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.

Thursday, 28 April 2016

Treasury Select Committee Rubbishes HMRC's Digital Revolution


The Treasury select committee has criticised HMRC’s plans to digitise tax on the basis of the cost burden it will place on business.

The committee notes that the project (which needs businesses to use prescribed software to file tax information quarterly) will add to their compliance costs and makes it ‘implausible’ that they will achieve the predicted administrative savings.

This is something that loyal readers already know, and have been trying to communicate to HMRC. In fact I understand that Troup is a zealot wrt the "digital revolution" and, when engaged with on the subject by a loyal reader, was not just deaf to her points that it will be costly and burdensome but talked over her as she tried to make her case.

The question is, has HMRC done a full impact assessment on the costs/benefits (to the taxpayers) of the digital project?

No, I don't think it has. In fact Andrew Tyrie (chairman of the committee) has asked the very same of Gauke in this letter.


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, 27 April 2016

HMRC's £200M Giveaway


HMRC has put £200M up for grabs by one lucky desktop services supplier as it attempts a major overhaul of its IT systems.

HMRC is looking for end user devices, application performance monitoring and virtual desktop services.

The contract will include overseeing mobile devices, such as those provided by Blackberry, as well as the software and hardware underpinning managed desktop services and video-conferencing equipment.

The notice says:
"This contract covers a range of commodity services such as management and support of end user devices, application packaging and deployment, IMACD ['Install, Move, Add, Change and Decommission'], administrative infrastructure, remote access, application performance monitoring and virtual desktops, but also includes some requirements bespoke to HMRC."
The contract will begin in 2017 and end in 2020, with the possibility of a two-year extension.

The department "is currently undergoing a significant period of transformation" therefore some of the details of the programme will not be available until later in the tender process. The closing date is 24 May 2016.

Good luck to all those who apply.

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, 21 April 2016

Tell ABAB HMRC Survey


The administrative burdens advisory board (ABAB) has released the results of its “Tell ABAB” facility which received more than 2,000 responses from business owners and accountants.

ABAB is an independent board that seeks to bring a business perspective to HMRC’s work.

AccountingWEB have summarised the results.

Once and done

Communicating with HMRC remains the biggest bugbear. However, the report identified two initiatives HMRC implemented to ameliorate the poor service levels. First, is a change of service philosophy to something HMRC is calling “The once & done project”.
[It] has been developed to deliver process changes that allow Call Handlers to deal with more the first time around, reducing the need for you to write to HMRC, for HMRC to write to you, and for HMRC to ‘hand off’ questions between its own staff.
HMRC will now implement a “phone first” policy, too. Phone first will allow HMRC staff members to phone you for clarification or additional information regarding the correspondence subject.

Up to 2,000 respondents also indicated a very strong desire to access other, non-traditional channels of communication.

Making Tax Digital was offered as a remedy for HMRC’s communication woes.
It brings together access to all key online services, guidance and information providing a joined-up experience for you, giving you the ability to perform a number of transactions with HMRC in a single place.”

HMRC is apparently trialling a clutch of new digital communications, including “Web chat” for those with SA queries, a “virtual assistant” for the online services helpdesk, and a move from paper to “secure digital messaging via your digital tax account”.

Agent online self-serve


AOSS, according to HMRC, will revolutionise the way agents deal with them. The service is currently being beta tested by a select group of 1,500 accountants. But, according to the report, there’s an “intention to extend this group during the remainder of 2015/16”.

Other results

In ABAB’s survey results, respondents identified several other categories of particular strain when dealing with HMRC:
  • Personalisation: “You want your tax affairs to be all in one place and for HMRC ‘departments’ to be much more joined-up. There is also a need to only receive what is relevant to you targeted to your specific business/circumstances.”
  • Digital: “Those of you who are online want to do more online and have suggested ways to make specific tasks easier.”
  • HMRC attitude and approach to small businesses: “You want HMRC to better understand the day to day pressures you face running your small business and to have more empathy when dealing with you.”
  • Policy & legislation: “You want Government policies and legislation to be modernised and simplified, recognising the needs of small business so to encourage innovation and growth.”
  • Processes & systems: “You want clearer guidance and greater consistency across specific services such as VAT, CIS.”
  • Payments & refunds: “You want the mechanisms and policies for payments and refunds to work better for you and your business.”
  • General admin burdens: “You want to spend less time on tax administration and to have greater consistency across different taxes to reduce the burden in running your business.”
  • Working with agents: “You want agents to be able to deal with HMRC on behalf of your business more easily.”
All these initiatives sound very jolly. The question is, will they work, and will they be properly implemented?

As ever, please feel free to share your views and opinions.

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, 20 April 2016

A Tad Phishy


Oh dear this scammer really needs to up his/her game, even the spelling is off key!
Dear taxpayer,
Hello *******,
I am sending this email to announce that after the last annual calculation of your fiscal activity we have determined that you are eligible to receive a tax return of £275.49. In order to receive your refund, you need to create a Government Gateway account.

Refund #5964327489
Issuing Date: Wednesday, April 20 , 2016
Expiration Date: Thursday, April 21 , 2016
Receiver: **********
Payment Method: Electronically by Card
Refundable Ammount : £275.49

If you don't create a government gateway account, you will not receive your refund.
This email was sent from a notification-only address that cannot accept incoming email. Please do not reply to this message.
This is an automated email sent to *******. If you already claimed your tax return , please ignore this email.
Crown Copyright

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, 19 April 2016

Blair Got Advice From Hartnett


As loyal readers know, HMRC is keen to promote its "customer friendly" credentials and is often at pains to point out that taxpayers (sorry "customers") can get in touch with HMRC to discuss their tax queries etc.

Well it seems that HMRC are not kidding, that is at least the case for ex Prime Ministers anyway.

It appears according to reports in the Times that Tony Blair, when he left office, was granted (or at least his advisers were granted) an audience with Dave Hartnett.

For why?

Blair wanted to arrange the most tax efficient structure for some form of offshore trust that would handle his "consultancy" income from various foreign organisations/governments. Reporters were told that Blair uses an interest-in-possession (IIP) trust to receive payments from his consultancy work

Economia reports that MPs are expected to write to the Public Accounts Committee (PAC) to call for an investigation into “special treatment of high-profile individuals by HMRC”.

The question is, if you or I had asked for an audience with Hartnett would we have received the same treatment that Blair got?

Oh and by the way, re yesterday's article about HMRC's consultation on a new offence aimed at businesses which fail to prevent tax evasion.

Will that apply to HMRC as well?


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, 18 April 2016

HMRC Consultation On Evasion


HMRC has opened a consultation on a new offence aimed at businesses which fail to prevent tax evasion.

The consultation, entitled Tackling tax evasion: a new corporate offence of failure to prevent the criminal facilitation of tax evasion, concerns draft legislation published last December, which would introduce a new offence for corporates that fail to take adequate measures to prevent those working on their behalf from committing, or helping to commit, tax evasion.

The planned offence will cover both UK and overseas tax evasion.

HMRC is of the view that current legislation places too high a burden of proof on prosecutors to be able to punish companies for tax evasion carried out by somebody who is working for them. The proposed legislation aims to overcome this by pushing more responsibility onto the board and encouraging internal checks and reporting. 

The consultation will run until 10 July.

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"