HM Revenue & Customs Penalty Regime

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.

Brighton: 01273 779669

Maidstone: 01622 758257

Welling: 020 8301 5005

Tonbridge: 01732 770350

London: 020 7340 8708

Cyprus: +357 22447277