Penalties
20Penalties
1
A penalty of £300 may be imposed on any person who fraudulently—
I3b
makes a withdrawal from a child trust fund otherwise than as permitted by regulations under section 3(4)(d), or
I3c
secures the opening of a child trust fund by the Inland Revenue.
I1I22
A penalty not exceeding £3,000 may be imposed on—
a
an account provider who fraudulently or negligently makes an incorrect statement or declaration in connection with a claim under section 8 or 9 or regulations under section 10 or 13, and
b
any person who fraudulently or negligently provides incorrect information in response to a requirement imposed by or under regulations under section 15.
I1I23
Penalties may be imposed on—
a
an account provider who fails to make a claim under section 8 or 9 or regulations under section 10 by the time required by regulations under the section concerned, and
b
any person who fails to make a document available, or provide information, in accordance with regulations under section 15.
I1I24
The penalties which may be imposed under subsection (3) are—
a
a penalty not exceeding £300, and
b
if the failure continues after a penalty under paragraph (a) is imposed, a further penalty or penalties not exceeding £60 for each day on which the failure continues after the day on which the penalty under that paragraph was imposed (but excluding any day for which a penalty under this paragraph has already been imposed).
I1I25
No penalty under subsection (3) may be imposed on a person in respect of a failure after the failure has been remedied.
I1I26
For the purposes of subsection (3) a person is to be taken not to have failed to make a claim, make available a document or provide information which must be made, made available or provided by a particular time—
a
if the person made it, made it available or provided it within such further time (if any) as the Inland Revenue may have allowed,
b
if the person had a reasonable excuse for not making it, making it available or providing it by that time, or
c
if, after having had such an excuse, the person made it, made it available or provided it without unreasonable delay.
7
A penalty may be imposed on an account provider in respect of—
I1I2a
the provision by the account provider, as a child trust fund, of an account which does not meet the condition in subsection (8),
I1I2b
a failure by the account provider to comply with section 8(2) or 9(3) or with a requirement imposed on the account provider by regulations under section 5(5), 6(3), 7F1, 7A, 7B or 10(3), or
I3c
a breach of section 12(1), or regulations under section 12(2), in relation to a child trust fund held with the account provider.
I1I28
An account meets the condition referred to in subsection (7)(a) if—
a
it is of one of the descriptions prescribed by regulations under section 3(2),
b
section 3(4) is complied with in relation to it, and
c
the requirements imposed by regulations under section 3(5) are satisfied in relation to it.
I1I29
The penalty which may be imposed under subsection (7) on the account provider is a penalty not exceeding—
a
£300, or
b
£1 in respect of each account affected by the matter, or any of the matters, in respect of which the penalty is imposed,
whichever is greater.