NIM12202 - Class 1: Personal Liability Notices: what does HMRC have to prove to issue a PLN?

Section 121C of the Social Security Administration Act 1992 (SSAA 1992)

Section 121C of the SSCA 1992 provides HMRC with the power to issue a Personal Liability Notice to an individual in circumstances where:

  • a body corporate has failed to pay the ‘contributions’ due at or within the prescribed time


  • that failure is, in the opinion of HMRC, attributable to the fraud or neglect of one or more individuals who, at the time of the fraud or neglect, were ‘officers’ of the company - such officers are known as ‘culpable officers’

‘Contributions’ include primary and secondary Class 1 NICs, Class 1A NICs, Class 1B NICs and related interest or penalties charged in respect of these contributions.

For the meaning of:

The burden of proof rests with HMRC.

The standard of proof required is the normal civil standard, on a balance of probabilities.