Saturday, July 25, 2009

Is the taxman really guilty of human rights abuse?


New legislation governing the right of HMRC to acquire data and information have the capacity to breach human rights says Roger Barnard, director of tax at Tenon

A public consultation with the potential to significantly strengthen existing powers for HM Revenue & Customs has been met cautiously, with some advisers arguing the proposals are already in practice.

Legislation governing the right of the department to acquire data and information came into effect on April 1, largely focusing on how HMRC approaches taxpayer compliance checks across a range of taxes, including corporate tax, VAT and PAYE.

According to HMRC, the legislation was brought in to make the tax system ‘simpler and more consistent’. However, a further proposal – that would give the taxman the power to seize large or ‘bulk’ batches of information at once – is leading many to question whether the consultation process is going to have any sway.

See full Article.