Why inaccuracies penalties have been introduced?
The inaccuracy penalties have been designed to change customer behaviour and encourage better compliance in the future.The aim is to
- drive up and encourage voluntary compliance
- encourage and influence positive customer behaviour. For example, the way customers maintain their books and records from 1 April 2009 could later impact upon their liability to a penalty if they make an error
- educate and support those who try to comply
- penalise those who deliberately evade tax.