# Finance Act 2011, Paragraph 32


(1) This paragraph applies if—
(a) in complying with a data-holder notice, the data-holder provides inaccurate data, and
(b) condition A, B or C is met.
(2) Condition A is that the inaccuracy is—
(a) due to a failure by the data-holder to take reasonable care, or
(b) deliberate on the data-holder's part.
(3) Condition B is that the data-holder knows of the inaccuracy at the time the data are provided but does not inform HMRC at that time.
(4) Condition C is that the data-holder—
(a) discovers the inaccuracy some time later, and
(b) fails to take reasonable steps to inform HMRC.
(5) If this paragraph applies, the data-holder is liable to a penalty not exceeding £3,000.

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Source: https://www.legislation.gov.uk/ukpga/2011/11/schedule/23/paragraph/32 (the official version)
Page: https://openlegislation.uk/finance-act-2011/schedule-23/paragraph-32
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.