SCHEDULES

SCHEDULE 1Lifetime ISAs: further provision

Part 5Further provision about penalties

Penalties for dishonesty

17

1

Sub-paragraph (2) applies to a person who dishonestly does anything, or dishonestly omits to do anything, either—

a

for the purpose of obtaining an amount by way of bonus to which the person is not entitled, or

b

for the purpose of assisting another person to obtain an amount by way of bonus to which that other person is not entitled.

2

The person is liable to a penalty not exceeding the greater of—

a

£3,000, and

b

the amount mentioned in paragraph (a) or (b), as the case may be, of sub-paragraph (1).

3

Sub-paragraph (4) applies to a person who dishonestly does anything, or dishonestly omits to do anything, for the purpose of—

a

securing that a withdrawal from a Lifetime ISA, other than a withdrawal specified under paragraph 7(4), is made without deduction of any amount that under paragraph 8(3)(b) should be deducted from the withdrawal, or

b

concealing that an amount has become payable under paragraph 8.

4

The person is liable to a penalty of an amount not exceeding the greater of—

a

£3,000, and

b

the amount that should have been deducted or (as the case may be) the amount concealed.

5

Treasury regulations may substitute a different amount for the amount for the time being specified in sub-paragraph (2)(a) or (4)(a).

6

Paragraphs 46 to 49 and 52 of Schedule 36 to the Finance Act 2008 (penalties: assessment, appeals and enforcement) apply in relation to a penalty under this paragraph as they apply in relation to a penalty under paragraph 40A of that Schedule, except that the reference in paragraph 46(4) to the inaccuracy has effect as a reference to the dishonest act or omission.