For periods beginning on or after 1 April 2008 where a Return is due on or after 1 April 2009
| Error or Inaccuracy |
Penalty as % of underpayment |
Reduction of Penalties |
| Unprompted |
Prompted |
| Mistake despite taking reasonable care |
Nil |
- |
- |
| Taxpayer aware of mistake but did not take reasonable steps to notify HMRC. |
30% |
0% - 30% |
0% - 15% |
| Tax under-assessed by HMRC and no reasonable steps taken to correct |
30% |
0% - 30% |
0% - 15% |
| Carelessness |
30% |
0% - 30% |
0% - 15% |
| Deliberate inaccuracy but not concealed |
70% |
0 % - 50% |
0% - 35% |
| Deliberate inaccuracy that was concealed |
100% |
0 % - 70% |
0% - 50% |
For more information please visit http://www.hmrc.gov.uk/about/new-penalties/ or >download HM Revenue factsheet.