Revenue Scotland and Tax Powers Act 2014 section 210

Amount of penalty for failure to register for tax etc.

Section 210 sets out how the penalty amount is calculated when a person fails to comply with a requirement to register for tax with Revenue Scotland.

• A deliberate failure to register attracts a penalty of 100% of the potential lost revenue.
• A careless failure to register attracts a lower penalty of 30% of the potential lost revenue.
• For Scottish landfill tax, the potential lost revenue is the tax owed from the date registration was required until the date Revenue Scotland became aware of the person's liability to register.
• Any potential overpayment of tax by another person cannot be offset against the potential lost revenue when calculating the penalty.