Regulation 12 Penalties for failure to comply with Regulations

(1)

A donor intermediary is liable to a penalty of £50 in respect of each failure to—

(a)

maintain a record of an authorisation, in accordance with regulation 7(1) and (2),

(b)

maintain a record of the date on which the explanation of the effect of section 424 of ITA 2007 was given, in accordance with regulation 7(3) and (4),

(c)

maintain a record of a notice of cancellation, in accordance with regulation 7(5) and (6),

(d)

send an annual statement or details as to how to access an annual statement, in accordance with regulation 8(1), and

(e)

maintain a record of an annual statement, in accordance with regulation 8(3) and (4).

(2)

But in relation to a tax year a donor intermediary’s liability for penalties under paragraph (1) attributable to that tax year is subject to a limit of £3,000.

(3)

For the purposes of paragraph (2) a failure referred to—

(a)

in paragraph (1)(a) is attributable to the tax year in which the authorisation was obtained,

(b)

in paragraph (1)(b) is attributable to the tax year in which the explanation of the effect of section 424 of ITA 2007 was given,

(c)

in paragraph (1)(c) is attributable to the tax year in which the notice of cancellation was given, and

(d)

in paragraph (1)(d) or (e) is attributable to the tax year in respect of which the annual statement was required to be sent.

(4)

A donor intermediary who fails to comply with a notice under regulation 7(7) to produce a record for inspection is liable to a penalty of £300.

(5)

If the failure mentioned in paragraph (4) continues after the date on which a penalty is imposed under that paragraph in respect of the failure, the donor intermediary is liable to a further penalty or penalties not exceeding £60 for each subsequent day on which the failure continues.