31.03.10 HMRC Announce Penalties for non-registration
HMRC Announces important information for Money Service Businesses, High Value Dealers, Trust or Company Service Providers and Accountancy Service Providers who have failed to apply for Money Laundering Regulations Registration.
HMRC announce that a new late registration penalties policy has been introduced for Money Service Businesses, (MSBs) High Value Dealers, (HVDs) Trust or Company Service Providers, (TCSPs) and Accountancy Service Providers (ASPs).
Should businesses fail to register with HMRC they will be liable to a fixed penalty and any unpaid fees. These penalties only apply to businesses that must be registered with HMRC.
The new late registration penalty will be based on fixed penalty and any unpaid fees. This fixed penalty had been set at a £5,000. HMRC may issue a reduced penalty to businesses who notify them that they have been operating without being registered with us. This partial voluntary disclosure may lead to reductions in the penalty up to 70%.
Additional information for Trust of Company Service Providers and Accountancy Service Providers
From 01 April 2010 Trust or Company Service Providers and Accountancy Service Providers who have not registered with us will be liable to a penalty or prosecution.
If you send HMRC your completed application form and appropriate fees without further delay you may be given a reduced penalty. Under the Money Laundering Regulations Trust and Company Service Providers also have to apply for a ‘fit and proper’ test as part of the registration process.
If you are a Trust or Company Service Provider which should be registered with HMRC but cannot submit all completed fit and proper forms, then you should at least send us application form MLR 100 immediately.
Send the completed F&P forms with the fee as soon as possible thereafter because, without them, your application is not complete. Forms and fees should be sent, along with a brief note explaining why your application is late and/or incomplete, to:
Money Laundering Regulations Registration Team
HM Revenue and Customs
7th Floor, Alexander House
21 Victoria Avenue
Southend-on-Sea
SS99 1AG
3 Comments for this entry
BTC
Estate agents should be registered with the OFT. This should have been by 31 January 2010, a business under OFT supervision which trades without being registered is in breach of the Regulations and could be subject to civil penalties or prosecution.
I would suggest registering before they find you, since a full disclosure at present will more than likely still attract a nil penalty.
Follow the link below for full details
http://www.oft.gov.uk/OFTwork/aml/money-laundering/
mc
Is a 70% reduction the maximum for a voluntary discloure or do HMRC have further discretion? For example turnover for MLR purposes of usually less than £400 per year and a turnover of £2400 in 2010/11. Would they reduce or even waive a penalty for this level of income?
Thanks
steven sherman
Can you please advise if Estate Agents have to register and the penalties due if they do not. Thank you. Steven Sherman FCA CTA TEP