Studying the new penalty system
HMRC have launched a new online training module to help explain the changes in the penalty system for inaccurate tax returns and other related documents. The training also provides some further information on how the penalties will be applied by HMRC.
The substantial body of training is divided into the following seven chapters:
Chapter 1 – Overview of Legislation; Schedule 24 FA07
Chapter 2 – Establish Behaviour
Chapter 3 – Disclosing Inaccuracies
Chapter 4 – Calculating the Penalty
Chapter 5 – Decision Making and Authorisation
Chapter 6 – New Penalty System
Chapter 7 – Appeals and Central Penalty Teams
As an example, chapter 1 of the training comprises 38 pages and covers topics including the taxes to which Schedule 24 applies, what is a tax period and an understanding of the circumstances when penalties may be issued.