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.

Wednesday, 22 August 2012

HMRC In Colombian Standoff With Ipsa

I am gemused to see that our "respected" and "morally erect" MPs (the group of people who like to  lecture the rest of us on the immorality of tax avoidance) have got themselves into hot water with HMRC.

It seems that, quite correctly, HMRC are a tad worried that MPs are claiming accountancy fees on expenses; these claims for fees might amount to taxable benefits, as opposed to work related costs.

MPs, being the "morally erect" citizens that they are,  have countered the allegation via the expenses watchdog (the Independent Parliamentary Standards Authority - Ipsa) asserting that they are business expenses.

FYI the costs being claimed are up to £5K per annum per MP.

The Guardian reports that HMRC have repeatedly told Ipsa that other employees are not allowed to claim back professional fees or the tax, and MPs should not be given special dispensation.

Ipsa insists that MPs are more akin to small businesses, which can reclaim such costs.

Funny that, I didn't know that public service was in fact a "business"!

Anyhoo, there is now a "Colombian standoff" between Ipsa and HMRC; it will be interesting to see who blinks first.

Now what was it Cameron, Gauke et al were saying about tax avoidance???

Tax does have to be taxing.

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