Taxes Management Act 1970 section 95A

Incorrect partnership return or accounts

Section 95A dealt with penalties for partners who fraudulently or negligently submitted incorrect partnership tax returns or accounts, but has now been replaced by a newer penalty regime.

• This section imposed penalties on partners who delivered incorrect partnership returns, accounts or statements to HMRC, where the inaccuracy was due to fraud or negligence.
• The penalty regime under this section has been repealed and replaced by the provisions introduced by Finance Act 2007, Schedule 24, which sets out a modernised penalty framework for inaccuracies in returns and other documents.
• The repeal took effect for returns and other documents relating to periods commencing on or after 1 April 2008 for most purposes, with transitional provisions applying to earlier periods.
• Under the replacement regime, penalties for inaccuracies are based on the behaviour that led to the error (careless, deliberate, or deliberate and concealed) rather than the older concepts of fraud and negligence.