Penalties for breach of obligations
Increased daily default penalty21
1
This paragraph applies if—
a
a penalty under regulation 14 is assessed under regulation 18,
b
the failure in respect of which that assessment is made continues for more than 30 days beginning with the date on which notification of that assessment is given, and
c
the person has been told that an application may be made under this paragraph for an increased daily penalty to be imposed.
2
If this regulation applies, an officer of Revenue and Customs may make an application to the tribunal for an increased daily penalty to be imposed on the person.
3
If the tribunal decides that an increased daily penalty should be imposed then for each applicable day on which the failure continues—
a
the person is not liable to a penalty under regulation 14 in respect of the failure, and
b
the person is liable instead to a penalty under this regulation of an amount determined by the tribunal.
4
The tribunal may not determine an amount exceeding £1000 for each applicable day.
5
If a person becomes liable to a penalty under this regulation, HMRC must notify the person.
6
The notification must specify the day from which the increased penalty is to apply.
7
That day and any subsequent day is an “applicable day” for the purposes of this regulation.