ECH21120 - Penalties: The Expected Offer- Who Makes the Decisions?

When the ECO has

• established the irregularities,
• calculated the tax/NIC and the interest
• identified the culpable tax/NIC, and
• ascertained and recorded all factors relevant to the penalty abatements

the ECO must

• make a submission to the ECTM seeking approval of the expected offer ECH21115 to be sought from the employer.

The ECTM should

• review the papers
• review the decision on culpability
• confirm that the employers rights under Article 6 of ECHR have not been infringed ( ECH8026)
• review the recommendations on abatements
• agree the expected offer or resolve any differences

The ECTM should then

• approve the settlement where
• • the expected offer does not include penalties and
  • authority has been delegated by the ECUM with ADC agreement or

• submit the review for approval by the ECUM where
• • the expected offer includes duties, interest and penalties or
  • penalties due are not pursued and ECH21015 does not apply or
  • authority has not been delegated to the ECTM.

The ECUM should

• approve the expected offer or resolve any differences in cases submitted.