COM101080 - Penalties: penalty determinations: notices of penalty determination
COTAX automatically issues a notice of penalty determination to the company, person or body acting in capacity (Word 23.5kb) or agent as shown in the following table.
| Type of Capacity Present | Original issued to | Copy issued to |
| None | The company | Any agent for whom form 64-8 (New) is in force |
| Agent of a Non-Resident Company | The UK permanent establishment or agency | Any agent for whom form 64-8 (New) is in force |
| Administrator | The company | The Administrator |
| Liquidator | The company | The Liquidator |
| Receiver | The company | The Receiver |
| Trustee | Trustee | Any agent for whom form 64-8 (New) is in force |
Note: The address for ‘the company’ output is the Registered Office address. Where that address is RLS, output will be sent to the communication address where present on the COTAX record.
The determination to the company also contains pre-set messages. The messages printed depend on the type of determination notice, (main, amended or further), and include as appropriate
- The name of any agent who has been sent a copy of the notice
- The right of appeal
- A determination of an appeal
- The penalties charged for the specified period (Word 23kb)
A standard letter of explanation usually accompanies the notices of determination. It explains the assumptions the Technical Caseworker is making about the return period (Word 23.5kb) concerned and includes a payslip and a reconciliation statement, showing the payment position for the AP for
- Tax
- Interest
And
- Penalties
When the determination affects more than one return period COTAX issues a letter of explanation for each return period.
Every main and further penalty determination is issued with a set of Taxpayer Notes that explains the relevant law and appeals procedure.
COTAX will not issue a notice of penalty determination to an address that has the RLS signal set against it.
Instead it
- Stores the penalty determination details
- Does not create a penalty charge posting on the record
- Sets the attribute ‘Output Awaiting Issue’ to ‘Y’ on the RRLS (Registered Office RLS List)
A new registered office address is usually received automatically from Companies House and when recorded on COTAX
- The RLS signal is cancelled and the entry deleted from the work list
And
- The determinations are automatically issued 14 days later
When you enter a communication address using function ACOM (Amend Communication Details) the RLS signal remains, as does the entry on the work list. The determinations are automatically issued 14 days later.
Note: In cases where you have entered a communication address the attribute ‘Output Awaiting Issue’ on work list RRLS will change from ‘Y’ to ‘N’
For further information on dealing with RLS items see the business area ‘Work Lists’ in the COTAX Manual (COM).
You can check if COTAX issued the notice by looking at the record in Function DPEN (Display Penalty Determination).
When you reduce a penalty determination to Nil COTAX issues no letter of explanation.
Example Form
You can see examples of penalty printed output (CT211) in the Index Of Forms available in the left bar.
For a list of forms relevant to this subject, see COM101081.
For a list of functions to use in particular situations, see COM101031.
For legislation applying to this subject, see COM101011.
