Thursday, 29 November 2018

HMRC and The Tax System Exposes Taxpayers To Fraud

As loyal readers, and non readers, are aware the number of scams whereby the perpetrators claim to be HMRC are on the rise.

BBC Radio 5 Live's Wake Up to Money reported that cases had risen to about 85,000 a month now, compared with 70,000 on a typical month last year. These are cases when fraudsters contact potential victims via phone, text or email, claiming to be from HMRC, and often suggesting people are owed a tax refund or need to pay more.

Chas Roy-Chowdhury, who is head of taxation at ACCA, said that taxpayers (that's all of us) were the weak point in the battle against fraud. They should not be criticised, he said, as con artists were exploiting the lack of interaction with the authorities.

He is quoted by the BBC:

"The weakest link is the taxpayer. It is difficult to be too critical of the taxpayer and HMRC because many of the scammers are using the opaqueness of tax and our interactions or lack of with HMRC to steal the taxpayers money.

Most people are scared of HMRC and regardless of how fully up to date their tax affairs are will always, because of the opaqueness of tax, give HMRC the benefit of the doubt and think they have underpaid."

He suggested people checked that any correspondence with HMRC tied in with an individual's tax assessment.

He also urged people to look up the official HMRC phone numbers before calling, rather than assuming any number they were told was correct.

"It is a new world we live in when it comes to tax scams, don't be a victim and do your own due diligence. Just a few simple checks to avoid being taken for a ride."

He's being very polite, part of the weakness of the system that exposes taxpayers to fraudsters is the complexity of the tax system (so complex that even HMRC doesn't understand it), and the lousy systems and practises that HMRC operates that makes it all but impossible not to be afraid of it or to communicate meaningfully with it.

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, 28 November 2018

HMRC's Enquiry That "Drifted Along Aimlessly".

The FTT is unimpressed with the "progress" of an HMRC enquiry that the FTT stated "drifted along aimlessly" and, unsurprisingly, has ordered it closed.

Patel v HMRC [2018] UKFTT 0561 (TC)

Background

Mr Patel (the taxpayer) is a chartered accountant who incorporated his practice to become Ashley King Ltd (the company). The company was charged a fee under a licence agreement for the use of the practice name, business contacts and web domains, the goodwill of which the taxpayer claimed was a personal asset.

The licence fee received under the licence agreement was declared on the taxpayer's self-assessment tax return as income. HMRC opened an enquiry into the taxpayer's 2014/15 tax return in late 2016, in relation to the licence fee and goodwill. The taxpayer provided HMRC with a copy of the licence agreement which explained the nature of the relationship and the payment terms.

HMRC suspected that the licensing arrangement was intended to avoid employer NICs and the matter was referred to various specialist teams within HMRC for advice over the course of the next 12 months.

At no point did HMRC seek to enquire into the tax return of the company, despite HMRC considering that there could be charges to PAYE and employer NICs as a result of the licence fee arrangement.

The taxpayer made an official complaint, claiming that HMRC were ignoring the information he had provided and his technical arguments. He also informed HMRC that he would seek a direction from the FTT requiring HMRC to close its enquiry. HMRC sought further information from the taxpayer and some 21 months after the enquiry had been opened, issued an information notice to the taxpayer pursuant to paragraph 1, Schedule 36, Finance Act 2008.

The taxpayer considered that he had provided all relevant documents and information to HMRC and applied to the FTT for a direction requiring HMRC to issue a closure notice pursuant to section 28A, Taxes Management Act 1970.

FTT decision

The application was allowed.

HMRC argued that it had not concluded its enquiry in relation to the licensing of the goodwill. Its initial view was that the goodwill could not be personal, in which case the taxpayer would have no goodwill to licence. It was possible that the licence fee payments received from the company should be recharacterised as salary and it therefore required further information from the taxpayer in order to form a definitive view.

HMRC agreed at the hearing that the specialist teams from whom advice had been sought had not been provided with the full facts of the matter and when questioned by the judge, the HMRC enquiring officer confirmed that there was no investigation in respect of the company and that if Class 1 NICs were payable, it was the company, not the taxpayer, which would be liable to pay them. Additionally, if the licence fee payments were salary, then the company would be liable under the PAYE system and as such no amendments would be required to the taxpayer's return.

The FTT referred to Estate 4 Ltd v HMRC [2011] UKFTT 269 (TC) and concluded that HMRC's admission that no amendments could be made to the taxpayer's return settled the matter in his favour. There was no tax at risk since Class 1 NICs cannot be recovered from an employee. Additionally, it was not sensible for the enquiry to be kept open when there was no possibility of an enquiry into the company.

The FTT directed HMRC to issue a closure notice in respect of its enquiry into the taxpayer's tax return.

There it is folks as per this sentence:

"HMRC agreed at the hearing that the specialist teams from whom advice had been sought had not been provided with the full facts of the matter."

HMRC deliberately tries to rig the "game" in its favour when engaging with taxpayers by hiding data and information.

Do not trust HMRC to treat you fairly or honestly!

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, 27 November 2018

One Day HMRC Will Come For You!

Just received my first brown envelope from HMRC advising me that they think I am impacted by #2019LoanCharge at least I have been expecting it many people who get the letter will not be. #STOPtheLoanCharge
— Unjust Tax (@TaxUnjust) November 26, 2018

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, 26 November 2018

Lord Forsyth Sticking It To HMRC

Lord Forsyth of @LordsEconCom is obviously not amused at @HMRCgovuk’s half-answers and obfuscation.

What are HMRC hiding...?#HMRCShambles https://t.co/ydk9ZeOqfv pic.twitter.com/607IB3uFB5
— HMRC Victim #LoanChargeCostsLives (@HMRCVictim) November 26, 2018

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"

2018 People Survey

Hi folks

I still have been unable to find a link to the results.

Please can someone point me in the right direction?

Thanks

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, 22 November 2018

MTD Is Bollocks!

"The Government’s claim that MTD for VAT will increase the amount of tax collected remains unconvincing." says House of Lords Report https://t.co/8ZQpZu46E9 pic.twitter.com/PEQKCk7una
— Elaine Clark (@cheapaccounting) November 22, 2018

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, 21 November 2018

Jon Thompson Questioned By Treasury Committee

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"

HMRC Tells People To Take Out Commercial Loans To Pay Tax

The Telegraph reports that people with outstanding debts to the taxman have been told to take out personal loans to pay the money owed.

Seemingly HMRC has written to those affected saying they should make every effort to pay, including selling assets or taking out a commercial loan.

The average rate on a £10,000 personal loan is currently 4.6pc, according to data service Moneyfacts, while the tax office typically charges just 3.25pc.

Ironically this comes as the Government is consulting on a new “Breathing Space” programme, which aims to help those with problem debts by giving them additional statutory protections from predatory collectors.

However, be not afraid, for you see HMRC deny that they are doing this:

“We never tell people how to pay their tax debt – it makes sense for all options to be considered, including taking out a commercial loan, to work out what is best for them. The first step in this process is to contact HMRC so we can discuss the help that we can offer.

We are working hard to help thousands of people out of avoidance for good and as part of this we aim to offer manageable and sustainable payment plans whenever we possibly can.”

Hah!

Methinks HMRC is playing with words again.

Wrt the second paragraph, I apologise for being thick, but that the hell does "We are working hard to help thousands of people out of avoidance for good" mean?

Is HMRC saying that legal tax avoidance causes debt?

Or is it saying that whatever tax avoidance practises that are currently being utilised by people, at some stage in the future HMRC will charge retrospective tax on 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"

Tuesday, 20 November 2018

Chancellor Admits He Was Talking Bollocks Over The Loan Charge

The Chancellor said: "I would like to clarify my comments to the Committee in reference to the use of disguised remuneration schemes which i described as 'tax evasion'. I should have said 'tax avoidance'." #LoanCharge
— Treasury Committee (@CommonsTreasury) November 20, 2018

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"

Even Royalty Has Tax Problems!

The long arm if the IRS pic.twitter.com/HHdS520j8Y
— Paul Lewis (@paullewismoney) November 19, 2018

This will be highly entertaining!

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, 19 November 2018

2018 People Survey - Engagement Falls

A loyal reader has just posted this:

"2018 People Survey Main Results:

Engagement figures DOWN in 7 out of 9 Sections

64% filled in survey...DOWN 3% from last year ever after all the bullying to fill it in.
Overall engagement figure is down 1%....senior management will be gutted about that...that's their headline figure.

The main dissatisfaction is with pay 22%.....Leadership 38%....and the useless learning and development 54%.

Jon Thompson has already come out with the usual waffle....."disapointing results...but great to see brilliant HMRC values....the Intranet comments section is already filling up.

No senior management or brown nosed corporate communications to be seen on the comments section....they will give it a few days....and then start the spin."

Does anyone have a link to the actual results please?

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"

Mel Stride To Move On?

Mel Stride

There are rumours on Twitter that Mel Stride (the cheer leader for the Loan Charge) might be moving on.

Anyone got any further information on this?

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, 15 November 2018

BBC Working With HMRC On Updating HMRC’s Employment Status Manual

As per the National Audit Office:

"Following concerns raised by Parliament and individuals employed by the BBC, the National Audit Office has investigated the nature of, and associated issues related to, individuals hired by the BBC on a freelance basis, particularly those hired through personal service companies (PSCs)¹.

In its investigation, published today, the NAO has found that the BBC has taken steps to help affected individuals, however issues remain unresolved and a number of possible outcomes may have future financial implications for the BBC.

The BBC hires thousands of freelancers every year, covering a number of different roles both on and off-air, including actors, entertainers and off-air workers, such as camera operators. Between 2004 and 2013, the BBC developed policies for what contracting method could or should be used when hiring freelancers in on-air roles, resulting in some roles being contracted through PSCs. It based its decisions on whether roles were employed or self-employed for tax purposes on its understanding of HM Revenue & Customs’ (HMRC) guidance and, for on-air presenters, of industry practice.

The government introduced legislation in the Finance Act 2000, commonly known as IR35, to counter concerns that some people were using PSCs to avoid paying the correct amount of tax. It sought to ensure that people who work in the same manner pay comparable income tax and national insurance, whether they are employed directly or work through a PSC.

Central to the application of IR35 is the assessment of an individual’s employment status for tax purposes. However, assessing employment status is complicated as there is no precise statutory test and instead each case must be assessed individually against a number of factors.

The Committee of Public Accounts first addressed the BBC’s use of PSCs in 2012 as part of a wider enquiry into off-payroll working across the public sector.

In April 2017, the government transferred responsibility for determining employment status for tax purposes of people hired through PSCs to the public bodies hiring them. Prior to this date, PSCs did this themselves and therefore bore the risk of incorrectly assessing employment status and paying the incorrect amount of tax.

The BBC applied HMRC’s 2017 assessment tool to determine employment status for on-air roles. This generated a different employment status for tax purposes in many cases, compared to the BBC’s previous use of its own assessment test and understanding of HMRC guidance. By June 2018 the BBC had assessed 663 on-air freelancers using HMRC’s tool and 92% received an ‘employed for tax purposes determination’. In contrast, prior to this, the BBC assessed the majority of on-air freelances as self-employed.

Between April and September 2017 the BBC paid £8.3 million of tax on account to HMRC to avoid any penalty charges for not paying tax that was potentially due. It started to recoup this money when it was certain about an individual’s employment status for tax purposes, but has not yet fully done so, in part because of concerns raised by individuals. By June 2018, it was yet to recoup £2.9 million.

The BBC’s implementation of these changes has adversely affected its relationship with some of its presenters, who have expressed fears that a change in their assessed status will open up a retrospective HMRC investigation. 170 presenters publicly expressed concerns with the employment status for tax purposes given to them by the BBC through an open letter, with claims that the BBC bears some responsibility in relation to HMRC’s tax demands. Individuals have said they only started operating through PSCs because the BBC required them to do so if they were to receive work from the BBC, and they feel that they have received misleading or limited information from the BBC.

The BBC has taken steps to help affected individuals. For example, for some people it has paid bridging loans and given a contribution towards additional book-keeping fees arising from the IR35 compliance changes. In addition, in March 2018, the BBC announced its intention to set up an independent mediation process for cases where on-air presenters, who were hired through PSCs, believe the BBC bears some responsibility in relation to HMRC demands for employers’ national insurance contributions.To improve guidance available to those working in the media industry, the BBC is also currently working with HMRC, alongside others in the media industry, on updating HMRC’s employment status manual.

By May 2018, the BBC estimated that some 800 presenters, nearly 300 of whom were hired through PSCs, warranted further review as they were at risk of being challenged by HMRC. This could involve tax arrears for the BBC and for the PSCs. According to HMRC, as at October 2018, there were about 100 open investigations into BBC-related PSCs. All open cases relate to tax years prior to 2017 and the vast majority of these were opened prior to the reform.

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, 14 November 2018

Be Warned The Scammers Are Upping Their Game!

Worrying report today that someone was phoned up by scammers who had specific information of APNs that had already been paid.
Please be careful everyone. Do not agree to discuss anything on the phone from an “HMRC” cold caller. Ask them to send in writing as they are required to.
— HMRC Victim #LoanChargeCostsLives (@HMRCVictim) November 14, 2018

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, 13 November 2018

HMRC Has Never Participated In Disguised Remuneration Schemes

#Struth tells ⁦@LordsEconCom⁩ that HMRC has never paid any contractors involved in Loan Schemes ⁦@LCAG_2019⁩ ⁦@pmanley82⁩ ⁦@WTTconsult⁩ ⁦@wealthagent⁩ ⁦@keithmgordon⁩ ⁦@IainDale⁩ ⁦@DrICampbell⁩ #STOPtheLoanCharge #HMRCHumanCost pic.twitter.com/ej9bCYkhzM
— Mylerdoo (@Mylerdoo) November 13, 2018

Those of you who know different (both staff and non staff) should contact Lord Forsyth.

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, 12 November 2018

HMRC Loses Retrospective Tax Demand On ATMs

The Guardian reports that three of Britain’s biggest supermarket groups have won a legal victory worth up to £500m, following a court battle over business rates on cash machines installed at their shops.

The court of appeal ruled on Friday that cash machines located both inside and outside stores should not be liable for additional business rates, which are a form of property tax on businesses collected by the government.

Several retailers including Tesco, Sainsbury’s and the Co-op had fought in the courts against the tax rules set by the Valuation Office Agency – the arm of HM Revenue and Customs responsible for setting business rates – which had claimed that ATMs should be additionally assessed.

The court verdict means the supermarket chains are in line for a multimillion pound windfall from tax refunds, which the property advisory company Colliers estimates is worth about £500m.

The case dates back to a 2013 decision by the government to charge rates on “hole-in-the-wall” cash machines, which was backdated to 2010.

SAY NO TO RETROSPECTIVE TAX!

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, 8 November 2018

HMRC's IT Systems Are Fucked!

Loyal Reader:

"Latest from the trenches....internal HMRC Intranet which took at least 30 seconds to load a page...quality work from the I.T team at HMRC CDIO...is now being upgraded....hurrah !!!
Instead of 30 seconds......the Intranet after rigorous testing....drum roll..........is producing the error 502 Gateway Error.....brilliant...simply thanks vouchers all round !!! The Titanic continues to sink....when will they ever learn ?
More breaking news as it happens.....

...and even better...our I.T gurus have now admitted defeat and returned to the old Intranet system which takes an average of 30 seconds to load a page...they say it's better than having no system at all...what a BRILLIANT HMRC !! Sticking plasters all round."

"Meanwhile, in HMRC, the much-trumpeted migration of the department's clunky intranet to 'the cloud' had to be rolled back within 24 hours because it broke down immediately, ended up being slower than the unmigrated version, and broke everyone's favourites/bookmarks."

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, 6 November 2018

HMRC's £20M Agile Delivery Tender

HMRC Messaging Delivery Group (MDG) is looking for a service provider with experience in delivering integration components and services, a service orientated architect, cloud technologies and DevOps at an enterprise level.

The MDG is delivering integration components for HMRC’s key transformation programmes and projects such as the Customs Declaration Service (CDS), the Border Systems Programme and Making Tax Digital.

HMRC Messaging - Agile delivery and live support of service orientated components

Incomplete applications

29 SME, 6 large

Completed application

1 SME, 0 large

Important dates
Opportunity attribute name	Opportunity attribute value
Published	Friday 2 November 2018
Deadline for asking questions	Friday 9 November 2018 at 11:59pm GMT
Closing date for applications	Friday 16 November 2018 at 11:59pm GMT

Overview

Overview
Opportunity attribute name	Opportunity attribute value
Summary of the work	With this call-off MDG are looking for a service provider with specialist capability and experience in delivering Integration components / services, Service Orientated Architect, Cloud technologies and DevOps at an enterprise level.
Latest start date	Friday 1 February 2019
Expected contract length	2 years
Location	No specific location, eg they can work remotely
Organisation the work is for	HM Revenue and Customs
Budget range	Contract value up to £20 million Individual statements of work will have an associated price. Travel and Subsistence payments will be paid in line with HMRC policies.

About the work

About the work
Opportunity attribute name	Opportunity attribute value
Why the work is being done	Within Chief Digital and Information Office (CDIO) the Messaging Delivery Group (MDG) manages all of HMRC's core integration services that deal with over a billion internal and external transactions every year; connecting 100's of HMRC services, developed in a wide variety of technologies. MDG provides a fundamental framework for delivering Application Programming Interface (API) access to HMRC core systems and enabling our digital agenda, API strategy and transformation roadmaps for all our services. We are utilising modern open source products and working in agile methodologies and approaches to develop a modern exciting workplace that delivers flexible cost effective integration solutions.
Problem to be solved	MDG is delivering Integration components for HMRC's key Transformation Programmes / Projects such as Customs Declaration Service, Border Systems Programme, Making Tax Digital. We require a delivery partner to provide development and delivery specialists, working in scrum teams and delivering in phased sprints. We also require Live Support for our services; potentially 24/7/365 and/or on-call. This will be managed via outcome based statements of work for a variety of programmes.
Who the users are and what they need to do	HMRC's Digital Strategy is to accommodate the majority of interaction with customers through digital self-service. This will reduce the nation's tax gap through making the UK's tax system more transparent and reducing the overheads involved in supporting such a system. The MDG provides integration between customer facing digital front-end and Heads of Duty Services. The supplier will need to demonstrate expertise in all the following areas: Business and Technical analysis Integration technologies Cloud Transformation DevOps Agile/ Scrum experience Agile Project Management Service Orientated Architecture Cloud & Security Architecture Architectural Governance Solutions architecture / design Service Management Portfolio Management Delivery Management
Early market engagement
Any work that’s already been done	Work of programmes / projects are at various stages in the development lifecycle. The Customs Declaration Service will be moving in to live service before the end of the 2018. Other projects are moving through Discovery. New projects may be added to the pipeline during the lifetime of the contract.
Existing team	MDG has a mixed team including in-house staff, an existing Service Provider plus contingent labour contractors. There are currently a number of teams working on these services, across 2 sites. The successful supplier team will work with these existing capabilities. A part of the role of the supplier will be to assist HMRC in growing its own capability and we will expect a level of support for our staff at all levels from apprentice through to senior management.
Current phase	Not applicable

Work setup

Work setup
Opportunity attribute name	Opportunity attribute value
Address where the work will take place	HMRC locations including Southend, Telford and London. We would also like to explore options for the supplier working off-site.
Working arrangements	The Supplier: - will manage delivery of products/services as specified in SoW ; - select suitably qualified/experienced staff - have the right to substitute staff with equally qualified/experienced individuals. - will provide mentoring, coaching and knowledge transfer to the in-house team with the ultimate aim of handing over to that team. - be on site 5 days (40 hours) per week collaborating with the wider team unless work commitments require work to be done elsewhere. (We would also be open to explore off-site working providing HMRC's Security policies are adhered to.) - T&S will be paid as per HMRC policies.
Security clearance	The supplier will ensure the relevant security checks i.e. BPSS are completed prior to arrival on site. SC clearance will be required for staff interacting with production environments. HMRC will fund and sponsor SC Clearance.

Additional information

Additional information
Opportunity attribute name	Opportunity attribute value
Additional terms and conditions	Any capability or behaviours concerns will be raised by HMRC to the supplier. However the supplier will manage the performance, attendance and conduct of their staff and will ensure they comply with all HMRC H&S, Security and behaviour policies. - Individuals will be expected to adhere to the Civil Service code of conduct We reserve the right to set payment method as appropriate to the project

Skills and experience

Buyers will use the essential and nice-to-have skills and experience to help them evaluate suppliers’ technical competence.

Skills and experience
Opportunity attribute name	Opportunity attribute value
Essential skills and experience	Evidenced example of scaling up and down teams to accommodate either new requirements or changes within the delivery pipeline. Evidenced example of providing additional and/or value added activities when acting in the role of a partner supplier to an organisation Evidenced example of providing a multi team development capability across multiple projects Experience of providing subject matter expert out of hours support Provide an example of migrating development and services from physical/private-Cloud architecture to public-Cloud architecture
Nice-to-have skills and experience	Experience of working with a Public Sector body or relevant large organisation.

How suppliers will be evaluated

How suppliers will be evaluated
Opportunity attribute name	Opportunity attribute value
How many suppliers to evaluate	5
Proposal criteria	Approach and methodology Team structure Value for money
Cultural fit criteria	Able to start on the work immediately. Have excellent communication skills with staff at all levels of the organisation Be willing to collaborate and partner, including with other suppliers and HMRC staff at all levels. Proactively share knowledge and experiences with members of team, especially with junior HMRC staff. Be innovative and promote ideas and suggestions as applicable Focus on achieving value for money in all activities
Payment approach	Fixed price
Assessment methods	Written proposal Case study
Evaluation weighting	Technical competence 50% Cultural fit 10% Price 40%

Questions asked by suppliers

Questions asked by suppliers
Supplier question	Buyer answer
1. Does the fixed price apply to the overall contract value of £20m, or is it a fixed price per SOW?	We will be looking for the supplier to provide fixed costs against each SoW, where possible. We do however reserve the right to request T&M pricing where that is more approriate to the project delivery under some SoWs.
2. Will the winning provider replace the existing provider (assume they don't win) or will the new provider work alongside the existing provider?	The winning supplier will be replacing the incumbent supplier. However, we expect there will be a period of time where the two will be required to work alongside one another to allow for knowledge handover and upskilling.
3. Which Public Cloud platform are you working towards deploying your solution?	Messaging Delivery Group are currently utilising AWS, but may well in the future deploy solutions to Azure (and potentially other Public Cloud providers).
4. Are you willing to accept SME's provide part of the solution with SoW dedicated for a specific capability for Architecture and review, or Service delivery? Or is it that you expect SME's to collaborate and provide a single proposal as prime and secondary suppliers with a single SoW?	HMRC require a single proposal to deliver all aspects of the requirement. We are not prescriptive, as per the terms of the framework this proposal could come from a consortium of suppliers who come together to deliver (with one lead supplier or a newly formed company, jointly owned by the members of the consortium) or by a single supplier supported by one or more subcontractors. We also welcome bids from suppliers who intend to fulfil 100% of the service through their own capability. Any consortium or subcontractor arrangements must be made clear in the bid information.

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, 5 November 2018

This Does Not Augur Well!

On @BBCr4today I smiled when I heard #NHS are going "Digital" to improve our health. #HMRC #MakingTaxDigital
— Norman Elliott (@normanelliottuk) November 5, 2018

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, 1 November 2018

HMRC Says It With Flowers

The Telegraph reports that HMRC has spent more than £10,000 on flowers to apologise to taxpayers for mistakes made over the past five years.

Records disclosed under Freedom of Information show that in one year alone, HMRC spent £3,149 on florists as a result of its blunders.

HMRC said it chooses to send flowers in cases where its errors have a serious effect, such as on vulnerable or recently bereaved people. This apparently was said without any sense of irony or shame!

The total bill between 2014 and this year to date was £10,298, the figures showed.

Past mistakes by HMRC include mistakenly sending a cafe owner from Stockport a near-£1billion bill.

Call me old fashioned but if I had been screwed over by HMRC, I would expect more than some farking flowers as an apology!

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"