EIM47198 | Finance (No 2) Act 2017: part 3A: 2019 loan charge reporting requirement: loan charge information: para 35H: penalties: reasonable excuse

If the person liable for the penalty can satisfy HMRC or a tribunal that there was a reasonable excuse for the failure to provide loan charge information, a penalty will not be charged.

For the purposes of this paragraph:

• an insufficiency of funds is not a reasonable excuse unless attributable to events outside the person’s control

• where the person relies on any other person to do anything, that is not a reasonable excuse unless the first person took reasonable care to avoid the failure

• where the person had a reasonable excuse for the failure but the excuse has ceased, the person is to be treated as having continued to have the excuse if the failure is remedied without unreasonable delay after the excuse ceased.