CH270400 - How to do a compliance check: penalties for failure to comply with notices: Schedule 36 tax-related penalties
You will not assess daily penalties where records have been deliberately destroyed. Instead, you may need to consider whether a tax-related penalty is appropriate.
A tax-related penalty may also be appropriate where you consider that the maximum daily penalties that you can assess are insufficient in your particular case or the records have been destroyed - see CH26720.
This penalty is only relevant to a notice under Schedule 36. For cases under Sch 23 see CH270450.
However tax-related penalties are reserved for the most serious cases and they can only be decided by the Upper Tribunal on an application by an authorised officer.
If you think that a tax-related penalty should be imposed, you must discuss the case with your manager and then seek advice by following the guidance at CH910000 before making the application to the upper tribunal.
Penalty assessment charges will be created on SAFE by the SAFE Nominee - see CH270500.