Section 265 | Failure to deliver company tax returns

(1)In paragraph 17 of Schedule 18 to FA 1998 (failure to deliver company tax return: flat-rate penalty)—

(a)in sub-paragraph (2)—

(i)in paragraph (a), for “£100” substitute “£200”;

(ii)in paragraph (b), for “£200” substitute “£400”;

(b)in sub-paragraph (3), in the opening words—

(i)for “£500” substitute “£1000”;

(ii)for “£1000” substitute “£2000”;

(c)after sub-paragraph (4) insert—

(5)The Commissioners for His Majesty’s Revenue and Customs may by regulations amend sub-paragraph (2) or (3) so as to increase or decrease the amount of a penalty for the time being specified in those sub-paragraphs.

(6)Regulations under sub-paragraph (5) may include transitional and saving provision.

(7)A statutory instrument containing regulations under sub-paragraph (5) which increase the amount of a penalty by more than is necessary to reflect changes in the value of money may not be made unless a draft of the instrument has been laid before and approved by a resolution of the House of Commons.

(2)The amendments made by subsection (1)(a) and (b) have effect in relation to a failure to deliver a company tax return for which the filing date is on or after 1 April 2026.