Penalties

I144Penalties for providing inaccurate information or documents

1

A person is liable to a penalty under this section if—

a

in complying with a notice under section 26, the person provides inaccurate information or provides a document that contains an inaccuracy, and

b

condition A, B or C is met.

2

Condition A is that the inaccuracy is careless or deliberate.

An inaccuracy is careless if it is due to a failure by the person to take reasonable care.

3

Condition B is that the person knows of the inaccuracy at the time the information or document is provided but does not inform HMRC at that time.

4

Condition C is that the person—

a

discovers the inaccuracy some time later, and

b

fails to take reasonable steps to inform HMRC.

5

The amount of a penalty under this section may not exceed £3,000.

6

Regulations may amend subsection (5) so as to substitute a different amount for the amount for the time being specified there.