The Scheme: secondary legislation: regulation 48
This regulation deals with default surcharges.
If a defaulting contractor has received a default notice (Regulation 47) and a surcharge notice (Regulation 49) they are liable to a surcharge: SI2005/2045 reg 48(1).
The surcharge will be the sum of all surcharges made on defaulted payments during the tax year in which the payments were due: SI2005/2045 reg 48(2).
The surcharge in respect of each default is the specified percentage of (A-B): SI2005/2045 reg 48(3).
The formula to be used in calculating the specified percentage and surcharge can be found at SI2005/2045 reg 48(4).
The definition of a ‘surcharge period’ is at Reg 48(5)
A surcharge is payable 30 days after the issue of the surcharge notice: Reg 48(6), SI2005/2045 reg 48(6).
TMA70/S102 applies to a surcharge payable under this para as if it were a penalty: SI2005/2045 reg 48(7).
ENABLING PROVISION - FA04/S71 (1)
See CISR17690 this regulation was revoked with effect from tax periods where tax was chargeable commencing 6 April 2010.