Clause 31 - Time limits for demands for penalties
Finance Bill
11:15 am
Mr John Healey (Economic Secretary, HM Treasury; Wentworth, Labour)
The clause sets out time limits for the issue of demand notices. The provisions are designed to protect the interests of those incurring penalties by ensuring that the threat of the penalty cannot hang over them indefinitely.
In response to the right hon. Member for Fylde, the time limits in the clause simply mirror those applying to the VAT civil penalties regime, which already exists and operates effectively.
In response to the hon. Member for Eddisbury, if there are problems with the time limits, I would expect them to be exposed during the operation of the new regime and to be identified in the review which we intend to undertake after about 18 months of its operation.