Corp Tax - Chapter 7

Question 1

Penalties for Failure to Notify Chargeability - Corp Tax

Answer 1

A company must give written notice to HMRC within three months of the start of its first accounting period

Question 2

Notification of chargeability

Answer 2

Notification of chargeability must be made within 12 months of the end of the accounting period.

Question 3

Penalties for Late Returns - Flat rate £

Answer 3

£100 for up to 3 months late.

£200 if more than 3 months

£500 & £500 for third offences

Question 4

Penalties for Late Returns - Tax Geared

Answer 4

A tax geared penalty of 10% applies if a return is not filed either within 18 months of the end of the relevant accounting period.

20% for two years late.

Question 5

Failing to keep records

Answer 5

At least 6 years, penalty of £3,000

Question 6

Failure to produce documents

Answer 6

Penalty of £3,00, if failure continues £60 per day.

30 days = 1000 per day

Question 7

Publishing Details of Deliberate Tax Defaulters

Answer 7

HMRC may publish information about any person who has incurred relevant tax
penalties in consequence of an investigation by HMRC, where the potential lost revenue exceeds £25,000.