for that period.