Corporation Tax Act 2010 section 1107

Penalties

Section 1107 sets out the penalties that apply when a person fails to comply with the duty to provide tax certificates in connection with company distributions of dividends or interest.

• A penalty of £60 applies for each failure to provide a tax certificate as required under sections 1104 and 1105.
• The obligations cover both companies distributing dividends or interest and nominees acting on their behalf.
• There is an overall cap of £600 on total penalties where the failures all relate to a single distribution.
• The cap applies per person, per distribution, regardless of the number of individual offences committed.