Friday 15 March 2024

HMRC 's Missing Million - A Deep Dive into The Crisis


 

In recent news, it has been reported that nearly a million calls to His Majesty's Revenue and Customs (HMRC) were left unanswered in January. This alarming figure, worhty of some form of Rotten Tomato Award, has raised serious concerns about the efficiency and effectiveness of the tax authority's customer service.

The Current Situation

HMRC, responsible for the collection of taxes and the implementation of other regulatory regimes in the UK, has been under fire for its poor customer service. In January alone, 841,945 calls were not handled, leaving taxpayers struggling to get the help they needed. This issue was particularly problematic as January is the deadline for self-assessment tax returns.

The average wait time to speak to a tax adviser exceeded 25 minutes for the first time ever, with some waiting much longer. This has led to a significant number of taxpayers hanging up before their call is answered.

The Impact on Taxpayers

The implications of this situation are far-reaching. Taxpayers are battling to speak with advisers, and the record-high wait times are causing significant stress and inconvenience.

Moreover, the inability to get through to HMRC could potentially lead to mistakes on tax returns, which could result in fines or investigations. This is particularly concerning for individuals and small businesses who may not have ready access to tax advisers.

Looking Forward

HMRC has acknowledged the issue and has taken steps to improve its service. However, these efforts need to be ramped up to ensure that taxpayers can access the help they need in a timely manner.

It is crucial for HMRC to invest in its customer service capabilities, not only to improve wait times but also to ensure that the advisers at the other end are competent and can provide accurate information.

It is essential for the tax authority to address this issue promptly and effectively to maintain public trust and ensure the smooth functioning of the tax system.


Tax does have to be taxing.

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Tax Investigation Insurance is an insurance policy that will fully reimburse your accountant's (your tax return agent) fees up to £100,000 if you are subject to enquiry by or dispute with HMRC.

A Solar Protect policy will enable your accountant (your tax return agent) to:

  • Deal with any correspondence from HMRC
  • Attend any meeting with HMRC
  • Appeal to the First-tier Tribunal or Upper Tribunal
  • Having the security of knowing that fees will be met in full will enable your Accountant (your tax return agent) to defend your position robustly

Please click here for details.

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Thursday 29 February 2024

Will HMRC Look Into Rayner's Tax Affairs?


 

Genuine question, what do you think will HMRC look into her tax affairs?

Private Residence Relief

You do not pay Capital Gains Tax when you sell (or ‘dispose of’) your home if all of the following apply:

  • you have one home and you’ve lived in it as your main home for all the time you’ve owned it
  • you have not let part of it out - this does not include having a lodger
  • you have not used a part of your home exclusively for business purposes (using a room as a temporary or occasional office does not count as exclusive business use)
  • the grounds, including all buildings, are less than 5,000 square metres (just over an acre) in total
  • you did not buy it just to make a gain

If all these apply you will automatically get a tax relief called Private Residence Relief and will have no tax to pay. If any of them apply, you may have some tax to pay.

Find out if you’re eligible for Private Residence Relief.

Married couples and civil partners can only count one property as their main home at any one time.

The rules are different if you sell property that’s not your home or if you live abroad.



Tax does have to be taxing.

Tax Investigation Insurance

Market leading tax fee protection insurance for businesses, sole traders and individuals. Protect yourself from accountancy fees in the event of an HMRC enquiry.

Having a Solar Protect Tax Investigation Insurance policy at your disposal means that should you be one of the many 1000's of businesses or individuals that are selected by HMRC each year to look into your tax affairs your own accountant (your tax return agent) can get on and defend you robustly.

You have the peace of mind knowing that your accountant's (your tax return agent) fees will be paid by the insurance without any Excess for you to find.

Tax Investigation Insurance is an insurance policy that will fully reimburse your accountant's (your tax return agent) fees up to £100,000 if you are subject to enquiry by or dispute with HMRC.

A Solar Protect policy will enable your accountant (your tax return agent) to:

  • Deal with any correspondence from HMRC
  • Attend any meeting with HMRC
  • Appeal to the First-tier Tribunal or Upper Tribunal
  • Having the security of knowing that fees will be met in full will enable your Accountant (your tax return agent) to defend your position robustly

Please click here for details.

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 February 2024

HMRC Customer Service Hits All-Time Low



In a disheartening revelation, the Public Accounts Committee (PAC) has sounded the alarm bells over the dismal state of customer service at His Majesty's Revenue & Customs (HMRC). The tax authority's service levels have persistently declined over the past five years, leaving taxpayers frustrated and exasperated.
 

A Five-Year Downward Spiral

The PAC's latest report, published today, paints a grim picture. Despite record-high tax revenues reaching £814.0 billion in 2022-23, HMRC's performance has fallen short. Here are the key findings:

1. Service Levels Plummet: Customer service levels at HMRC have hit an all-time low. Callers faced agonizing wait times, with 62.7% waiting more than 10 minutes to speak to an adviser in 2022-23, up from 46.3% the previous year.

2. Resource Crunch: HMRC claims it lacks the resources to meet rising demand for phone and post services. Instead, it directs callers to digital channels, insisting they are of good quality. However, taxpayers and their agents have vehemently disagreed, citing frustrating experiences.

3. Tax Complexity: With the taxpayer population growing and tax affairs becoming increasingly complex, HMRC appears to be struggling to cope. The twin challenges of managing more taxpayers and intricate tax matters have stretched the organization thin.

4. Compliance Gap: HMRC fell £2 billion short of its £36 billion target for compliance yield (additional revenue saved due to HMRC's intervention) in 2022-23. This shortfall is concerning, especially given the record tax revenues.

5. Criminal Prosecutions Decline: The number of criminal prosecutions by HMRC has significantly dropped—from 691 in 2019-20 to a mere 240 in 2022-23. While HMRC claims selectivity in using its criminal investigation powers, the PAC worries that fewer prosecutions send the wrong message.

6. IR35 Rules Under Scrutiny: The PAC also examined HMRC's approach to the IR35 rules on off-payroll working. Concerns were raised that this approach might discourage legitimate economic activity and deter companies from using contractors.

Chair's Comment

Dame Meg Hillier MP, Chair of the Committee, expressed her disappointment: 

"Almost eight years have passed since our Committee challenged HMRC over its telephone lines' holding message being one of the most streamed pieces of music in the country. Our latest report into its performance sadly illustrates a continued tale of decline in its services."


As taxpayers continue to grapple with HMRC's service woes, urgent action is needed to restore confidence and efficiency. The PAC's recommendations aim to bridge the gap and ensure that taxpayers receive the service they deserve. 


Read the full report here .

Tax does have to be taxing.

Tax Investigation Insurance

Market leading tax fee protection insurance for businesses, sole traders and individuals. Protect yourself from accountancy fees in the event of an HMRC enquiry.

Having a Solar Protect Tax Investigation Insurance policy at your disposal means that should you be one of the many 1000's of businesses or individuals that are selected by HMRC each year to look into your tax affairs your own accountant (your tax return agent) can get on and defend you robustly.

You have the peace of mind knowing that your accountant's (your tax return agent) fees will be paid by the insurance without any Excess for you to find.

Tax Investigation Insurance is an insurance policy that will fully reimburse your accountant's (your tax return agent) fees up to £100,000 if you are subject to enquiry by or dispute with HMRC.

A Solar Protect policy will enable your accountant (your tax return agent) to:

  • Deal with any correspondence from HMRC
  • Attend any meeting with HMRC
  • Appeal to the First-tier Tribunal or Upper Tribunal
  • Having the security of knowing that fees will be met in full will enable your Accountant (your tax return agent) to defend your position robustly

Please click here for details.

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 February 2024

Allegations of Assault, Bullying and Misogyny at HMRC on Glassdoor


Source Glassdoor

I have tried to access the full posting but Glassdoor want me to start reviewing the company I work for. Please come someone send or post a screenshot of the full post?

Thanks

Tax does have to be taxing.

Tax Investigation Insurance

Market leading tax fee protection insurance for businesses, sole traders and individuals. Protect yourself from accountancy fees in the event of an HMRC enquiry.

Having a Solar Protect Tax Investigation Insurance policy at your disposal means that should you be one of the many 1000's of businesses or individuals that are selected by HMRC each year to look into your tax affairs your own accountant (your tax return agent) can get on and defend you robustly.

You have the peace of mind knowing that your accountant's (your tax return agent) fees will be paid by the insurance without any Excess for you to find.

Tax Investigation Insurance is an insurance policy that will fully reimburse your accountant's (your tax return agent) fees up to £100,000 if you are subject to enquiry by or dispute with HMRC.

A Solar Protect policy will enable your accountant (your tax return agent) to:

  • Deal with any correspondence from HMRC
  • Attend any meeting with HMRC
  • Appeal to the First-tier Tribunal or Upper Tribunal
  • Having the security of knowing that fees will be met in full will enable your Accountant (your tax return agent) to defend your position robustly

Please click here for details.

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 February 2024

Glassdoor Allegation


 

Regarding this comment:

"Breaking News: A current HMRC Fraud Investigator has left a review on Glassdoor alleging bullying, misogyny and assaults on female staff. "

Please can someone send me the link to the allegation on Glassdoor, I can't find it.

Thanks.

Tax does have to be taxing.

Tax Investigation Insurance

Market leading tax fee protection insurance for businesses, sole traders and individuals. Protect yourself from accountancy fees in the event of an HMRC enquiry.

Having a Solar Protect Tax Investigation Insurance policy at your disposal means that should you be one of the many 1000's of businesses or individuals that are selected by HMRC each year to look into your tax affairs your own accountant (your tax return agent) can get on and defend you robustly.

You have the peace of mind knowing that your accountant's (your tax return agent) fees will be paid by the insurance without any Excess for you to find.

Tax Investigation Insurance is an insurance policy that will fully reimburse your accountant's (your tax return agent) fees up to £100,000 if you are subject to enquiry by or dispute with HMRC.

A Solar Protect policy will enable your accountant (your tax return agent) to:

  • Deal with any correspondence from HMRC
  • Attend any meeting with HMRC
  • Appeal to the First-tier Tribunal or Upper Tribunal
  • Having the security of knowing that fees will be met in full will enable your Accountant (your tax return agent) to defend your position robustly

Please click here for details.

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 February 2024

Ministers Give Taxpayers The Finger!


 

Remember Making Tax Digital (MTD)? 

That grand plan to shove everyone online and make tax filing a breeze? 

Well, it seems the "breeze" turned into a full-blown hurricane, leaving taxpayers bewildered and the Public Accounts Committee (PAC) fuming. They called the decisions "utterly extraordinary," a sentiment shared by many a frustrated citizen.

But guess what? 

Ministers, bless their bureaucratic hearts, have decided to ignore the pleas of the people and the PAC's wise words. They've rejected calls to prioritize customer needs in future digitalization efforts, effectively saying, "Sod your struggles, we're sticking to our guns!"

Now, don't get me wrong, digitalisation can be a good thing. But when it's implemented with the grace of a drunken bull in a china shop, it becomes a recipe for disaster. MTD, with its mandatory online filing and clunky interface, has left many taxpayers feeling like they're navigating a labyrinth blindfolded.

The PAC, in their infinite wisdom, suggested a more customer-centric approach. Transparency on costs and benefits? Sounds sensible, right? Nope, ministers say it's "non-negotiable." Figures on how tax revenue will be affected? Apparently, that's top secret information.

So, what does this mean for you, the average taxpayer? Well, it means brace yourself for more digital confusion, potentially higher costs, and a distinct lack of support from the powers that be.

Tax does have to be taxing.

Tax Investigation Insurance

Market leading tax fee protection insurance for businesses, sole traders and individuals. Protect yourself from accountancy fees in the event of an HMRC enquiry.

Having a Solar Protect Tax Investigation Insurance policy at your disposal means that should you be one of the many 1000's of businesses or individuals that are selected by HMRC each year to look into your tax affairs your own accountant (your tax return agent) can get on and defend you robustly.

You have the peace of mind knowing that your accountant's (your tax return agent) fees will be paid by the insurance without any Excess for you to find.

Tax Investigation Insurance is an insurance policy that will fully reimburse your accountant's (your tax return agent) fees up to £100,000 if you are subject to enquiry by or dispute with HMRC.

A Solar Protect policy will enable your accountant (your tax return agent) to:
  • Deal with any correspondence from HMRC
  • Attend any meeting with HMRC
  • Appeal to the First-tier Tribunal or Upper Tribunal
  • Having the security of knowing that fees will be met in full will enable your Accountant (your tax return agent) to defend your position robustly

Please click here for details.

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"