Section 235 | Financial penalties for prohibited interaction with HMRC: liability of relevant individuals

(1)This section applies where—

(a)a tax adviser that is an organisation has been given a compliance notice under section 233 that has not been withdrawn,

(b)the tax adviser subsequently contravenes section 223(1) (prohibited interaction with HMRC), and

(c)an authorised officer of Revenue and Customs considers that the contravention is attributable to a relevant individual of the tax adviser.

(2)The individual is liable in respect of the contravention to a penalty of—

(a)£5,000, or

(b)if subsection (3) or (4) applies, £10,000.

(3)This subsection applies if—

(a)in the period of two years ending with the date of the contravention, the relevant individual has been assessed to a penalty under this section or section 234 on four or more occasions, and

(b)subsection (4) does not apply.

(4)This subsection applies if the contravention takes place at a time when the relevant individual is subject to—

(a)a temporary ineligibility order issued under this Chapter, or

(b)a permanent ineligibility order issued under this Chapter.

(5)For the purposes of subsection (3)(a), if a relevant individual is assessed to a penalty under this section or section 234 and the penalty is, at any time, subsequently set aside or otherwise cancelled, the penalty is to be treated from that time as if it was not assessed on the individual.

(6)In this section references to a relevant individual of a tax adviser include a former relevant individual of the tax adviser.