Accounting procedures: Late returns
Section 7.7 of Notice 476 requires that the trader makes daily TP7 returns, unless you have authorised himto make monthly returns under the duty deferment arrangements.
In the case of deferred payments, the return must be made in time for the trader’saccount to be debited on the 15th day of the month (or as otherwise allowed by regulation17 of the “Tobacco Products Regulations 2001”). To ensure that the trader meetsthis requirement, the consolidated TP7 should be presented within currently 4-5 workingdays after the end of the monthly accounting period. You should agree the actual timelimit with the trader, after consulting the CDO.
Known instances of late returns are few. If you encounter this problem you may take actionunder Section 7(2) of the ‘TPD Act 1979’ and regulation 9(1) of the“Tobacco Products Regulations 2001”. Since the failure to render returns mayattract civil penalties, you should read the guidance in X-51 (Civil Penalties).
You should also inform the Tobacco Team of such cases because of the possible revenue andpolicy effects.