CH73580 - Penalties for Failure to Notify: Calculating the penalty: Calculation process: Prompted disclosure calculation example - more than 12 months late

James has made a late notification having been prompted. His failure was non-deliberate. »Ê¹ÚÌåÓýapp notification was 15 months late. »Ê¹ÚÌåÓýapp PLR is £40,000.

Step 1

»Ê¹ÚÌåÓýapp percentage for the quality of the disclosure (a) has been calculated as 70%.

Step 2

»Ê¹ÚÌåÓýapp maximum penalty (b) is 30% and the minimum penalty (c) is 20%.

So the maximum disclosure reduction (d) is 30 - 20 = 10%.

Step 3

»Ê¹ÚÌåÓýapp actual reduction percentage for disclosure (e) is 10 x 70% = 7%.

Step 4

Penalty percentage to be charged (f) is 30% - 7% = 23%.

Step 5

»Ê¹ÚÌåÓýapp penalty to be charged (g) is £40,000 x 23% = £9,200.