ECL31500 | Enforcement: Penalties: Failure to notify HMRC of a repayment that should not have been made

If a person fails to notify HMRC in writing that an amount of levy (including any repayment interest) has been incorrectly repaid, they may be subject to a penalty of either:

(a) £250; or

(b) the amount which is 5% of the difference between the amount of levy incorrectly repaid and the amount HMRC considers should have been repaid

This is at HMRC’s discretion.