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, 24 October 2018

Lords Give HMRC a Well Deserved Kicking

The Lords have been holding a hearing on Making Tax Digital, and are far from impressed.

Lord Lee is quoted by Accountancy Daily:
"The evidence we have had is absolutely overwhelming in that there is huge under-preparedness. The firm impression we have at the moment is that we are heading for a giant car crash."
For good measure Baroness Noakes was of the view that MTD will not make the slightest difference to yield:
"It has been put to us that all you have required people to put things on a particular kind of spreadsheet, which is what they do at the moment, and then it transfers over to the nine boxes, and that there is nothing which will change what they do in their businesses.

I cannot get to where there will be any difference in yield because you have mandated that somehow spreadsheets have been linked to an API."
It seems to me that the Lords have a better handle on things than HMRC and the Commons!

Tax does have to be taxing.

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  1. I can't see this having a happy ending.

    YouTube has some interesting videos about Making Tax Digital put up by Sage. If you want read between the lines on them, as I have, it paints a grim picture.

    The one I recommend is by Garry Carter, who is the ICB Bookkeeping Chief. He deals with small businesses and bookkeepers daily, so knows what he is talking about. As he is actually in the real world.

    The figures are staggering that he quotes. He also discusses 'bottlenecks' in terms of the help that will be required and what will be available. The larger businesses, will manage (one hopes) but the small businesses that are just above the VAT threshold may not be so lucky.

    Listen to what Garry Carter says, then compare it to the videos Theresa Middleton and Rebecca Bennyworth. Decide for yourself.

    Spring 2019 is going to be quite the hurricane of manure.

  2. Well done to the Lords.

    Next step, somebody ordering an authoritative investigation into HMRC's mismanagement, lack of planning, misuse of resources, corruption/misconduct/bullying & subsequent cover ups with any evidence of criminal wrong doing passed to the Crown Prosecution Service for consideration of putting the rogues before the courts.

  3. Baroness names sees things a lot more clearly than most at HMRC or the accountancy industry. HMRC are just fiddling around with the method of data transmission. This will Not change behaviors or increase yield.