Augean issued notice of intended penalty by HMRC

Specialist waste management company Augean has been issued with a notice of intended penalty from Her Majesty’s Revenue and Customs for its Augean South business, it confirmed on Friday, for a total amount of £4.6m, covering the period from 1 June 2013 to 30 May 2018.

The AIM-traded firm said HMRC intended to issue the penalty on 30 August.

It said no further announcement would be made unless the intended penalty was withdrawn, or was issued for an amended value.

“It was advised with the group's interim results on 17 July that penalties could be issued,” the board said in its statement.

“The group will vehemently challenge and appeal this intended penalty with the tax tribunal expected in 2020.

“The group continues to believe, based on legal advice, that it has paid the correct amount of landfill tax and that HMRC's assessments and intended penalty are incorrect.”

Augean said no financial provision would be made for HMRC's assessments, or the intended penalty, based on legal advice received.