Taxes Management Act 1970 section 100

Determination of penalties by officer of Board

Section 100 sets out the powers of an authorised HMRC officer to determine and impose penalties under the Taxes Acts, and explains the procedures for notifying the taxpayer, amending the penalty, and correcting overpayments.

• An authorised HMRC officer may impose a penalty under any provision of the Taxes Acts, setting it at the amount the officer considers correct or appropriate, unless court proceedings have already been started or the penalty falls within certain excluded categories.
• A notice of the penalty determination must be served on the person liable, stating the date of issue and the deadline for making an appeal; once served, the determination can only be changed in accordance with this section or on appeal.
• If the officer later discovers that the penalty amount is insufficient, a further determination may be made to increase it to the correct or appropriate level.
• Where a penalty relates to a late corporation tax return and it is subsequently found that the tax amount used to calculate the penalty was too high, the determination must be revised downwards and any overpayment refunded.