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, 20 June 2018

David Bunting To Become Interim HMRC General Counsel



Last week I noted that Gill Aitken, HMRC’s General Counsel and Solicitor, is to leave HMRC on 30 June, to take up a new role as Registrar at the University of Oxford.

Whilst HMRC start the "open" recruitment process an interim appointment will be made.

Step forward David Bunting, who currently works in the cross-government Border Delivery Group, as its interim general counsel and solicitor.

Civil Service World reports that Bunting trained in the Inland Revenue and has more than 20 years’ legal experience. He has led HMRC legal teams dealing with tax policy and legislation in relation to UK business and environmental taxes including Corporation Tax, VAT, Customs and Excise duties, oil and gas taxation, Landfill Tax, Climate Change Levy and betting and gaming duties. He has also led HMRC’s litigation activity.

In 2008 he became a senior civil servant, and in 2012 was appointed legal director at HMRC. In 2017 he moved to the Border Delivery Group – a cross-government team led by HMRC’s director general for border coordination Karen Wheeler, which focuses on the operational and practical impacts of Brexit on UK borders.

On 1 July, Bunting will become director general of the Solicitor’s Office and Legal Services Group and will join the department’s executive committee, reporting to chief executive Jon Thompson.

There will be an open recruitment process in the coming months to fill the role permanently, and HMRC said it would confirm any new arrangements in the Border Delivery Group in due course.
Aitken has been at the tax agency since 2014. Commenting on her departure, Thompson said: “She has helped to shape our departmental strategy and I’ll really miss her wise counsel.

What's the betting that Bunting becomes permanent?

New arrangements in the Border Delivery Group will be announced (decided) in due course.


Tax does have to be taxing.

Professional Cover Against the Threat of Costly TAX and VAT Investigations

Insurance to protect you against the cost of enquiry or dispute with HMRC is available from several sources including Solar Tax Investigation Insurance.

Ken Frost has negotiated a 10% discount on any polices that may suit your needs.

However, neither Ken Frost nor HMRCISSHITE either endorses or recommends their services.

What is Solar Tax Investigation Insurance?

Solar Tax Investigation Insurance is a tax-fee protection service that will pay up to £75,000 towards your accountant's fees in the event of an HM Revenue & Customs full enquiry or dispute.

To find out more, please use this link Solar Tax Investigation Insurance



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"

Tuesday, 19 June 2018

Beware HMRC's Enablers - Crassly Ignorant Reporters Looking For a Cheap Headline


IHT spousal exemption is not "tax dodging"!

Tax does have to be taxing.

Professional Cover Against the Threat of Costly TAX and VAT Investigations

Insurance to protect you against the cost of enquiry or dispute with HMRC is available from several sources including Solar Tax Investigation Insurance.

Ken Frost has negotiated a 10% discount on any polices that may suit your needs.

However, neither Ken Frost nor HMRCISSHITE either endorses or recommends their services.

What is Solar Tax Investigation Insurance?

Solar Tax Investigation Insurance is a tax-fee protection service that will pay up to £75,000 towards your accountant's fees in the event of an HM Revenue & Customs full enquiry or dispute.

To find out more, please use this link Solar Tax Investigation Insurance



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"

Monday, 18 June 2018

HMRC Harasses Those With Mental Health Problems



HMRC has been criticised for failing to recognise mental health issues after it continued to target vulnerable taxpayers despite being issued with warnings from medical professionals.

The Telegraph states that is has been contacted by some of its readers who said their mental health had deteriorated because of the way they had been hounded for cash by HMRC.

In some cases this pursuit continued even after HMRC acknowledged that they were vulnerable. In one instance a high-profile figure attempted suicide after HMRC failed to correctly note his vulnerable person status and continued to contact him.

Others have been left unable to work after suffering anxiety and depression as a result of HMRC inquiries, while one reader asked solicitors to intervene on his behalf.  These cases highlight the lack of recognition and protection for those with mental health difficulties.

HMRC apologised for not meeting its own guidelines, losing letters and failing to return calls.

Andrew Neil, an IT contractor from Llandudno, sent multiple letters from doctors to HMRC, which ignored them.

HMRC acknowledged that Mr Neil was a vulnerable person in November 2016, but continued to send letters and contact him by telephone. The taxman also lost a letter sent by Mr Neil for almost four months and failed to call his wife back after she tried to intervene.

It has apologised for each of these oversights.
Mr Neil and others are among the thousands of people targeted by the taxman because of the way they structured their finances in the past, using loans instead of payments for their income.

These tax arrangements, which were generally considered legal at the time, have since been challenged by HMRC.

Those who have fallen foul now face large tax bills and penalties, sometimes in the hundreds of thousands of pounds. Because of the way HMRC is seeking to collect the tax, the “loan charge” payments due could be much higher than the amount originally owed.

HMRC told Telegraph Money it had safeguards in place to support those with mental health problems.That's all very well, but from the above it seems that HMRC does not follow its own rulebook on the subject of mental health!

Tax does have to be taxing.

Professional Cover Against the Threat of Costly TAX and VAT Investigations

Insurance to protect you against the cost of enquiry or dispute with HMRC is available from several sources including Solar Tax Investigation Insurance.

Ken Frost has negotiated a 10% discount on any polices that may suit your needs.

However, neither Ken Frost nor HMRCISSHITE either endorses or recommends their services.

What is Solar Tax Investigation Insurance?

Solar Tax Investigation Insurance is a tax-fee protection service that will pay up to £75,000 towards your accountant's fees in the event of an HM Revenue & Customs full enquiry or dispute.

To find out more, please use this link Solar Tax Investigation Insurance




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"



Friday, 15 June 2018

Tax Gap £33BN


The tax gap slightly increased to £33bn (5.7%) in 2016/17, up from the previous year's revised figure of 5.7% (£32bn). This year, despite the gap increase, the percentage remained at 5.7%.

The tax gap is the difference between the amount of tax that should be paid to HMRC and what is actually paid.

HMRC note that 41% of the tax gap came from small businesses. The group is responsible for an overall gap of £13.7bn. Large businesses accounted for a further £7bn.

The majority of the tax gap came from failing to pay income tax (IT), national insurance contributions (NICs) and capital gains tax (CGT), amounting to a total of £13.5bn. Unpaid value added tax also contributed £11.7bn to the tax gap and corporate tax added £3.5bn.

The tax gap was driven by failure to take reasonable care (£5.9bn), by criminal acts (£5.4bn), tax evasion (£5.3bn), legal interpretation (£5.3bn), non-payment (£3.5bn), error (£3.2bn), hidden economy (£3.2bn) and finally tax avoidance (£1.7bn).

In other words, despite government and HMRC BS, avoidance is not the key issue!


Catherine Robbins, partner at Pinsent Masons, is quoted in economia:

Very few businesses are engaged in tax avoidance schemes now and as HMRC hunts for new sources of revenue, it is increasingly coming down hard on basic, almost routine errors.
Basically HMRC will go after low hanging fruit, ie:

- SME's
- Individual taxpayers

Tax does have to be taxing.

Professional Cover Against the Threat of Costly TAX and VAT Investigations

Insurance to protect you against the cost of enquiry or dispute with HMRC is available from several sources including Solar Tax Investigation Insurance.

Ken Frost has negotiated a 10% discount on any polices that may suit your needs.

However, neither Ken Frost nor HMRCISSHITE either endorses or recommends their services.

What is Solar Tax Investigation Insurance?

Solar Tax Investigation Insurance is a tax-fee protection service that will pay up to £75,000 towards your accountant's fees in the event of an HM Revenue & Customs full enquiry or dispute.

To find out more, please use this link Solar Tax Investigation Insurance



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"

Thursday, 14 June 2018

Completely Cretinous


The proposal for a post-Brexit customs arrangement, that the EU rejected, has cost taxpayers £680K in consultancy fees paid by HMRC to McKinsey & Company.

The contract awarded in January and lasting until March saw McKinsey taken on to provide an “assessment of import initiated supply chain and commercial feasibility” of the UK continuing to manage tariffs on imports destined for the EU despite having left the bloc’s customs union, while also enforcing its own independent tariff regime. 

While McKinsey has not commented on the work, a spokesperson for the Treasury – which oversees Her Majesty’s Revenue and Customs (HMRC) – was quoted as saying that the government wanted to “harness expertise from both the private and public sector” to “ensure trade with the EU is as frictionless as possible. 

Jacob Rees-Mogg described it as “completely cretinous” and a “betrayal of common sense.” 

Tax does have to be taxing.

Professional Cover Against the Threat of Costly TAX and VAT Investigations

Insurance to protect you against the cost of enquiry or dispute with HMRC is available from several sources including Solar Tax Investigation Insurance.

Ken Frost has negotiated a 10% discount on any polices that may suit your needs.

However, neither Ken Frost nor HMRCISSHITE either endorses or recommends their services.

What is Solar Tax Investigation Insurance?

Solar Tax Investigation Insurance is a tax-fee protection service that will pay up to £75,000 towards your accountant's fees in the event of an HM Revenue & Customs full enquiry or dispute.

To find out more, please use this link Solar Tax Investigation Insurance



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"

Wednesday, 13 June 2018

Gill Aitken To Leave HMRC


Gill Aitken, HMRC’s General Counsel and Solicitor, is to leave HMRC on 30 June, to take up a new role as Registrar at the University of Oxford.

As per HMRC:
A recruitment exercise will begin in due course, and interim arrangements for the leadership of the Solicitors Office and Legal Services team will be confirmed shortly.
Gill said:
Law really shapes and changes lives and I have been fortunate in having a civil service career so close to the buzz of politics. I have been able to influence and support decisions which affect our lives and society.
HMRC Chief Executive Jon Thompson said:
I’m hugely grateful to Gill for her contribution to HMRC. She has led a very successful litigation team that has protected billions in revenue and has played a vital role in shaping complex tax legislation. She has helped to shape our departmental strategy and I’ll really miss her wise counsel.

In 2013 I noted:
"HMRC have appointed a new general counsel to replace the retiring Anthony Inglese. Gill Aitken from the Department of Work & Pensions’ (DWP) where she is director general of legal services, will take up the role at the end of January 2014.

As an aside, in 2010 she topped the DWP bonus league by earning a £10K bonus on top of her £125K salary
."


Tax does have to be taxing.

Professional Cover Against the Threat of Costly TAX and VAT Investigations

Insurance to protect you against the cost of enquiry or dispute with HMRC is available from several sources including Solar Tax Investigation Insurance.

Ken Frost has negotiated a 10% discount on any polices that may suit your needs.

However, neither Ken Frost nor HMRCISSHITE either endorses or recommends their services.

What is Solar Tax Investigation Insurance?

Solar Tax Investigation Insurance is a tax-fee protection service that will pay up to £75,000 towards your accountant's fees in the event of an HM Revenue & Customs full enquiry or dispute.

To find out more, please use this link Solar Tax Investigation Insurance



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"

Tuesday, 12 June 2018

Is HMRC Deliberately Cutting Off Calls To Fiddle The Stats?


Tax does have to be taxing.

Professional Cover Against the Threat of Costly TAX and VAT Investigations

Insurance to protect you against the cost of enquiry or dispute with HMRC is available from several sources including Solar Tax Investigation Insurance.

Ken Frost has negotiated a 10% discount on any polices that may suit your needs.

However, neither Ken Frost nor HMRCISSHITE either endorses or recommends their services.

What is Solar Tax Investigation Insurance?

Solar Tax Investigation Insurance is a tax-fee protection service that will pay up to £75,000 towards your accountant's fees in the event of an HM Revenue & Customs full enquiry or dispute.

To find out more, please use this link Solar Tax Investigation Insurance



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"

Technical Foul Up With Comments

Sorry folks, but for some reason most comments made over the last two weeks or so have been going into my "awaiting moderation" box without me knowing it.

Hope fully they have now all been published?

Tax does have to be taxing.

Professional Cover Against the Threat of Costly TAX and VAT Investigations

Insurance to protect you against the cost of enquiry or dispute with HMRC is available from several sources including Solar Tax Investigation Insurance.

Ken Frost has negotiated a 10% discount on any polices that may suit your needs.

However, neither Ken Frost nor HMRCISSHITE either endorses or recommends their services.

What is Solar Tax Investigation Insurance?

Solar Tax Investigation Insurance is a tax-fee protection service that will pay up to £75,000 towards your accountant's fees in the event of an HM Revenue & Customs full enquiry or dispute.

To find out more, please use this link Solar Tax Investigation Insurance



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"

Monday, 11 June 2018

HMRC Won't Answer FOI Request


HMRC have answered my recent FOI request re counter avoidance, saying they won't answer my questions:
"Dear Ken Frost

Freedom of Information Act 2000 (FOIA)
 
Thank you for your request, which was received on 16 May, for the following information:

“1) How much tax yield has been allocated to the activities of the Counter Avoidance Group
since its inception?
2) How many cases previously worked in local compliance offices had been successfully
progressed to conclusion with non-zero yield?
3) How many cases had been closed with zero yield by Counter Avoidance?
4) How many cases had been closed because the inquiry window has been passed since
the cases were initially brought for inquiry?”

I can confirm that HMRC holds information that falls within the scope of your request.
However, we estimate that it would exceed the FOIA cost limit to deal with it. The cost limit,
which is specified in regulations, equates to one person spending 3½ working days locating
and extracting all of the information within scope of the request. 

Normally, HMRC would explore with you how you might be able to narrow or refine your
request so that it did not exceed the FOIA cost limit. However, in this case, I cannot see any
scope for doing this.

To provide the information you have requested, we would need to carry out manual search
as well search various recording systems across multiple HMRC business streams and
offices to extract, locate and identify cases previously dealt with in local compliance offices
before the inception of the Counter-Avoidance Directorate. We would then need to conduct
an in-depth review of each case to ascertain whether it relates to tax avoidance, whether it
has been successfully progressed to conclusion, whether or not there was a yield or not and
whether it was closed because the inquiry window has been missed or not.                                                                                        

I have established that the time necessary to complete this task would exceed the cost limit
by some way. Consequently, under section 12(1) of the FOIA, HMRC is not obliged to
comply with your request and we will not be processing it further.

Outside of the FOIA 
To be helpful and outside of the FOIA, in 2013 HM Revenue and Customs set up a
dedicated Counter Avoidance Directorate, bringing together technical, policy and operational expertise from across the Department into one place, in order to concentrate their focus on 

tackling marketed tax avoidance schemes. 
 
Since 2014, £4.5 billion has been received from Accelerated Payment Notices (APNs) and 
over £4 billion has been collected from settlements of marketed avoidance cases. 
 
We currently win over 90% of avoidance cases taken to litigation by taxpayers, many more 
choose to settle before their cases get this far.  
 
If you are not satisfied with this reply you may request a review within two months by 
emailing xxx.xxxxxx@xxxx.xxx.xxx.xx, or by writing to the address at the top right-hand side 
of this letter.    
 
If you are not content with the outcome of an internal review, you can complain to the 
Information Commissioner’s Office. The following link explains how to do this: 
https://ico.org.uk/concerns/ "

Tax does have to be taxing.

Professional Cover Against the Threat of Costly TAX and VAT Investigations

Insurance to protect you against the cost of enquiry or dispute with HMRC is available from several sources including Solar Tax Investigation Insurance.

Ken Frost has negotiated a 10% discount on any polices that may suit your needs.

However, neither Ken Frost nor HMRCISSHITE either endorses or recommends their services.

What is Solar Tax Investigation Insurance?

Solar Tax Investigation Insurance is a tax-fee protection service that will pay up to £75,000 towards your accountant's fees in the event of an HM Revenue & Customs full enquiry or dispute.

To find out more, please use this link Solar Tax Investigation Insurance



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"

Friday, 8 June 2018

Shenanigans At The BBC


Tax avoidance is perfectly legal. However, HMRC has deemed this type of scheme no longer to be a valid means of avoidance.

I wonder though if, having been so keen to enable its stars to avoid tax, will the BBC stand by them when HMRC come after them?

Tax does have to be taxing.

Professional Cover Against the Threat of Costly TAX and VAT Investigations

Insurance to protect you against the cost of enquiry or dispute with HMRC is available from several sources including Solar Tax Investigation Insurance.

Ken Frost has negotiated a 10% discount on any polices that may suit your needs.

However, neither Ken Frost nor HMRCISSHITE either endorses or recommends their services.

What is Solar Tax Investigation Insurance?

Solar Tax Investigation Insurance is a tax-fee protection service that will pay up to £75,000 towards your accountant's fees in the event of an HM Revenue & Customs full enquiry or dispute.

To find out more, please use this link Solar Tax Investigation Insurance



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"

Wednesday, 6 June 2018

HMRC Is Shite!



Tax does have to be taxing.

Professional Cover Against the Threat of Costly TAX and VAT Investigations

Insurance to protect you against the cost of enquiry or dispute with HMRC is available from several sources including Solar Tax Investigation Insurance.

Ken Frost has negotiated a 10% discount on any polices that may suit your needs.

However, neither Ken Frost nor HMRCISSHITE either endorses or recommends their services.

What is Solar Tax Investigation Insurance?

Solar Tax Investigation Insurance is a tax-fee protection service that will pay up to £75,000 towards your accountant's fees in the event of an HM Revenue & Customs full enquiry or dispute.

To find out more, please use this link Solar Tax Investigation Insurance



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"

Tuesday, 5 June 2018

The Producers - Jailed For Tax Fraud



A motley crew indeed, and a plot line similar to The Producers.

Tax does have to be taxing.

Professional Cover Against the Threat of Costly TAX and VAT Investigations

Insurance to protect you against the cost of enquiry or dispute with HMRC is available from several sources including Solar Tax Investigation Insurance.

Ken Frost has negotiated a 10% discount on any polices that may suit your needs.

However, neither Ken Frost nor HMRCISSHITE either endorses or recommends their services.

What is Solar Tax Investigation Insurance?

Solar Tax Investigation Insurance is a tax-fee protection service that will pay up to £75,000 towards your accountant's fees in the event of an HM Revenue & Customs full enquiry or dispute.

To find out more, please use this link Solar Tax Investigation Insurance



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"

Monday, 4 June 2018

HMRC's Spend on Consultants Rises by 9,000pc



HMRC's spending on consultants has risen by a “staggering” 9,000 per cent, while customer service has plummeted.

MPs are going to call for an investigation into HMRC's use of external consultants.


In April, HMRC spent £844,188 on consultants - the highest monthly amount since 2011 and more than HMRC’s entire annual spending on consultants in 2015, official figures published this week show.

The latest amount is nearly 9,000 per cent greater than the £9,618 HMRC spent in the equivalent period in 2015.

For why the increase:

1 HMRC are cutting back on staff, and

2 HMRC's IT systems are shite, and it needs external support to keep them running and maybe upgrade them.

The irony is given HMRC's obsession with IR35, many of these consultants will be withdrawing their services and HMRC will have a very hard job indeed finding more to plug the holes!

Tax does have to be taxing.

Professional Cover Against the Threat of Costly TAX and VAT Investigations

Insurance to protect you against the cost of enquiry or dispute with HMRC is available from several sources including Solar Tax Investigation Insurance.

Ken Frost has negotiated a 10% discount on any polices that may suit your needs.

However, neither Ken Frost nor HMRCISSHITE either endorses or recommends their services.

What is Solar Tax Investigation Insurance?

Solar Tax Investigation Insurance is a tax-fee protection service that will pay up to £75,000 towards your accountant's fees in the event of an HM Revenue & Customs full enquiry or dispute.

To find out more, please use this link Solar Tax Investigation Insurance



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"

Friday, 1 June 2018

Irony Tax Scam Call Alert



Tax does have to be taxing.

Professional Cover Against the Threat of Costly TAX and VAT Investigations

Insurance to protect you against the cost of enquiry or dispute with HMRC is available from several sources including Solar Tax Investigation Insurance.

Ken Frost has negotiated a 10% discount on any polices that may suit your needs.

However, neither Ken Frost nor HMRCISSHITE either endorses or recommends their services.

What is Solar Tax Investigation Insurance?

Solar Tax Investigation Insurance is a tax-fee protection service that will pay up to £75,000 towards your accountant's fees in the event of an HM Revenue & Customs full enquiry or dispute.

To find out more, please use this link Solar Tax Investigation Insurance



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"