RSTP3018 - Penalty for information notice related documents

RSTPA guidance on the penalty for providing information or producing a document in relation to an information notice which contains an inaccuracy.

In complying with an information notice, if you provide us with inaccurate information or produce a document that contains an inaccuracy, and any of the following applies:

  • the inaccuracy is careless or deliberate (it is careless if it is due to you failing to take reasonable care - see RSTP3025. In other words, if you took reasonable care the inaccuracy would be neither careless nor deliberate);
  • you knew of the inaccuracy at the time you provided us with the information or produced the document but did not inform us about that fact at the time; or
  • you discovered the inaccuracy some time later after providing the information or producing the document, but failed to take reasonable steps to inform us, as soon as practicable after you discovered the inaccuracy,

then you are liable to a penalty of up to £3,000 for each inaccuracy contained in the information or document.

RSTPA 2014 section 197

We must make an assessment and notify you of your liability to this penalty (or, as the case may be, these penalties) within the period of:

  • 12 months, beginning with the date on which the inaccuracy first came to our attention; and
  • six years, beginning with the date on which you first became liable to the penalty.

RSTPA 2014 section 202

You must pay the penalty no later than 30 days from the date on which we issued the notice of the penalty assessment to you, unless:

  • you give a notice of review (see RSTP6006) against the penalty, in which case you must pay the penalty no later than 30 days from the date on which the review is concluded (upholding the penalty award);
  • you enter into mediation with us following a review but either you or we then give notice of withdrawal from mediation (see RSTP6007), in which case you must pay the penalty no later than 30 days from the date on which either you or we gave the notice of withdrawal; or
  • you give a notice of appeal (see RSTP6008) against the penalty, in which case you must pay the penalty no later than 30 days from the date on which the appeal is determined (upholding the penalty award) or withdrawn.

We will charge interest on the amount of any unpaid penalty from the date on which the penalty is due to be paid until you pay it (see RSTP4003).

A penalty for providing inaccurate information or producing a document containing an inaccuracy in complying with an information notice is treated for enforcement purposes (see RSTP5001) as an assessment to tax. This means that we have the same debt enforcement and recovery powers in relation to this penalty (and other penalties) as we have in relation to tax.

RSTPA 2014 section 203

Ref ID

RSTP3018

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