Friday, 28 August 2015

Justice Costs - Charge For Tribunal Appeals

The government has proposed introducing fees for individuals appealing decisions to the tax tribunal as part of broader reforms to civil court funding, which also include increasing fees levied on divorce proceedings.

The Law Society has warned that the government’s plans to rebalance the costs of the judicial system threaten not only to undermine the principle of universal access to independent rulings, but also to tip the balance of power in disputes towards the tax authority.

As per the FT:
The government is effectively selling justice by saying that you need to pay for the courts,” said Jonathan Smithers, the Law Society’s president.

To fight charges levied by one branch of government, you would have to pay another division of government . . . It leads to a feeling there’s a fairly heavy-handed state.
Taxpayers can appeal to the first-tier tribunal, which is independent of government, when they dispute internal rulings made by HMRC. 

The Ministry of Justice, which is consulting on its proposals, has suggested fees of between £50 and £200 for referring cases to the first-tier tax tribunal, with hearing fees to range from £200 to £1,000 depending on their complexity. Appeals to the upper tribunal would incur an initial fee of £100, plus up to £2,000 for a hearing.

Justice now comes at a price, meaning that many people people will be put off appealing an HMRC ruling; which is exactly what the government wants!

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, 27 August 2015

HMRC's Tsunami of New Powers


The FT reports that the UK is preparing to triple the number of prosecutions of “serious and complex” tax evaders using a "tsunami" (a quote made by a nameless tax official) of proposed new powers.

An HMRC unit, combining civil and criminal investigations teams, will spearhead a crackdown that George Osborne claims will increase tax revenue by £7.2BN.

However, as with all hyped promises of greater tax revenues, it is likely HMRC will end up going for easy to pick low hanging fruit rather than those with top notch lawyers and tax advisers.

Even the Office for Budget Responsibility has raised doubts about the extent to which the planned new tax measures will help the chancellor close the deficit.

The proposals include introducing “strict liability” in tax cases. This would mean that claiming evasion had been accidental would be no defence unless there was a “reasonable excuse”. A second is for a charge that could be brought against companies, rather than individual executives or directors, that evade tax, as well as the agents that help them.

It is noteworthy that HMRC are loudly reminding everyone that the Liechtenstein Disclosure Facility is to close at the end of this year. This indicates that HMRC may not be as confident as it claims about being able to hit high targets with its new powers.

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, 26 August 2015

Building Our Future III


A loyal reader advises me that Building Our Future III has been announced within HMRC.

BOF III being a mandatory event wherein uncertain miserable HMRC are told that HMRC's 2020 vision and "corporate" image/brand is written in stone.

Sadly the invites to these events are going out to all and sundry, including those about to be made redundant.

On the plus side, there will be free tea and coffee!


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, 25 August 2015

HMRC's Dividend Allowance Rules


On 17 August HMRC published its Dividend Allowance Factsheet:
"From April 2016 the Dividend Tax Credit will be replaced by a new tax-free Dividend Allowance.
The Dividend Allowance means that you won’t have to pay tax on the first £5,000 of your dividend income, no matter what non-dividend income you have.

The allowance is available to anyone who has dividend income.

Headline rates of dividend tax are also changing. 

You’ll pay tax on any dividends you receive over £5,000 at the following rates:
  • 7.5% on dividend income within the basic rate band
  • 32.5% on dividend income within the higher rate band
  • 38.1% on dividend income within the additional rate band
This simpler system will mean that only those with significant dividend income will pay more tax.
If you’re an investor with modest income from shares, you’ll see either a tax cut or no change in the amount of tax you owe.

Dividends received by pension funds that are currently exempt from tax, and dividends received on shares held in an Individual Savings Account (ISA), will continue to be tax free. 

From April 2016 you have to apply the new headline rates on the amount of dividends you actually receive, where the income is over £5,000 (excluding any dividend income paid within an ISA).

The Dividend Allowance will not reduce your total income for tax purposes. However, it will mean that you don’t have any tax to pay on the first £5,000 of dividend income you receive.

Dividends within your allowance will still count towards your basic or higher rate bands, and may therefore affect the rate of tax that you pay on dividends you receive in excess of the £5,000 allowance."
The latter paragraph means that some people may be pushed into the higher rate tax bracket.

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, 24 August 2015

No CATO


HMRC is to retire the current corporation tax (CT) online filing form and replace it with a basic online tool.

All very well and "modern" of HMRC, except that the proposed free online tool will no longer be available for agents.

The “new, improved” company tax return and company accounts filing service is called Company Accounts and Tax Online (CATO).

Accounting Web quote HMRC:
CATO is an online service which companies will access using their own filing credentials, unlike the existing HMRC free filing software, which uses a form downloaded from the internet.
HMRC acknowledged that agents will not be able to use CATO.
 
The Institute of Certified Practising Accountants (ICPA) is less than pleased:
Just how will that work? 
 
What if the company pass their own filing credentials to their accountant?
Are HMRC really saying that a company’s duly appointed and trusted agent cannot be allowed access? 

Are they so angry with agents that they are spitefully excluding that small number of small practices that use the free software on behalf of their clients?

And how are they to monitor or police this? 

Will there be a fine if a company ask their accountant to help out because they are getting in a mess?
HMRC said:
We understand that some agents are concerned about the withdrawal of the free HMRC software and the need in future to use commercial software to file company accounts and company tax returns on behalf of clients.”
It is expected that is will cost agents around £250 to buy software that will enable them to file on their clients' behalf. 
 
HMRC adding costs to process of tax collection!

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, 21 August 2015

HMRC's Internal Communications Problems!


My thanks to a loyal reader who sent me this response that he received from the supposedly "merged" HMRC yesterday, in relation to a query he submitted one month ago:
"Dear Xxxx Xxxxxx

Reference:

Thank you for your e-mail.

You have submitted your query to the VAT Online Services Helpdesk and not the HMRC Online Services Helpdesk. Unfortunately, I am not able to send this to them internally. Please resubmit your enquiry selecting the appropriate area of tax at the link below:

http://www.hmrc.gov.uk/contactus/online-services.htm

Alternatively, you can call them on 0300 200 3600.

Regards,
VAT Online Services Helpdesk
"
Well done lads!
 
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, 20 August 2015

Come Fly With Me


Come Fly With Me Customs Officers find Drugs by a7mospheric
As per economia:

"A flight attendant who used an airline’s staff discount travel programme to smuggle cigarettes through UK airports has been caught by HMRC.

Denis Connolly, of Southport, organised over 130 smuggling trips for himself and five others, using discounted staff tickets to travel. The gang hid cigarettes and tobacco, worth £180,000 in evaded duty and taxes, in their luggage.

Connolly and his accomplice, Terence Steele, of Liverpool, made large purchases of duty-free tobacco in Spain and Portugal, which the gang then smuggled back to the UK. The smuggling gang consisted of five men and one woman. They were caught out when three of them were stopped by Border Force officers at Liverpool John Lennon Airport on two separate dates.

Zoe Ellerbeck, assistant director, criminal investigation, HMRC, said, “Airline employees hold a position of trust and abusing this privilege is a serious matter. Connolly organised subsidised travel purely for smuggling purposes. There are no excuses for smuggling, whatever your status, and HMRC are determined to recover stolen taxes.

“Tobacco fraud costs honest taxpayers more than £2.1bn a year, undercutting honest businesses, and drawing people into wider criminality.”

Connolly and Steele were each issued with confiscation orders under the Proceeds of Crime Act at Manchester Crown Court. Connolly received a confiscation order for £348,705 and Steele received one for £111,671.

After assessment of their available assets, Connolly was ordered to repay £21,543 within three months or 15 months will be added to his jail sentence, and Steele was ordered to repay £109,297 within three months or serve two years in jail."

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, 19 August 2015

HMRC Eight Month Postal Delay


Accounting Web reports that HMRC delays in handling/answering post are getting worse, on average it is now taking over 15 weeks for HMRC to respond to a letter.

One delay reported by a Tax Faculty member for refunds of SMP was even worse, a claim submitted in on 8 April 2015 hadn’t been scanned by 21 July 2015, and won’t be looked at until 8 January 2016.

That’s an eight month delay!

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, 18 August 2015

Erroneous Fines


A loyal reader recently asked me if anyone else had issues with HMRC erroneously fining people for late filing:
"A recurring theme for me is clients being fined erroneously for late filing, and for new clients not receiving UTR numbers even though HMRC has a record of them being sent out. 

Fines build up, I ring HMRC who say you are right we will put it right, then they don't and fines continue.

If debt is passed to private contractor then you are stuffed, nobody gives a damn they only want to collect your money. 

What a shambles !!!!! 

Do others have this problem ?"
Views and comments welcome.

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, 17 August 2015

HMRC's £43BN Contingent Liabilities


HMRC's latest accounts contain a £42.8BN contingent liability, being its worst case estimate of the cost of defeat in its ongoing court cases relating to companies which believe that they have paid too much tax decades ago.

HMRC has been fighting multibillion-pound legal battles with dozens of companies such as Littlewoods, BAT and Prudential in highly complex court hearings in London and Luxembourg.

Chris Morgan, head of tax policy at KPMG, is quoted by the FT as noting that some of the key legal cases were coming to a head:
There could be tens of billions paid out by 2017-18.”
Many of the cases concern breaches of EU law, and do not involve tax avoidance.

Bill Dodwell of Deloitte said:
The biggest elements of this have been a long time coming. The revenue has put up the strongest possible fight.
Therein lies the key element of the contingency, not so much the tax that would have to be repaid but the legal fees incurred by HMRC over the years in putting up a fight.

HMRC are sanguine about it, noting that it wins more than 80% of cases that go to tribunal.
We are required for accounting purposes to include an estimated contingent liability figure of potential repayments of tax. There is no question of this amount or anything close to this amount ever being repaid as the figure is based on our losing every single case currently being litigated, which is not going to happen.” 
HMRC are most likely correct in what they say. However, what is worthy of note is that the liabilities have more than doubled over the past two years.

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, 13 August 2015

HMRC's Private Digital Company


HMRC is apparently on the cusp of creating a new organisation which will take over responsibility for IT work previously outsourced to private companies (ie that work currently denoted as Aspire)

According to Government Computing, from November 2015, developments around case management, Customs and International as well as third-party supplier contracts may be delivered by what some have described as an "HMRC digital company".

The organisation is understood to be a limited company wholly owned by HMRC.

HMRC is also expected to announce that Capgemini will be providing 'test and release' services until 2020 during the digital transformation process. It is understood that up to 250 Capgemini jobs may be transferring to the new company.

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, 12 August 2015

The Great PCS Diary Rip Off


What's wrong with the following advert for PCS diaries?
I will tell you after you have read it:
Order your 2016 PCS Diary today for £2

As the union faces financial pressures our national executive has taken the difficult decision to charge £2 - including VAT, postage and packing - for next year's diary from Collins-Debden which is due to be delivered in December.
To guarantee your 2016 copy place your order by 11 September.
If demand is very low it may not be viable to offer a 2016 diary, so place your order now.

The diary features extensive PCS information, including:
  • Helpline numbers
  • Contact addresses
  • Supportive information
  • Key dates.
We are hoping to agree with the printers that it will still be possible to order diaries after 11 September but there is not guarantee.
Branches wanting to make bulk orders can call 0141 300 8544 or email: PCSdiary@collins-debden.couk
Worked out what is wrong with this yet?

I will tell you.

HMRC PCS union members pay PCS £6.40 per month to cover their membership of the union and to provide them with a FREE diary every year!

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, 10 August 2015

90 Day Consultation Period


A 90-day consultation has begun today in HMRC, wrt the future of around 200 staff. HMRC claim that, while no final decisions have been made on whether jobs will go, the process could result in compulsory redundancies. 

An HMRC spokesperson told Civil Service World the the department would aim to "support people fully through the process", and stressed that the announcement was not a reflection "on the contribution and commitment of the people affected".


Meanwhile HMRC are recruiting around 100 people nationally:

Reference number

1462938

Salary

£18,415 (National) or £22,022 (London) - £20,074 (National) or £24,012 (London)

Grade

Administrative Officer

Post type

Permanent

Business area

Other

Type of role

Administration/ Corporate Support

Working pattern

This/these jobs are available for full-time, part-time or flexible working arrangements (including job share arrangements)

Hours

37 Hours

Number of posts

100

Minimum expected tour length

2 Years

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, 7 August 2015

HMRC Joins The Private Sector




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, 6 August 2015

HMRC Buys Some Land In Stratford


I understand that a rumour has been circulating around local HMRC offices, that a large plot of land had been purchased by HMRC in Stratford.

For why?

It seems to be connected to other rumours namely that Euston Tower may close down by 2018, and along with other local offices closing all staff will be made to move to one office (the Strategic Hub).

Apparently surplus AA's will be made redundant (a decision may well be announced next week), and local offices are getting rid of staff with considerable experience. AO's will be left to absorb the duties currently performed by the AA's. This in spite of the fact that at local offices there is a shortage of staff, and sick leave is going through the roof.

This restructuring is all part of HMRC's 2020 Digital Vision.

I don't suppose anyone knows how much HMRC paid for the land do they?


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, 5 August 2015

HMRC Takes 20% Longer To Conclude an Investigation


The Telegraph reports that HMRC is now taking 20% longer to conclude inquiries into individuals' tax affairs.

HMRC initiates tax inquiries when it believes that an individual has not properly declared their full income or profits. Its local compliance teams took an average of three months to resolve tax inquiries into ordinary taxpayers in 2013-14, up from two and a half months in 2012-13.

The figures were obtained through a freedom of information request by insurance firm PFP.

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, 4 August 2015

Finders Keepers


The Telegraph reports that Jim Dooley, the fundraiser behind the £9M Bomber Command Memorial in Green Park, is in danger of losing his home after HMRC refused to return £40,000 of personal tax he paid in error.

HMRC will keep the money because the mistake had been discovered too late.

In March 2014, after repaying money which he had received in error over a decade, Mr Dooley contacted HMRC to request the repayment of £60,000 income tax he had paid on that money over the course of 10 years, only to be told that he could only claim back a tax overpayment within four years of the relevant tax year.

HMRC agreed to repay almost £20,000 of the money, but have kept the rest.

In a letter to Mr Dooley, HMRC acknowledged that:
it might appear unfair to deny a customer the opportunity to recover amounts of tax that may not have been due” 
but added:
Statutory time limits are a legitimate and proportionate means of ensuring fiscal finality and control over public finances.” 
However, HMRC does have discretion to waive statutory time limits in circumstances “where the claim was late for reasons beyond the person’s control”. Mr Dooley believes his case is a perfect example of such an exemption, but HMRC disagrees.

In situations such as these there are factors which are doubtless not in the Telegraph's article. Nonetheless, it seems a particularity unfortunate outcome.

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, 3 August 2015

HMRC's £5.5BN Tax Grab


In a court victory last week HMRC been given the go-ahead to demand £5.5BN from taxpayers, before they have chance to appeal.

HMRC can demand that individuals pay tax within 90 days, with added penalties and charges, if they are suspected of abusing legitimate tax reliefs. In the event a court later decides that HMRC's calculations were wrong, the money is paid back.

Richard Morley, a partner at BDO, is quoted by the Telegraph:
"Just as HMRC is about to be given the power to raid people's bank accounts, they have been given the go-ahead to pursue billions in tax it thinks people owe."
A recipe for disaster, as miscalculations have already been detected in the 10,000 "accelerated payment notices" sent to taxpayers so far. According to Mr Morley, clients have been sent letters in cases where the calculations were incorrect by tens of thousands of pounds.

HMRC will now be sending an expected 54,000 letters to individuals it also suspects of avoiding tax, demanding that they pay up in within three months, in a bid to collect the extra money.
"We expect to complete the issue of around 64,000 tax notices by the end of 2016, bringing forward £5.5bn in payments for the Exchequer by March 2020."
Let's see how this goes then!

Tax does have to be taxing.

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