The government is planning to make people from overseas pay more tax in the UK.
In many parts of the tax system the law and processes are so complex that they defeat the mythical “man on the Clapham omnibus” (and perhaps some of the advisers travelling with him).
A common misconception amongst pensioners is that the state pension is not taxable – after all, why would the Government give money out only to take some of it back?
In the second of our series of case studies we consider HM Revenue & Custom’s (HMRC) failure to give the age-related personal allowance for those aged 65 and over.
HMRC and other government departments could work better together by sharing data.
In a disturbing report published today by Age Concern the problems of older people who have become socially excluded are brought vividly to life.
In May 2007, we reported on the problems experienced by older people in their dealings with HMRC and we continue to monitor the situation.
The Public Accounts Committee in its report published today Tax Credits and PAYE reflects concern about low-income pensioners who are currently being put in debt by HMRC without their knowledge.
For four years HMRC has been writing off tax credit overpayments due to official error, but only where claimants could reasonably have thought their award was right.
Government tax rules are hindering good government intentions to help vulnerable and disabled people live independently within the community.