Ahead of the Public Accounts Committee report on ‘HM Revenue & Customs: tax credits error and fraud’ (published Wednesday 22 May), LITRG issued a press release highlighting the need for HMRC to differentiate between the terms ‘error’ and ‘fraud’ and for HMRC to tailor its actions to reflect the difference between the two.
Employees and pensioners have tax taken off them throughout the year via Pay As You Earn (PAYE). In most cases, this means you pay the correct tax by the end of the year; but not always. This guide explains what to do if HMRC send you a tax calculation (a ‘P800’) for 2012/13.
LITRG has campaigned for many years for HMRC to offer telephone helplines that do not result in disproportionate charges for the most vulnerable in society. We welcome HMRC’s announcement that all four helplines will change to 0300 numbers with immediate effect. These changes follow the introduction of a 0345 helpline for tax credits in 2011.
As interest rates continue at an historical low, savers need to count every penny. With this in mind, the LITRG are encouraging low-income savers, often pensioners, to check they are not overpaying unnecessary tax on their interest.
HM Revenue & Customs (HMRC) have confirmed that they will not revise the scope and terms of Extra-statutory Concession A19 (ESC A19) as originally proposed in their recent consultation document. This is very welcome news as not only we, but many other bodies too, confirmed that the proposed changes were premature and far too weighted in HMRC’s favour.
On Thursday 21 March, LITRG Chairman Anthony Thomas spoke at a seminar in London on the subject of the rule of law in tax. The seminar was hosted by the Bingham Centre for the Rule of Law, an organisation inspired by the late Lord Bingham, who is described on the Centre’s website as “the pre-eminent judge of his generation and a passionate advocate of the rule of law”.
The LITRG has welcomed the Chancellor’s announcement of a £2,000 cut in employers’ national insurance contributions for all businesses and charities from April 2014. This should make it easier and less expensive for new and growing businesses to take on new staff.