FHDDS51800 | Penalties, sanctions and offences: penalties – policy: special reduction

Legislation enables HMRC to reduce an FHDDS penalty where they think it is right because of special circumstances.

You must consider special reduction in all cases before issuing the penalty assessment, whether or not the person has requested special reduction.

The guidance on special reduction in CH170000 should be followed.

A submission to the Specialist Technical Team is required if you think special reduction may be applicable in your case, see CH175000.

You may refuse special reduction without making a technical submission but if you decide not to apply a special reduction and the taxpayer disputes your refusal, then you must submit the case for advice.