Aggregates levy - errors and penalties

By Tolley
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The following Value Added Tax guidance note by Tolley provides comprehensive and up to date tax information covering:

  • Aggregates levy - errors and penalties
  • Failure penalties
  • Correcting errors
  • HMRC inspections
  • Penalties for other errors
  • Mitigating penalties and interest
  • Security
  • Appeals

This note provides an overview of the penalties that can be imposed on a business that fails to account for their aggregates levy at the correct time. This note should be read in conjunction with the Registering for aggregates levy and Accounting for aggregates levy guidance notes.

Please note that all references to the Aggregates Levy Guidance Manual are subscription sensitive.

Failure penalties

Businesses can be liable to penalties for a number of different types of failures and the following table provides an overview of the types of penalties that can be imposed on or after the 1 April 2010.

AGL7000; AGL8000; FA 2001, Schs 4 – 7 (subscription sensitive); FA 2007, Sch 24; FA 2008, Sch 41
Type of failurePenalty imposed
Failure to notify HMRC that the business is required to be registered by the relevant dateA tax geared penalty will be levied and it will be calculated from:
(a) the date the business was required to be registered (or would be required to be registered except for the fact that the business is exempt from registration and its requirements), to the date HMRC receive notification of its liability to be registered, or
(b) the date that HMRC became aware of the business’ requirement to be registered (or would be required to be registered except for the fact that it is exempt from registration and its requirements).
See the Penalties -

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