Finance Act 1942

34 Provisions as to evidence in cases of fraud or wilful default.

(1) Statements made or documents produced by or on behalf of a person shall not be inadmissible in evidence against him in any such proceedings as are mentioned in subsection (2) of this section by reason only that it has been, drawn to his attention that—

(a) in relation to income tax the Commissioners of Inland Revenue may accept pecuniary settlements instead of instituting proceedings ;

(b) though no undertaking can be given as to whether or not those Commissioners will accept such a settlement in the case of any particular person, it is the practice of the Commissioners to be influenced by the fact that a person has made "a full confession of any fraud or default to which he has been a party, and has given full facilities for investigation,

and that he was or may have been induced thereby to make the statements or produce the documents.

(2) The proceedings mentioned in subsection (1) of this section are—

(a) any criminal proceedings against the person in question for any form of fraud or wilful default in connection with or in relation to income tax ;

(b) any proceedings against him for the recovery of any sum due from him, whether by way of tax or penalty, in connection with or in relation to income tax.