Customs Civil Penalties (CCPs) apply to customs rules relating to certain specified taxes and duties. The regime provides for a maximum penalty of up to £2,500 per contravention for the more significant irregularities and £1,000 per contravention for other irregularities. There is a minimum penalty of £250 which will usually be the first amount levied. The penalties increase to £500 and then £1,000, with additional steps of £2,000 and to the maximum penalty of £2,500.

The penalties can be even higher in the case of a serious error that either potentially results in the non-payment of significant amounts of Customs Duty and import VAT or where goods have been removed from customs control.

In most cases a warning letter will be issued before any penalty is levied. HMRC will not levy a penalty if a taxpayer discovers and discloses a contravention voluntarily. HMRC guidance on the matter is contained in Notice 301 entitled Civil Penalties for Contraventions of Customs Law.

Source: New feed