Sch 12 para 8
(1) Section 98A of the Taxes Management Act 1970 is amended as follows. (2) In subsection (1) (regulations which may provide for section 98A to apply) for “section 566 (1) (sub-contractors) of the principal Act” substitute “ section 70(1)(a) or 71 of the Finance Act 2004 (sub-contractors) ” . (3) In subsection (2)(b) (penalty for failure to make return continuing beyond 12 months)— (a) after “not exceeding” insert— (i) in the case of a provision of PAYE regulations, (b) at the end insert , or (ii) in the case of a provision of regulations under section 70(1)(a) or 71 of the Finance Act 2004, £3,000. (4) In subsection (4)(a) (penalty for fraudulently or negligently making incorrect return) after “year of assessment” insert “ (in the case of a provision of PAYE regulations) or period (in the case of a provision of regulations under section 70(1)(a) or 71 of the Finance Act 2004) ” .