OpenLegislation

Paragraph 8 C1C2F1

United Kingdom

(1)

Sub-paragraph (3) applies where—

(a)

two or more penalties are incurred by the same person and fall to be determined by reference to an amount of tax to which that person is chargeable,

(b)

one of those penalties is incurred under section 212A F2or 212B (as the case may be), and

(c)

one or more of the other penalties are incurred under a relevant penalty provision.

(2)

But sub-paragraph (3) does not apply if section 212(2) of FA 2014 (follower notices: aggregate penalties) applies in relation to the amount of tax in question.

(3)

The aggregate of the amounts of the penalties mentioned in subsection (1)(b) and (c), so far as determined by reference to that amount of tax, must not exceed—

(a)

the relevant percentage of that amount, or

(b)

in a case where at least one of the penalties is under paragraph 5(2)(b) of, or sub-paragraph (3)(b), (4)(b) or (5)(b) of paragraph 6 of, Schedule 55 to FA 2009 F3, or sub-paragraph (3)(b) or (5)(b) of paragraph 3 or paragraph 20(4) of Schedule 25 to FA 2021, £300 (if greater).

(4)

In the application of section 97A of TMA 1970 (multiple penalties) no account shall be taken of a penalty under section 212A F4or 212B.

(5)

“Relevant penalty provision” means—

(a)

Schedule 24 to FA 2007 (penalties for errors),

(b)

Schedule 41 to FA 2008 (penalties: failure to notify etc),

(c)

Schedule 55 to FA 2009 (penalties for failure to make returns etc), F5or

(d)

Part 5 of Schedule 18 to FA 2016 (penalty under serial tax avoidance regime)F6, or

(e)

Schedule 25 to FA 2021 (penalties for deliberately withholding information).

(6)

“The relevant percentage” means—

(a)

200% in a case where at least one of the penalties is determined by reference to the percentage in—

(i)

paragraph 4(4)(c) of Schedule 24 to FA 2007,

(ii)

paragraph 6(4)(a) of Schedule 41 to FA 2008, F7or

(iii)

paragraph 6(3A)(c) of Schedule 55 to FA 2009, F8or

(iv)

paragraph 3(4)(c) of Schedule 25 to FA 2021,

(b)

150% in a case where paragraph (a) does not apply and at least one of the penalties is determined by reference to the percentage in—

(i)

paragraph 4(3)(c) of Schedule 24 to FA 2007,

(ii)

paragraph 6(3)(a) of Schedule 41 to FA 2008, F9or

(iii)

paragraph 6(3A)(b) of Schedule 55 to FA 2009, F10or

(iv)

paragraph 3(4)(b) of Schedule 25 to FA 2021,

(c)

140% in a case where neither paragraph (a) nor paragraph (b) applies and at least one of the penalties is determined by reference to the percentage in—

(i)

paragraph 4(4)(b) of Schedule 24 to FA 2007,

(ii)

paragraph 6(4)(b) of Schedule 41 to FA 2008, F11or

(iii)

paragraph 6(4A)(c) of Schedule 55 to FA 2009, F12or

(iv)

paragraph 3(6)(c) of Schedule 25 to FA 2021,

(d)

105% in a case where at none of paragraphs (a), (b) and (c) applies and at least one of the penalties is determined by reference to the percentage in—

(i)

paragraph 4(3)(b) of Schedule 24 to FA 2007,

(ii)

paragraph 6(3)(b) of Schedule 41 to FA 2008, F13or

(iii)

paragraph 6(4A)(b) of Schedule 55 to FA 2009, F14and or

(iv)

paragraph 3(6)(b) of Schedule 25 to FA 2021, and

(e)

in any other case, 100%.

Annotations

Textual amendments

F1

Sch. 43C inserted (15.9.2016) (with effect in accordance with s. 158(15) of the amending Act) by Finance Act 2016 (c. 24), s. 158(3)

F2

Words in Sch. 43C para. 8(1)(b) inserted (with effect in accordance with s. 124(2) of the amending Act) by Finance Act 2021 (c. 26), Sch. 32 para. 13(8)(a)

F3

Words in Sch. 43C para. 8(3)(b) inserted (6.4.2024 for specified purposes, 1.4.2026 for specified purposes) by Finance Act 2021 (c. 26), s. 118(2), Sch. 27 para. 42(a); S.I. 2024/440, reg. 2; S.I. 2026/370, reg. 3

F4

Words in Sch. 43C para. 8(4) inserted (with effect in accordance with s. 124(2) of the amending Act) by Finance Act 2021 (c. 26), Sch. 32 para. 13(8)(b)

F5

Word in Sch. 43C para. 8(5) omitted (6.4.2024 for specified purposes, 1.4.2026 for specified purposes) by virtue of Finance Act 2021 (c. 26), s. 118(2), Sch. 27 para. 42(b)(i); S.I. 2024/440, reg. 2; S.I. 2026/370, reg. 3

F6

Sch. 43C para. 8(5)(e) and word inserted (6.4.2024 for specified purposes, 1.4.2026 for specified purposes) by Finance Act 2021 (c. 26), s. 118(2), Sch. 27 para. 42(b)(ii); S.I. 2024/440, reg. 2; S.I. 2026/370, reg. 3

F7

Word in Sch. 43C para. 8(6)(a)(ii) omitted (6.4.2024 for specified purposes, 1.4.2026 for specified purposes) by virtue of Finance Act 2021 (c. 26), s. 118(2), Sch. 27 para. 42(c)(i)(a); S.I. 2024/440, reg. 2; S.I. 2026/370, reg. 3

F8

Sch. 43C para. 8(6)(a)(iv) and word inserted (6.4.2024 for specified purposes, 1.4.2026 for specified purposes) by Finance Act 2021 (c. 26), s. 118(2), Sch. 27 para. 42(c)(i)(b); S.I. 2024/440, reg. 2; S.I. 2026/370, reg. 3

F9

Word in Sch. 43C para. 8(6)(b)(ii) omitted (6.4.2024 for specified purposes, 1.4.2026 for specified purposes) by virtue of Finance Act 2021 (c. 26), s. 118(2), Sch. 27 para. 42(c)(ii)(a); S.I. 2024/440, reg. 2; S.I. 2026/370, reg. 3

F10

Sch. 43C para. 8(6)(b)(iv) and word inserted (6.4.2024 for specified purposes, 1.4.2026 for specified purposes) by Finance Act 2021 (c. 26), s. 118(2), Sch. 27 para. 42(c)(ii)(b); S.I. 2024/440, reg. 2; S.I. 2026/370, reg. 3

F11

Word in Sch. 43C para. 8(6)(c)(ii) omitted (6.4.2024 for specified purposes, 1.4.2026 for specified purposes) by virtue of Finance Act 2021 (c. 26), s. 118(2), Sch. 27 para. 42(c)(iii)(a); S.I. 2024/440, reg. 2; S.I. 2026/370, reg. 3

F12

Sch. 43C para. 8(6)(c)(iv) and word inserted (6.4.2024 for specified purposes, 1.4.2026 for specified purposes) by Finance Act 2021 (c. 26), s. 118(2), Sch. 27 para. 42(c)(iii)(b); S.I. 2024/440, reg. 2; S.I. 2026/370, reg. 3

F13

Word in Sch. 43C para. 8(6)(d)(ii) omitted (6.4.2024 for specified purposes, 1.4.2026 for specified purposes) by virtue of Finance Act 2021 (c. 26), s. 118(2), Sch. 27 para. 42(c)(iv)(a); S.I. 2024/440, reg. 2; S.I. 2026/370, reg. 3

F14

Words in Sch. 43C para. 8(6)(d)(iv) substituted (6.4.2024 for specified purposes, 1.4.2026 for specified purposes) by Finance Act 2021 (c. 26), s. 118(2), Sch. 27 para. 42(c)(iv)(b); S.I. 2024/440, reg. 2; S.I. 2026/370, reg. 3

Modifications

C1

Sch. 43C para. 8 modified by 2014 c. 7, s. 10A(6) (as inserted (with effect in accordance with s. 157(30) of the amending Act) by Finance Act 2016 (c. 24), s. 157(17))

C2

Sch. 43C para. 8: power to modify conferred by 2014 c. 7, s. 10A(7) (as inserted (with effect in accordance with s. 157(30) of the amending Act) by Finance Act 2016 (c. 24), s. 157(17))

Notes on Schedule 43C

Textual amendments

F2

Words in Sch. 43C heading inserted (with effect in accordance with s. 124(2) of the amending Act) by Finance Act 2021 (c. 26), Sch. 32 para. 13(2)