Section 421JD | Penalty if information not given correctly ^F1F2

(1)This section applies if a return under section 421JA, or any information accompanying such a return—

(a)is given otherwise than in accordance with section 421JB, or

(b)contains a material inaccuracy—

(i)which is careless or deliberate, or

(ii)which is not corrected as required by section 421JA(6).

(2)The person in question is liable for a penalty of an amount decided by HMRC.

(3)The penalty must not exceed £5,000.

(4)For the purposes of subsection (1)(b)(i) an inaccuracy is careless if it is due to a failure by the person in question to take reasonable care.