Paragraph 13 I1F1
If a person who would otherwise be liable to a penalty of a percentage shown in column 1 of the Table (a “standard percentage”) has made a disclosure, HMRC must reduce the standard percentage to one that reflects the quality of the disclosure.
But the standard percentage may not be reduced to a percentage that is below the minimum shown for it—
for a prompted disclosure, in column 2 of the Table, and
for an unprompted disclosure, in column 3 of the Table.
Where the Table shows a different minimum for case A and case B—
the case A minimum applies if—
the penalty is one under paragraph 1, and
HMRC become aware of the failure less than 12 months after the time when the tax first becomes unpaid by reason of the failure, and
otherwise, the case B minimum applies.
| F2Standard % | Minimum % for prompted disclosure | Minimum % for unprompted disclosure |
|---|---|---|
| 30% | case A: 10% case B: 20% | case A: 0% case B: 10% |
| 70% | 35% | 20% |
| 100% | 50% | 30% |
Annotations
Textual amendments
- F1
Sch. 41 para. 13 substituted (6.4.2011) by Finance Act 2010 (c. 13), s. 35(2), Sch. 10 para. 9; S.I. 2011/975, art. 2(1) (with art. 4)
- F2
Sch. 41 para. 13(3) Table substituted (with effect in accordance with reg. 2 of the commencing S.I.) by Finance Act 2016 (c. 24), s. 163(2), Sch. 21 para. 7; S.I. 2017/259, reg. 2
Commencement
- I1
Sch. 41 para. 13 in force at 1.4.2010 with effect in accordance with art. 3 by S.I. 2009/511, art. 2
Notes on Schedule 41
Modifications
- C1
Sch. 41 modified (with effect in accordance with s. 42(2), Sch. 12 para. 29(1) of the amending Act) by Finance Act 2018 (c. 3), Sch. 12 paras. 33, 34
- C2
Sch. 41 applied (with modifications) (22.7.2020) by Finance Act 2020 (c. 14), Sch. 16 para. 11(6) (with Sch. 16 para. 11(7))
- C3
Sch. 41 applied (with modifications) (22.7.2020) by Finance Act 2020 (c. 14), Sch. 16 para. 13