Posted by Tax Innovations on 04 Sep 2012
HMRC Campaigns Update
HM Revenue and Customs (HMRC) have been running and will continue to launch campaigns to provide opportunities for individuals to voluntarily put their tax matters in order.
Every HMRC campaign is aimed at a different group and has time limits for making notifications, disclosures and payment. Anyone who fails to respond within the time limit is likely to face tougher penalties.
There are currently two active campaigns which we have already posted articles for:
The next campaign HMRC are set to launch is the “direct selling initiative”. The scheme has been designed to help those involved in direct selling understand their tax requirements.
HMRC have defined direct sellers as those working as agents for companies who sell in a customer’s home demonstrating their products or door-to-door sales people who often use catalogues, for example, Avon representatives.
Sometimes direct selling can be a full-time business but for many, they have taken it up as a second job during the tough economic times. They need to be aware that they must report any commission made on sales to HMRC if they earn enough to pay tax.
The direct selling campaign will start on the 26th September 2012 and run until the 28th February 2013.
As well as HMRC targeting direct sellers they are also due to release a “home maintenance and improvement” campaign following the recent initiative aimed at plumbers and electricians. This will affect home improvement traders such as carpenters, bricklayers, roofers, window fitters and joiners and is hoped to encourage them to bring their tax affairs up to date.
Single Compliance Process (SCP) Trial
The SCP trial is also in the news as it is set to be extended for at least another 18 months.
In June 2012 a report on the trial was launched providing details of the success of tax enquires launched under the new framework.
The SCP trial, into SME (Small Medium Enterprises) businesses, has been set up by HMRC and is aimed at improving the quality and consistency of enquiries. They plan to do this by implementing a more cooperative approach with businesses and their tax agents which is hoped will increase the efficiency of their workforce, reducing delays.
The tax offices involved in the SCP trial are Belfast, Cardiff, Dundee, Edinburgh, Euston Tower in London, Exeter, Ipswich, Lincoln, Newcastle, Reading, Slough, Southampton, Tolworth, Warrington, Worcester and York.
HMRC intends to adopt the SCP framework across all enquiries into SMEs at some future point.
If you would like any advice regarding the above article or would simply like to discuss other ways in which we could help you or your business, please contact us on 01962 856 990 or email@example.com
- Tax Relief For Residential Mortgages
- Non-Resident Landlords – UK Tax Update
- Top 10 Expat Tax Tips for Individuals Moving to the UK
- UK tax residents – beware of US LLCs!
- UK Property Sales: Capital Gains Tax for Non-Residents