You are here: Home - Uncategorized -

Taxman may be allowed to delve into personal accounts

Written by:

Tax owed to HM Revenue & Customs (HMRC) could be taken automatically from defaulters’ bank accounts, civil servants have proposed.

It is estimated that HMRC pursues about 200,000 people through the courts every year, although many officials see this process as time-consuming and costly.

The new plan, if implemented, would allow HMRC to bypass the choked court system and give it direct executive power against the most determined defaulters.

Tax partner at accountant Pricewaterhousecoopers (PwC) told the BBC there were reservations about the proposed scheme. “Are we certain that people really owe this money?” he asked.

“We’ve got to have safeguards to say that it’s definitely owed and properly proceeded against. The taxpayer must have some right of appeal.”

His doubts were echoed by an Essex-based independent financial adviser. “This could mean that the taxman is judge, jury and executioner. HMRC is far from being the most efficient body in the world and I would certainly not like to see it with this sort of power.”

Taxpayers have until mid-September this year to make a contribution to the public consultation on the proposals.

A spokesperson for HMRC said: “High-profile tax avoiders will be taken to court within weeks. Around 40,000 people suspected of being significant tax dodgers will now be pursued vigorously.”


Related Posts


Tag Box




Financial fitness

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Are you a first-time buyer looking for a mortgage?

Look no further, get the help you need by searching for your perfect mortgage

Five ways to get on the property ladder without the Bank of Mum and Dad

A report suggests the Bank of Mum and Dad is running low on funds. Fortunately, there are other options for st...

The essential Your Money guide to the April 2018 tax changes

As we head into the 2018/19 tax year, a number of key changes take place to existing policies while some new i...

A guide to switching energy provider

All you need to know about switching from one energy supplier to another.

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Having a baby and your finances: seven top tips

We’re guessing the Duchess of Cambridge won’t be fretting about maternity pay or whether she’ll still be...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co... Awards 2018

Now in their 21st year, our awards recognise the companies offering the best products and services to consumers

Money Tips of the Week

Read previous post:
‘If you want to make big returns go for global growth’

Global growth funds hold the key to excellent investment returns, according to research from investment data analyst