HMRC has published a summary of the responses it received to its consultation document on a new penalties regime. HMRC reports that amongst those who responded to the consultation, there was general agreement that there needed to be an effective penalty regime in order to challenge non-compliance, however, many respondents indicated that there ought to be a differentiation between those who generally comply with their obligations but may have slipped up, and those whose non-compliance was persistent. There was general criticism and concern in relation to HMRC’s current approach to penalties which many contributors considered to be overly rigid.
HMRC has indicated that it will issue two further consultations relating to reform of the regime applicable to (1) late filing and payment and (2) inaccuracies in returns, in due course.
The Summary of Responses can be read here.