Tax Collection and Management (Wales) Act 2016 section 145

Assessment of penalties under section 143

Section 145 sets out the process that the Welsh Revenue Authority must follow when assessing a penalty for failure to keep and preserve records, and the time limit within which such an assessment must be made.

• When a person becomes liable to a penalty for failing to keep and preserve records, the WRA must formally assess the penalty and notify the person accordingly.
• The WRA has a 12-month window in which to make the penalty assessment.
• The 12-month period starts from the day the WRA first believed the person had failed to comply with their record-keeping obligations.
• The record-keeping duties that can trigger this penalty relate to records required in connection with tax returns and claims under the Act.