RSTP4001 - Interest

Chapter 4 of the RSTPA 2014 legislation guidance covering interest on late payment of tax and penalties and repayment of tax.

Interest is commercial restitution, to compensate either us or you for the loss of the use of money. It is not a penalty or sanction. We will:

  • charge you interest for any late payment of tax (see RSTP4002) or late payment of penalties (see RSTP4003); and
  • apply interest to any repayment of tax, penalties or interest (on any tax or penalties) which we make to you (see RSTP4004).

The legislation relating to interest for the devolved taxes is provided under Part 9 of the RSTPA 2014 and The Revenue Scotland and Tax Powers Act (Interest on Unpaid Tax and Interest Rates in General) Regulations 2015.

Unless indicated otherwise, in this chapter of guidance:

  • 'we’, ‘us’ or ‘our’ means Revenue Scotland. ‘We’, ‘us’ or ‘our’ also includes Registers of Scotland or the Scottish Environment Protection Agency where either is carrying out a function delegated to it by us under section 4 of the RSTPA 2014; and
  • ‘you’ or ‘your’ means the person who is liable to pay either an amount of tax or a penalty, or (as the case may be) the person to whom we are making a repayment.

RSTPA guidance on the circumstances in which Revenue Scotland can charge interest for late payment of tax.

RSTPA guidance on the circumstances in which Revenue Scotland can charge interest for late payment of penalties.

RSTPA guidance on the circumstances in which Revenue Scotland will pay interest on repayments made by Revenue Scotland on tax and penalties.