HMRC Is Shite

HMRC Is Shite
Dedicated to the taxpayers of Britain, and the employees of Her Majesty's Revenue and Customs (HMRC), who have to endure the monumental shambles that is HMRC.

Friday, 15 June 2012

HMRC To Investigate Some Off Payroll Deals



Exaro News reports that HMRC will launch an investigation into the widespread practice of civil servants working ‘off payroll’.

The investigation into the "off payroll" arrangements will commence within a few months, and will focus on the “highest-risk cases” of suspected tax underpayment by senior public officials.

An HMRC spokesman told Exaro:
Where there are question marks, we shall look at those cases and take action.” 
He said that HMRC was already starting to “risk profile” individuals identified by the Treasury review.
We shall be looking through the list.

If they stand out as ‘high risk’, we shall be taking action as soon as possible.”
Given that some of HMRC's staff are also "off payroll":
"HM Revenue and Customs (HMRC) announced that nine staff has been paid ‘off-payroll’ and that since the discovery by Exaro News three of these positions have ended. 350 contracts that have paid civil servants ‘off-payroll’ have also ended; 35 civil servants have continued working under new terms and conditions." 

I wonder if HMRC will also be investigating them?

I suspect not, as HMRC have the get out clause of "high risk" and also will not be pursuing those whose arrangements have been sanctioned by HMRC.

In other words HMRC has placed itself outside of its own investigation.


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24 comments:

  1. I do not understand how HMRC can possibly investigate any other government department without first examining it's own arrangements. There are issues here beyond the simple one of whether the right tax was paid. Surely the key question has to be WHY were these arrangements necessary and how were these appointments sanctioned/approved? What I think would be found is a cosy cartel of senior management at HMRC effectively agreeing sinecures for their colleagues. Why, for instance, should a senior manager (having achieved his maximum pension pot) be allowed to leave on a Friday and reappointed on a consultancy basis on the following Monday? And also Ken you well know about the Deepak Patel case - was he not, as a consultant, paid a substantial sum of money to help him find a new job? How can these things be ignored? HMRC was and is a rule unto itself.

    ReplyDelete
  2. Steve Lamey is another one ... But he's leaving for a private sector job, so his will count as one of those 'ended'. HMRC stinks and is in dire need of a Leveson-style enquiry. Never mind the NAO and their whitewash.

    ReplyDelete
  3. Ken, remember that HMRC approved some if not most of these contracts. So, all those will also be excluded from their investigation!

    ReplyDelete
    Replies
    1. Hence my saying "I wonder if HMRC will also be investigating them?

      I suspect not, as HMRC have the get out clause of "high risk" and also will not be pursuing those whose arrangements have been sanctioned by HMRC.

      In other words HMRC has placed itself outside of its own investigation." :)

      Delete
    2. Tax avoidance campaigners UK Uncut win High Court permission to challenge an alleged "sweetheart" deal between HM Revenue and Customs (HMRC) and Goldman Sachs

      http://www.channel4.com/news/uk-uncut-allowed-to-challenge-goldman-sachs-tax-deal

      Good luck to them I hope it all comes out very publicly.

      Delete
  4. Each and everyone of them doing this fiddle should be immediately sacked and made to pay back every penny.

    ReplyDelete
    Replies
    1. Just in the Civil Service, or in the private sector too? If not......Why not??

      Is avoidance more reprehensible in the public sector? If so....Why???????

      Delete
    2. Does this apply to those in the private sector?

      As that where this "fiddle" started!

      Delete
    3. Correct me if I am wrong but what they are doing is not actually a crime or even wrong. The only reason this is a story is because HMRC and the government are making taking a moral stance on it while letting it take place within it's own agencies.

      Delete
  5. Just what is going on inside HMRC?
    Wonder how they treat their staff if this is their attitude to what is at least tax avoidance.
    Time for a deep cleanse, bring on the IPCC but dont let any attached bods get involved eh?
    Rumour has it that the cupboards cant hold anymore skeletons as they are full to bursting point, hmmm!

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  6. Keep reporting the lifting of the stones, and the worms revealed Ken. Something went badly wrong between my joining the Civil Service (DHSS) as a sprog in 1970 and getting back into the Civil Disservice (HMRC) at the age of 56. I realised, even during my training, that there were serious problems with integrity, honesty, literacy, intellect and transparency that never existed in 1970.

    Whodunnit??

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  7. I'm showing my ignorance here but just what does 'off payroll' actually mean and what is the issue here? (apart from the obvious HMRC treating itself differently than anyone else).

    In various sectors 'freelance' or 'contract staff' have been used in times off fluctuating workload and staffing levels. I know HMRC and certain sectors have questioned and debated this issue – admitting my ignorance – it appears to come down to what is a 'permanent' or temprary member of staff... and I suppose that definition is out there somewhere? Anyone?

    And the question of redundancy and remployment is a breach of the legislation and should be enforced. (redundant on Friday, 'Consultant' on Monday)... again HMRC treating itself differently... question as always is who makes a legal challenge to HMRC on employment? Nobody.

    AND

    while I'm at it, when figures are quoted about telephone waiting times and getting thorugh, are we talking about

    when the auto kicks in
    or
    the time it takes to actually speak to someone?
    or
    the time it takes to talk to the right person?
    or
    none of the above?

    ReplyDelete
  8. Lack of accountability plus lack of oversight and an NAO that wouldn't recognise a dead rat in a trifle and you begin to see what has been happening for years.
    Effectively left to its own devices with no fear of retribution and with the morals of a snake-oil sales "person" this failed and
    poorly led, whiteboard fixated, pacesetter "rabbit in the headlights organisation" has lost direction and is approaching its lowest point in its short history.
    An oversight group including the likes of Keith Vaz, Margaret Hodge, David Davies and Alsn Sugar should be given responsibility for a full investigation, particular attention being paid to backhanders of all sorts (if these occur of course). Stop the payment of all bonuses to all staff, how can such a dismal performance be gifted by awards is beyond me.
    The group should be given the power and tools to sort the mess out.
    Enough is enough stop treating your "customers" with such disdain HMRC!

    ReplyDelete
  9. Yep, he can tell 'em "Your Fired"! (Tax avoiders that is) and then select replacements LOL!

    ReplyDelete
    Replies
    1. You cannot fire someone that does not work for you.

      Delete
    2. Just as well, they would have to clear out Excom, they don't appear to be working for anyone either.
      Its a game not played to the rules, rather how far can we go before anyone does anything, look out here comes the NAO, better lay another place at the trough.

      Delete
  10. I would find it very hard to understand how any Board level member of HMRC or indeed an other government department could be regarded as anything other than Office holders under Section 5 ITEPA 2003. As such there earnings must fall within the remit of PAYE and Class 1 NIC. Perhap HMRC choose not to read their own guidance on this matter

    http://www.hmrc.gov.uk/manuals/esmmanual/esm2502.htm

    ReplyDelete
    Replies
    1. HMRC staff struggle with the basics of the tax code, it is very unfair of you to expect them to understand more complicated subjects such as employment status as well.

      Delete
    2. Better get it on the whiteboard then, training needed.

      Delete
  11. Do the public care about this gross waste of money that is HMRC?
    All the complaints seem to be about service by the staff which seems to be the wrong direction to take given the staff are merely doing what they are told, out of fear by the look of things from outside.
    Things appear to have happened which are almost unbelievable and thats before adding up the true cost of sweetheart deals.

    ReplyDelete
  12. What have Ken Dodd, Lord Leveson and Dave Hartnett got in common?

    He (Leveson) took silk in 1986, leading the prosecutions of:

    Ken Dodd for tax evasion in 1989.[6] Dodd, who was represented by George Carman QC, was acquitted after a three week trial.[7] Leading judge Sir Ronald Waterhouse QC later commented in interview on Leveson’s performance in the courtroom that “He lost the mood of the case, and he certainly lost the jury”.[8]

    Courtesy Guido Fawkes 2011

    ReplyDelete