CH271100 | How to do a compliance check: penalty for an inaccuracy in response to notices: introduction and scope

Guidance at CH26280 sets out the circumstances when a person may have to pay a penalty under Paragraph 40A of Schedule 36 Finance Act 2008 and Schedule 23 of Finance Act 2011:

• giving HMRC inaccurate information, or

• giving HMRC a document containing an inaccuracy and not telling us about it when responding to a notice

The maximum penalty is £3000 for each inaccuracy, see CH26780.

The relevant notices in SEES will contain a warning that inaccurate responses can be penalised in this way.

This part of the guidance tells you about:

• why an inaccuracy in a document should be disclosed to you, see CH271200

• the interaction between these penalties and Schedule 24 FA07 penalties, see CH271300

• how to decide on the amount of the penalty to assess, see CH271400

• the authorisation and charge creation procedure, see CH271500