More on HMRC Going Soft on Penalties
I have come across some media commentary on the story of HMRC allowing appeals against £100 penalties.
The commentator astutely points out that it costs HMRC more than £100 to consider an appeal.
It is this excess of cost over benefit that led to the internal memo that reasonable excuse appeals should be simply waved through.
So, if you have a penalty of £100 or less, appeal on the grounds of a reasonable excuse. They may decide it would cost them more than the £100 to check whether your excuse is reasonable.