HMRC had better mind its relations with small businesses, according to a report from the Professional Contractors Group (PCG), otherwise it may find something of a peasants' revolt on its hands.
Seemingly, and I can't say that I am surprised, small business owners are so unhappy with the tax system that many may soon refuse to comply with their legal obligations.
PCG has warned that because the tax regime is so complex, uncertain and plagued by "sometimes strange and inconsistent...outcomes", the willingness of taxpayers to adhere to the rules "will begin to evaporate" with "small business taxation in particular...getting close to this dangerous territory".
Pretty strong stuff!
In its 'position paper', the PCG accused the government of becoming "more aggressive" in its attempt to extract the maximum revenue.
I fully agree with that. As I have noted before, Brown and his chums are broke and are desperate to shore up their unwieldy and excessive public expenditure programme by squeezing the taxpayer (that includes those who work for HMRC) dry.
PCG also note, again I agree with this, that ministers have "complicated the system substantially" in order to disguise high tax levels. However, let us be clear, the drive to complicate taxation comes from one man alone.
Can you guess who I am talking about children?
Yes, that's right, "Smiler" Brown.
PCG have asked for an independent review of small business taxation to work on new policies to be introduced during the next Parliament. It also wants no significant structural changes made for a "substantial period".
PCG managing director John Brazier said:
"Our new position paper represents a significant contribution to the debate around taxation in the UK.
In it, we identify where the problems are, and some of the solutions; but what we really want to see is an independent review deciding the exact shape of new reforms in a genuinely consultative manner."
Errmm...whilst I agree with that as well, they have as much chance of achieving their dream (under the current administration) as hell freezing over!
Still, good luck to them.
To the barricades!
Tax does have to be taxing.
HMRC Is Shite (www.hmrcisshite.com), also available via the domain www.hmrconline.com, is brought to you by www.kenfrost.com "The Living Brand"
Good luck to the PCG: it'll get nowhere. As I've commented before, resistance to the way the way the current tax regime is administered and constantly made more complex will never take off until the professionals - by this I mean the ICAEW and the other institutes - refuse to cooperate: not break the law - God forbid - but just "work to rule". The whole system would grind to a halt in days. Unfortunately, the likelihood of the senior members of the profession undertaking, let alone contemplating, such action is as close to zero as Brown's personality. Still, we can dream . . .
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