Member Since: 3rd Jul 2009
5th Sep 2021
My initial thoughts related more to the increased stress from more deadlines. HMRC do not have a good record of understanding the problems inherent in computerised systems driving human responses. By increasing pressure from more deadlines the natural response may be to become less accurate as time becomes an increasingly scarce resource. This will probably result in mistakes and short cuts leading to false data entries (not necessarily deliberate). More time will then be required to correct these errors thus facilitating more time pressures. Costs for the taxpayer will inevitably increase. As this type of scenario develops the reaction of HMRC can only be imagined. Of course we will all try our best to comply but the risks of failure become ever greater and the potential results of that failure more problematic.
26th Aug 2021
Seems that IR35 is also being identified as a partial cause of the current crisis over the shortage of lorry drivers. I have no idea what its effects are in the IT industry but I would suspect that it is not positive. There must be other areas of business where its impact is damaging to prospects and potential. What is needed is for the business department to carry out a study of the impact on our economy and then spell out to HMRC that their remit is to assess and collect tax and not do all they can to damage the tax generation ability of the workforce. My experience of the IT industry is that currently wages offered are substantially less than that obtained by the contractor market and retention is starting to become a factor as skilled labour shortages arise.
It needs the politicians to understand that post Covid and Brexit we are developing a different type of economy and if we are to succeed we need to remove the barriers that prevent it operating efficiently. One of those barriers is IR35 and HMRC's dire efforts to impose and implement it. If government departments are using contractors and getting classifications wrong then I don't see why business should be considered to be able to do any better. IR35 is a classic example of the need to redesign the tax system around a modern economy, not tinker at the edges.
19th May 2021
I see from the article that HMRC are continuing their policy of making tax as opaque as possible whilst doing all they can to hinder compliance. What happened to the canons of taxation that I was taught were the mark of a good and efficient tax administration. A 30 day reporting policy is designed to catch people and trigger fines. Contrary to what spokes people say tax policy is increasingly designed to use penalties as an additional fund raising vehicle for the government. Why are our MPs complicit to such attitudes?
11th Jun 2019
I have a client who has just received a letter from a firm of accountants stuffed full of qualifieds informing him that he has likely overpaid SDLT on the purchase of his new home. It was addressed to the occupant. I hardly think that is a good advert for the profession where a statement can be made without any evidence whatsoever implying that other professionals have been deficient in their duty. By the way I checked and they were wrong, or have they got some magic scheme that goes back and alters circumstances to allow for a bit of a dodgy avoidance setup.
7th Jun 2019
Might I just point out that a bigger gain if Raab becomes Premier will that in the rush to prorogue Parliament he might omit to renew the taxing ability of the Exchequer and that we could all end up with a nil rate band in its entirety.
1st Apr 2019
Is it me or is the article missing something at the end?
Regarding HMRC's position I find it difficult to understand why they thought that a business didn't exist. Did they try to understand what happened to the business post sale. If it continued to exist, as implied, then they were entitled to profits, were entitled to grow the practice by employing other surgeons and advertising their services etc, so the facts would show something changed hands i.e. a business. Not surprised they lost.
12th Dec 2018
Is it me or are we being inundated with acronyms? HR, HMRC, BPT, RTI, EYU, FPS, YTD and lastly but not least PAYE. I know that it is more efficient in fast communication, but what happens when two or more of them clash? As an example FSB could mean the Financial Stability Board, Federation of Small Businesses or the Russian Secret Service. I see a new smart phone app coming along
6th Dec 2018
I take issue with the final statement. Not with its sentiments but with its tense. I think Brexit and the election of Trump are two signs that it has already arrived. And with its arrival has come an indication that new technologies bring huge dangers of which the latest incursion into the online database of Marriott is just one sign. New skills are needed and training by companies of their staff is abysmally deficient. If they are to survive and prosper, companies need to address that deficiency with an urgency that is sadly lacking at present.
3rd Dec 2018
Has The Office for Tax Simplification any comment to make, given that not even the experts appear to be able to arrive at a consensus so far? Pity the poor taxpayer who is expected to make sense of what should be a very basic understanding of the position. Perhaps a little understanding of taxpayer behaviour under stress might go some way to improve the behaviour of those who come up with such convoluted systems and rules. Or is it now part of government policy to inflict excess punishment in order to swell treasury coffers. Which ever way, the idea that penalties once incurred can be counter productive to compliance seems to have disappeared from the radar. Why is excessive punishment now seen as an acceptable way to bring miscreants back into the fold?
23rd Nov 2018
I am currently studying change management as part of my post graduate degree. Looking at the introduction of MTD from that point of view I would be inclined to mark it as -5 on a scale of 1 to 5 where 5 was excellent. The HoL is correct in their assessment of the situation. Whether MTD is desirable or not is beside the point. This is about whether HMRC will be successful in implementing it or not. So far the indications are that they will not. To introduce it at a time of intense uncertainty, as is existing over Brexit is total madness. About time the government grew up and understood their role in behaving responsibly by postponing the introduction to a more favourable time. They should also consider quality as a function of their decision making process.