Section 30 – Civil penalties for failure to comply with assessor information notices.
137.Section 30 gives an assessor power to give a person who fails to comply with an assessor information notice a penalty notice imposing a civil penalty. The penalty notice must, under subsection (2), set out the reasons for giving it, specify the amount of the penalty, explain a person’s right to appeal and also warn the person that further, escalating penalties may be imposed if the person continues to fail to comply. Subsection (3) provides for how the amount of the penalty is to be determined – if the lands and heritages to which the assessor information notice relates are already entered in the valuation roll, the penalty is either £200 or (if greater) 1% of the rateable value of the lands and heritages (as stated in the valuation roll on the day on which the penalty notice is given).(32) If the lands and heritages are not already entered in the valuation roll, the penalty is £1,000.
138.If the person continues to fail to comply after a further period of 42 days, the person may be given a further penalty under subsection (4). Subsection (4) also provides for how the amount of the further penalty is to be determined. Where the lands and heritages to which the assessor information notice relates are entered in the valuation roll, the penalty is either £1,000 or (if greater) 20% of the rateable value of the lands and heritages (again as stated in the valuation roll on the day on which the original penalty notice is given).(33) If the lands and heritages are not already entered in the valuation roll, the further penalty is £10,000.
139.Under subsection (5), the person becomes liable to a further penalty if, 56 days after the giving of the original penalty notice (and 14 days after becoming liable to the higher penalties set out in subsection (4)), the person has still not complied with the original assessor information notice. In this case, the amount of the penalty is, where the lands and heritages to which the assessor information notice relates are entered in the valuation roll, either £1,000 or (if greater) 50% of the rateable value of the lands and heritages (the rateable value being that stated in the valuation roll on the day the original penalty notice was given).(34) If the lands and heritages are not entered in the valuation roll, the further penalty at this point is £50,000.
140.Subsection (7) provides that an assessor may mitigate or remit any penalty given.
141.The Scottish Ministers may by regulations (under subsection (8)) modify the rules set out in subsections (3), (4) and (5) for determining the amount of penalties (including by amending the figures and percentages specified in those subsections). The regulations are subject to the affirmative procedure. Before laying a draft of such regulations before the Scottish Parliament, the Scottish Ministers must consult such persons as they consider appropriate.
142.The Scottish Ministers may make regulations (under subsection (12)) about the form of penalty notices and how they may be given (for example, they might allow notices to be given by name or by a description such as “the occupier”). The regulations are subject to the negative procedure.
In practice, this means that lands and heritages would need to have a rateable value of more than £20,000 in order for a penalty under subsection (3)(a) to exceed the £200 specified in sub-paragraph (i) of that subsection – although the £200 figure can be altered by regulations, as can the percentage specified in sub-paragraph (ii) (see subsections (8) to (11)).
In this case, lands and heritages would need to have a rateable value of more than £5,000 in order for a penalty under subsection (4)(a) to exceed the £1,000 figure specified in sub-paragraph (i) of that subsection – again, though both the £1,000 figure and the percentage specified in sub-paragraph (ii) can be altered by regulations under subsection (8).
Finally, in this case, lands and heritages would need to have a rateable value of more than £2,000 in order for a penalty under subsection (5)(a) to exceed the £1,000 figure specified in sub-paragraph (i) of that subsection. Once again, though, both that £1,000 figure and the percentage specified in sub-paragraph (ii) can be altered by regulations under subsection (8).
