# Tax Collection and Management (Wales) Act 2016, Section 122: Penalty for failure to pay tax on time

Extent: E+W

(1) A person is liable to a penalty if the person has failed to pay an amount of WRA-collected tax on or before the penalty date in respect of that amount.
(2) The penalty—
(a) in respect of an amount of land transaction tax, is 5% of the amount of unpaid tax;
(b) in respect of an amount of landfill disposals tax, is 1% of the amount of unpaid tax;
(c) in respect of an amount of visitor levy, is 5% of the amount of unpaid levy, but—
(i) if 5% of the amount of unpaid levy is lower than £100, the penalty is £100;
(ii) if 5% of the amount of unpaid levy is greater than £5000, the penalty is £5000.
(2A) But see section 122ZA for an exception to the rule in subsection (1).
(3) In this section and in sections 122ZA, 122A and 122B, the penalty date in respect of an amount of WRA-collected tax specified in column 3 of Table A1 is the date specified in column 4.
TABLE A1
Item
WRA-collected Tax
Amount of Tax
Penalty date
1
Land transaction tax
Amount (or additional amount) payable as a result of a tax return made by the buyer in a land transaction (unless the amount falls within item 8 or 9).
The date falling 30 days after the filing date for the return.
2
Landfill disposals tax
Amount payable as a result of a tax return.
The date falling 30 days after the filing date for the return.
2A
Visitor levy
Amount payable as a result of a visitor levy return.
The date falling 30 days after the filing date for the visitor levy return.
3
Any WRA-collected tax
Amount payable as a result of a WRA determination made in place of a tax return.
The date falling 30 days after the date by which WRA believes the tax return was required to be made.
4
Any WRA-collected tax
Amount payable as a result of a WRA assessment made in place of a tax return (unless the amount falls within item 7).
The date falling 30 days after the date by which WRA believes the tax return was required to be made.
5
Any WRA-collected tax
Amount (or additional amount) payable as a result of a WRA assessment made where a tax return has been made.
The date falling 30 days after the date by which the amount (or additional amount) is required to be paid.
6
Any WRA-collected tax
Amount (or additional amount) payable as a result of an amendment or a correction to a tax return.
The date falling 30 days after the date by which the amount (or additional amount) is required to be paid.
7
Any devolved tax
Amount (or additional amount) payable as a result of a WRA assessment made for the purposes of making an adjustment to counteract a tax advantage (see Part 3A) in a case where a tax return which WRA has reason to believe was required to be made has not in fact been made.
The date falling 30 days after the date by which the amount (or additional amount) is required to be paid.
8
Land transaction tax
Where a deferral request is made under section 58 of LTTA, a deferred amount required to be paid by virtue of section 61(1)of that Act.
The date falling 30 days after the date by which the deferred amount is required to be paid.
9
Land transaction tax
Where a deferral request is made under section 58 of LTTA, a refused amount within the meaning of section 61(2)(a) of that Act.
The date falling 30 days after the date by which the refused amount is required to be paid.
10
Landfill disposals tax
Amount charged by a charging notice issued under section 49 or 50 of LDTA.
The date falling 30 days after the date by which the amount is required to be paid.
11
Any WRA-collected tax
A postponed amount within the meaning of section 181G(2).
The date falling 30 days after the date on which the postponement period ends (see section 181G as to the calculation of postponement periods).
(4) In this section, “"deferred amount”” has the same meaning as in section 58(6)(a) of LTTA.
(5) The Welsh Ministers may by regulations modify Table A1.

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Source: https://www.legislation.gov.uk/anaw/2016/6/section/122 (the official version)
Page: https://openlegislation.uk/tax-collection-and-management-wales-act-2016/section-122
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.