Supporting Guidance: employer compliance: guidance by subject: penalties: CIS until 05-04-07 - submission of inaccurate or incomplete CIS25 vouchers
COG909570 explains the types of vouchers used under CIS until 05-04-07 and the action to be taken by a contractor / subcontractor.
ICTA1988/S566(2C) provides for
- a penalty not exceeding £3000
where a contractor has
- failed to properly inspect a registration card, and has as a result
- submitted inaccurate or incomplete CIS 25 vouchers and they are
- inaccurate or incomplete in any material respect.
(This content has been withheld because of exemptions in the Freedom of Information Act 2000)
If the contractor
- inspected a valid registration card, or
- a document that he had reasonable grounds to believe was a valid registration card
- took reasonable steps to make sure that the vouchers were correct
a penalty will not be sought in accordance with S566(2D).
Whenever you identify that a contractor has submitted inaccurate or incomplete CIS25 vouchers you must
- establish the extent of the errors/omissions
- explore the reasons for the errors/omissions and
- consider whether a penalty is appropriate.
Before seeking this penalty you can
- contact TAA Technical for advice - see COG904770.
Where the contractor’s actions have resulted in an incorrect CIS 36 being submitted you should
- consider penalties under S98A4 TMA 1970 COG914070.