Revenue Scotland and Tax Powers Act 2014 section 163

Land and buildings transaction tax: 12 month penalty for failure to make return

Section 163 sets out the penalties that apply when a person fails to submit a land and buildings transaction tax return for more than 12 months after the penalty date.

• A penalty arises only if the failure to file continues beyond 12 months from the penalty date
• Where the person deliberately withholds information that would help Revenue Scotland assess their tax liability, the penalty is the greater of 100% of the tax due or £300
• In all other cases, the penalty is the greater of 5% of the tax due or £300
• The minimum penalty in either case is £300, ensuring a baseline consequence for prolonged non-compliance