DANSP21800 - Decision types: Penalties decisions: Breach of regulations penalties

Section 8(1)(k) and 8(1)(l) of the Social Security Contributions (Transfer of Functions, etc.) Act 1999

Article 7(1)(k) and 7(1)(l) of the Social Security Contributions (Transfer of Functions, etc.) (Northern Ireland) Order 1999 (SI 1999 No 671);

section 113A of the Social Security Administration Act 1992;

section 107A of the Social Security Administration (Northern Ireland) Act 1992;

DANSP15100 explains that appealable decisions can be made about penalties where a person breaches social security regulations, which includes the

  • Social Security (Contributions) Regulations 2001 (SI 2001 No 1004),
  • Statutory Sick Pay (General) Regulations 1982 (SI 1982 No 894),
  • Statutory Sick Pay (General) Regulations (Northern Ireland) 1982 (SI 1982 No 263),
  • Statutory Maternity Pay (General) Regulations 1986 (SI 1986 No 1960),
  • Statutory Maternity Pay (General) Regulations (Northern Ireland) 1987 (SR 1987 No 30),
  • Statutory Paternity Pay and Statutory Adoption Pay (Administration) Regulations 2002 (SI 2002 No 2820),
  • Statutory Paternity Pay and Statutory Adoption Pay (Administration) Regulations (Northern Ireland) 2002 (SR 2002 No 379),
  • Statutory Shared Parental Pay (Administration) Regulations 2014 (SI 2014 No 2929),
  • Statutory Shared Parental Pay (Administration) Regulations (Northern Ireland) 2015 (SR 2015 No 91),
  • Statutory Parental Bereavement Pay (Administration) Regulations 2020 (SI 2020 No 246), and
  • Statutory Parental Bereavement Pay (Administration) Regulations (Northern Ireland) 2022 (SR 2022 No 168)

Examples of the breach of regulations which can result in the imposition of penalties include

  • an employer fails to keep statutory maternity pay records when required to do so - breaches regulation 26 of the Statutory Maternity Pay (General) Regulations 1986, see SP210500,
  • a self-employed person fails to notify HMRC that he became self-employed - breaches regulation 87 of the Social Security (Contributions) Regulations 2001, see NIM23008 for more information.

Where you need to issue formal decisions about a related matter on form DAA1, for example, about Class 2 National Insurance contributions liability, consider making a penalty determination at the same time. Most penalty determination notices provide the formal decision about the penalty and the right of appeal against the penalty. Where the penalty determination notices provide the formal decision do not use form DAA1.