Penalties for breach of obligationsU.K.

Penalties for inaccurate informationU.K.

15.—(1) [F1A reporting financial institution or UK representative] is liable to a penalty not exceeding £3,000 if—

(a)in complying with an obligation under regulation 6 [F2the institution or representative] provides inaccurate information, and

(b)condition A, B or C is met.

(2) Condition A is that the inaccuracy is—

(a)due to a failure to comply with the due diligence requirements in regulation 3 (as modified by regulations 4 or 5 where those regulations apply), or

(b)deliberate F3....

(3) Condition B is that the [F4reporting financial institution or UK representative] knows of the inaccuracy at the time the information is provided but does not inform HMRC at that time.

(4) Condition C is that the [F5reporting financial institution or UK representative] —

(a)discovers the inaccuracy some time later, and

(b)fails to take reasonable steps to inform HMRC.

Textual Amendments