SCHEDULES

SCHEDULE 1Lifetime ISAs: further provision

Part 2Payment of government bonuses

Penalties for inaccuracies in claims

5

(1)

This paragraph applies where—

(a)

a claim for a bonus contains information which is inaccurate,

(b)

the inaccuracy is material, and

(c)

condition A, B or C is met.

(2)

Condition A is that the inaccuracy is careless or deliberate.

(3)

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

(4)

Condition B is that the claimant knows of the inaccuracy at the time the claim is made but does not inform an officer of Revenue and Customs at that time.

(5)

Condition C is that the claimant—

(a)

discovers the inaccuracy some time later, and

(b)

fails to take reasonable steps to inform an officer of Revenue and Customs.

(6)

The claimant is liable to a penalty not exceeding the amount for the time being specified in paragraph 40A(5) of Schedule 36 to the Finance Act 2008 (penalties for inaccurate information and documents).

(7)

Where the information contains more than one material inaccuracy, a penalty is payable for each inaccuracy.

(8)

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.