Amount of penaltyU.K.
3(1)The penalty payable under paragraph 1 is (except in a case mentioned in sub-paragraph (2)) the higher of—U.K.
(a)100% of the potential lost revenue, or
(b)£3,000.
(2)In a case where P has enabled Q to engage in conduct which makes Q liable to a penalty under paragraph 1 of Schedule 21 to FA 2015, the penalty payable under paragraph 1 is the higher of—
(a)50% of the potential lost revenue in respect of the original tax non-compliance, and
(b)£3,000.
(3)In sub-paragraph (2)(a) “the original tax non-compliance” means the conduct that incurred the original penalty and “the potential lost revenue” (in respect of that non-compliance) is—
(a)the potential lost revenue under Schedule 24 to FA 2007,
(b)the potential lost revenue under Schedule 41 to FA 2008, [F1or]
(c)the liability to tax which would have been shown on the return (within the meaning of Schedule 55 to FA 2009), [F2or
(d)the liability to tax which would have been shown on the return (within the meaning of Schedule 25 to FA 2021),]
according to whether the original penalty was incurred under paragraph 1 of Schedule 24, paragraph 1 of Schedule 41 [F3or paragraph 6 of Schedule 55] [F3, paragraph 6 of Schedule 55 or paragraph 3 of Schedule 25].
Textual Amendments
F1Word in Sch. 20 para. 3(3)(b) omitted (6.4.2024 for specified purposes) by virtue of Finance Act 2021 (c. 26), s. 118(2), Sch. 27 para. 47(3)(a); S.I. 2024/440, reg. 2
F2Sch. 20 para. 3(3)(d) and word inserted (6.4.2024 for specified purposes) by Finance Act 2021 (c. 26), s. 118(2), Sch. 27 para. 47(3)(b); S.I. 2024/440, reg. 2
F3Words in Sch. 20 para. 3(3) substituted (6.4.2024 for specified purposes) by Finance Act 2021 (c. 26), s. 118(2), Sch. 27 para. 47(3)(c); S.I. 2024/440, reg. 2
Commencement Information
I1Sch. 20 para. 3 in force at 1.1.2017 by S.I. 2016/1249, reg. 2