136(1)This paragraph applies—U.K.
(a)to any criminal proceedings against a person in respect of an offence in connection with or in relation to levy; and
(b)to any proceedings against a person for the recovery of any sum due from him in connection with or in relation to levy.
(2)Statements made or documents produced or provided by or on behalf of a person shall not be inadmissible in any proceedings to which this paragraph applies by reason only that—
(a)a matter falling within sub-paragraph (3) or (4) has been drawn to that person’s attention; and
(b)he was or may have been induced, as a result, to make the statements or to produce or provide the documents.
(3)The matters falling within this sub-paragraph are—
(a)that, in relation to levy, the Commissioners may assess an amount due by way of a civil penalty instead of instituting criminal proceedings;
(b)that it is the practice of the Commissioners (without giving any undertaking as to whether they will make such an assessment in any case) to be influenced by whether a person—
(i)has made a full confession of any dishonest conduct to which he has been a party; and
(ii)has otherwise co-operated to the full with any investigation.
(4)The matter falling within this sub-paragraph is the fact that the Commissioners or, on appeal, an appeal tribunal have power under any provision of this Schedule to reduce a penalty.