ECH21130 - Penalties: The Expected Offer - Problems

Guidance on expected offers and possible problems can be found in the Enquiry Manual at EM6000 onwards.

These include

• departure from the expected offer
• culpability disputed
• lack of response, no co-operation
• inadequate means
• bankruptcy.

Normally there will have been warning of these difficulties during the compliance check. Prior approval for alternative offers will therefore have been considered.

Where there are any doubts you should

• withdraw and speak to the manager.

The manager (SO or above) will consider tolerances as follows:

• If the offer differs from the expected amount by
  
  
• • up to £249, the SO can accept the offer
  • between £250 and £1,000 the SO can accept the offer if the difference is less than 10% of the culpable tax and NIC
  • over £1,000 make a report to the Authorising Officer ( ECH21550).

See examples

Where, an agent habitually recommends his clients to make substandard offers in the knowledge of these limits, you may seek approval for penalty determinations even though it might not appear cost-effective in the particular case (EM5250+).

TAA Liverpool is available to advise local management.