Finance Act 2003

Tax-related penalty for fraud or negligence

3(1)A person who—

(a)fraudulently or negligently gives a self-certificate in respect of a chargeable transaction, or

(b)discovers that a transaction in respect of which he has given a self-certificate (neither fraudulently nor negligently) is a chargeable transaction and does not remedy the error without unreasonable delay,

is liable to a tax-related penalty.

(2)The penalty is an amount not exceeding the amount of tax chargeable in respect of the transaction.