TITLE II

THE INTEGRATED ADMINISTRATION AND CONTROL SYSTEM
CHAPTER IV

CALCULATION OF AID AND ADMINISTRATIVE PENALTIES RELATING TO DIRECT PAYMENTS SCHEMES AND RURAL DEVELOPMENT MEASURES IN THE SCOPE OF THE INTEGRATED SYSTEM
SECTION 1

General rules

Non-declaration of all areas
Article 16
1.
If, for a given year, a beneficiary does not declare all the agricultural parcels related to the areas referred to in Article 72(1) of Regulation (EU) No 1306/2013 and the difference between the overall area declared in the single application and/or payment claim on the one hand and the area declared plus the overall area of the parcels not declared, on the other, is more than 3 % of the area declared, the overall amount of area-related direct payments and/or support under area-related support measures payable to that beneficiary for that year shall be reduced by up to 3 % depending on the severity of the omission.
The penalty calculated in accordance with the first subparagraph shall be reduced by the amount of any administrative penalty applied in accordance with
Article 28(2)
Article 18a(2)
.
then the support under area-related support measures payable to that beneficiary for that year must be calculated on the basis of the area determined or the area declared, whichever is the lower
2.
Paragraph 1 shall also apply to payments related to the schemes provided for in Articles 46 and 47 of Regulation (EU) No 1308/2013, where the beneficiary is subject to cross-compliance obligations in accordance with Article 92 of Regulation (EU) No 1306/2013. The reduction percentage shall apply to the total amount of payments related to measures under Articles 46 and 47 of Regulation (EU) No 1308/2013 divided by 3 for restructuring and conversion.
3.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Art. 16(3) omitted (31.1.2020 in so far as it relates to the Common Agricultural Policy direct payment schemes) by virtue of The Financing, Management and Monitoring of Direct Payments to Farmers (Amendment) Regulations 2020 (S.I. 2020/90), regs. 1(2), 15(13); and Art. 16(3) omitted (31.12.2020 for the purposes of common organisation of the markets and rural development measures) by virtue of The Common Agricultural Policy (Financing, Management and Monitoring Supplementary Provisions) (Miscellaneous Amendments) (EU Exit) Regulations 2019 (S.I. 2019/765), regs. 1, 6(13)(b) (as substituted by S.I. 2020/1445, regs. 1(2)(b), 9(12)); 2020 c. 1, Sch. 5 para. 1(1)
Words in Art. 16(1) omitted (31.12.2020 for the purposes of common organisation of the markets and rural development measures) by virtue of The Common Agricultural Policy (Financing, Management and Monitoring Supplementary Provisions) (Miscellaneous Amendments) (EU Exit) Regulations 2019 (S.I. 2019/765), regs. 1, 6(13)(a) (as substituted by S.I. 2020/1445, regs. 1(2)(b), 9(12)); 2020 c. 1, Sch. 5 para. 1(1)
Words in Art. 16(1) substituted (N.I.) (25.2.2021) by The Direct Payments to Farmers (Simplifications) Regulations (Northern Ireland) 2021 (S.R. 2021/42), regs. 1(1), 6(4)
Words in Art. 16(1) omitted (W. in so far as relates to direct payments) (31.12.2020) by virtue of The Direct Payments to Farmers and Rural Affairs (Miscellaneous Amendments etc.) (Wales) (EU Exit) Regulations 2020 (S.I. 2020/1556), regs. 1(2)(a), 3(9); and omitted in so far as it relates to direct payments (E.) (1.1.2021) by virtue of The Direct Payments to Farmers and Cross-Compliance (Simplifications) (England) (Amendment) Regulations 2020 (S.I. 2020/1387), regs. 1(1), 7(6) (with reg. 1(2)); and omitted (W. in so far as it relates to domestic support for rural development) (26.3.2021) by virtue of The Agricultural Support (Miscellaneous Amendments) (Wales) (EU Exit) Regulations 2021 (S.I. 2021/400), regs. 1(2), 3(6)
Words in Art. 16(1) substituted in so far as it relates to rural development support measures (E.) (15.12.2022) by The Rural Development (Amendment) (No. 2) (England) Regulations 2022 (S.I. 2022/1225), regs. 1(1), 7(1)(3)
Art. 16(2) revoked (E.) (1.1.2024) by The Agriculture (Removal of Cross-Compliance and Miscellaneous Revocations and Amendments, etc.) (England) Regulations 2023 (S.I. 2023/816), reg., Sch. Pt. 1 para. 1 Table 2 (with Sch. Pt. 2 para. 2)