§ Sir John Cope
[holding answer 11 November 1992]: Failure to submit, or failure to complete correctly, EC sales lists and supplementary statistical declarations under Intrastat will render the trader liable to penalties approved by Parliament in the Finance Act 1992.
The penalty regime for EC sales lists will be a civil penalty regime, with penalties up to £100 for misdeclara-tions and up to £500 for failure to submit.
For Intrastat there will be a criminal penalty regime. Where enforcement becomes necessary Customs intend to take full advantage of the powers to compound which avoids criminalising administrative error, unless the trader rejects the offer to compound. Provided guilty knowledge or recklessness is not involved, the Commissioners will have regard to the seriousness of the error and the length of time it has remained unreported but in no case will the offer exceed the £2,500 maximum penalty provided for in the legislation.