The policy holiday surrounding taxation has been extended by the general election result on 8 June. This month's MTD podcast presents a progress check and considers the implications of all this uncertainty for HMRC's digital tax project.
The election fallout has been messy for MTD, combining elements of the “same as it ever was” and “hung Parliament” scenarios sketched out in AccountingWEB's election-eve analysis. Contrary to the rumours that suggested Chancellor Philip Hammond was on his way out the door at Number 11 Downing Street, he remains as a centre of, ahem, strength and stability within a reformatted Treasury team.
Hammond has been a relatively passive Chancellor so far and is already emphasising the need for reassuring calm in the wake of the election result. He was due to present the annual Mansion House speech on Thursday night, but pulled out at the last minute following the London tower block fire. We can safely assume that he will wish to go back to the autumn Budget plans that were so rudely interrupted by Theresa May’s ill-advised electoral gamble.
Among those unseated by Labour’s surprising surge was Exchequer Secretary to the Treasury Jane Ellison, who was the minister with day-to-day responsibility for HMRC.
As RSM tax consultant and Taxation magazine editor-in-chief Andrew Hubbard suggested this week, the unexpected election result offers for a pause for thought, and perhaps a reassessment of the MTD timetable. Our podcast panel of John Stokdyk, Rebecca Cave and Mark Purdue decided to do just that.