IHTM08119 - Caseworking: penalties

There are two sorts of penalties that you will need to consider

• Late filing penalties
• Failure penalties

Late filing penalties

Whenever an account is submitted after the due date a penalty is automatically applied. The staff in FACET will issue a notice requesting payment of the penalty. If the taxpayer challenges the penalty the challenge will be considered in either PC&S or Compliance Group according to where the case was allocated in Risk Assessment ( IHTM07100).

If you receive a letter challenging a late filing penalty you should refer it to one the members of staff nominated to handle these challenges.

Failure penalties

All penalties that are not for the late filing of an account are to be dealt with in Compliance Group. These have been termed failure penalties in this instruction for convenience. If you consider that a failure penalty may be appropriate you should consider

• the instructions in section 36 ( IHTM36000) of this manual
• the following guidance on when to refer to Compliance Group ( IHTM08120), and when to not refer to Compliance Group ( IHTM08121)