What percentage is levied for the percentage-based penalty on VAT returns?

The percentage-based penalty increases depending on how long you wait to identify the error or omission.

• If you identify the error and submit Form 211 before any notification from the FTA, the percentage-based tax will be set at 5% of the difference in tax liability.
• If you identify the error and submit Form 211 after the FTA has issued a tax assessment, but before the FTA initiates a tax audit, the percentage-based tax will be set at 30% of the difference in tax liability.
• If you identify the error and submit Form 211 after the FTA has initiated a tax audit, the percentage-based tax will be set at 50% of the difference in tax liability.