Regulation 87 makes the payment of Late Payment Interest mandatory. Reg. 87(2)(a) specifies that intesest is payable from the date payment was due to the date on which it is received. Obviously, when a revised Demand Notice is issued to include the interest, the date of receipt will not be known. It seems therefore that a two stage process will have to be adopted. Firstly a revised Demand Notice with interest calculated up to the date of the notice. Then secondly, after payment is received, another Demand Notice for just the interest from the date of the previous DN to the date of payment. Overall a time consuming business for what could be very small sums. Any thouights/comments/practical experience?
