[F16C(1)If P fails during a tax month to make a return on or before the filing date, P is liable to a penalty under this paragraph in respect of that month.U.K.
(2)But this is subject to sub-paragraphs (3) and (4).
(3)P is not liable to a penalty under this paragraph in respect of a tax month as a result of any failure to make a return on or before the filing date which occurs during the initial period.
(4)P is not liable to a penalty under this paragraph in respect of a tax month falling in a tax year if the month is the first tax month in that tax year during which P fails to make a return on or before the filing date (disregarding for this purpose any failure which occurs during the initial period).
(5)In sub-paragraphs (3) and (4) “the initial period” means the period which—
(a)begins with the day in the first tax year on which P is first required to make a return, and
(b)is of such duration as is specified in regulations made by the Commissioners,
and for this purpose “the first tax year” means the first tax year in which P is required to make returns.
(6)P may be liable under this paragraph to no more than one penalty in respect of each tax month.
(7)The penalty under this paragraph is to be calculated in accordance with regulations made by the Commissioners.
(8)Regulations under sub-paragraph (7) may provide for a penalty under this paragraph in respect of a tax month to be calculated by reference to either or both of the following matters—
(a)the number of persons employed by P, or treated as employed by P for the purposes of PAYE regulations;
(b)the number of previous penalties incurred by P under this paragraph in the same tax year.
(9)The Commissioners may by regulations disapply sub-paragraph (3) or (4) in such circumstances as are specified in the regulations.
(10)If P has elected under PAYE regulations to be treated as different employers in relation to different groups of employees, this paragraph applies to P as if—
(a)in respect of each group P were a different person, and
(b)each group constituted all of P's employees.
(11)Regulations made by the Commissioners under this paragraph may—
(a)make different provision for different cases, and
(b)include incidental, consequential and supplementary provision.]
Textual Amendments
F1Sch. 55 paras. 6B-6D and cross-heading inserted (with effect in accordance with Sch. 50 para. 16(2) of the amending Act) by Finance Act 2013 (c. 29), Sch. 50 para. 6
Commencement Information
I1Sch. 55 para. 6C in force at 6.4.2018 for specified purposes by S.I. 2018/468, art. 2(b)
I2Sch. 55 para. 6C in force at 12.2.2019 for specified purposes by 2019 c. 1, Sch. 2 para. 29(3)
I3Sch. 55 para. 6C in force at 1.4.2022 for specified purposes by S.I. 2021/1409, reg. 2(b)
I4Sch. 55 para. 6C(1)-(4)(6)(10) in force at 6.10.2014 for specified purposes and 6.3.2015 for specified purposes by S.I. 2014/2395, art. 2(1)(b)
I5Sch. 55 para. 6C(5)(7)-(9)(11) in force at 11.9.2014 for specified purposes by S.I. 2014/2395, art. 2(1)(a)