Regulation 19 Special Reduction
(1)
If an officer of Revenue and Customs thinks it right because of special circumstances, the officer may reduce a penalty under this Part.
(2)
In paragraph (1), “special circumstances” does not include—
(a)
ability to pay, or
(b)
the fact that a potential loss of revenue from one taxpayer is balanced by a potential over-payment by another.
(3)
In paragraph (1), the reference to reducing a penalty includes a reference to—
(a)
staying a penalty, and
(b)
agreeing a compromise in relation to proceedings for a penalty.