ECH21136 - Penalties: Raising Formal Penalty Determinations - General


Before proceeding to raise formal penalty determinations for any offence the caseworker must

  • discuss the case with the senior manager.

It is also important that the local Grade 6 is consulted at an early stage. When and how this takes place will depend on local arrangements.

The caseworker must follow the guidance at EM5201 onwards paying particular attention to the checklist at EM5205.

When intending to raise formal penalty determinations the caseworker must first

  • issue a warning letter to the employer/contractor and
  • allow 14 days before taking further action.

The subsequent process for raising formal penalty determinations will depend on the legislation and the type of penalty being sought.

  • Initial Penalties arising under S98(1)(a) or S98(1)(b) TMA 1970 ( ECH21137)
  • Daily Penalties/Failure to Submit a Return (First 12 month of lateness) ( ECH21138)
  • Abated Penalties/Penalties of a Maximum Amount (except those detailed at ECH21137 or ECH21138) ( ECH21139)

There are various documents and stencils to be completed throughout the process. The caseworker must ensure that where legislation is referred to or reproduced that it is accurate.

The links below provide some assistance in quoting the correct legislative references. Caseworkers must ensure that they select the correct wording for the penalty they are seeking and that any subsequent changes in legislation are taken into account.

Where legislation has changed or the legislation required is not contained in the links provided assistance should be sought from the manager, local Grade 7 or local Grade 6 to ensure that the correct wording is used.

Information Power

Penalty Offence

Description of Penalty Offence

Reproduction of legislation

Nature of Penalty

Penalty Provision

Reproduction of Penalty Provision

Penalty Amount