HRMC: Thousands face tax raids on accounts
Chancellor George Osborne has revealed new plans for recovering tax debts, with wide-ranging reform to the current system giving authorities the permission to directly raid bank accounts in order to enforce the stricter new regulations.
The government has previously announced plans to clamp down on unpaid tax, but this represents the apotheosis of the new policy so far.
According to estimates by HM Revenue and Customs (HMRC), some 17,000 people a year will be affected by the scheme. HMRC will not be able to empty out accounts, instead having to leave a minimum of at least £5,000 for each taxpayer.
The UK tax authority predicted that the average debt of those likely to be targeted was £5,800. It added that in half of the cases on its books, debtors had more than £20,000 in their accounts, offsetting concerns that these measures will be unfairly targeted at people in financial difficulty.
HMRC will be able to seize money owed in tax, or money accidently paid to people due to an administrative error on their part. This will make such accidents less likely as well as easier to deal with, hopefully improving on the efficiency of the current process.
Although the Association of Chartered Certified Accountants (ACCA) had initially expressed its concern over the "draconian" nature of the proposed regulation, the organisation's stance softened slightly after having the opportunity to study them in full detail.
Chas Roy-Chowdhury, head of taxation at the ACCA, admitted that the scheme is "less fearsome than first thought".
"There remain some concerns over how efficient HMRC can be in maintaining those safeguards, as well as whether this initiative is in fact a toothless one that will make no difference at all to collecting taxes owed. However, it is important now to have constructive engagement with HMRC to ensure the proposals are reasonable and proportionate," he added.
Clearly, this shift will have a major impact on many people across the UK, especially those who do not have their tax affairs in order. However, it is also likely to drive change in the job market.
Graham Young, tax manager with Marks Sattin, suggested that demand for specialists is likely to soar, especially if further rule changes are afoot as the government attempts to push its efficiency drive and increase the amount of money coming into the treasury.
"Whether you are looking for opportunities in the profession across the Big Four, Top 20, boutique firms or in-house opportunities across commerce and industry and financial services, we consistently maintain numerous job openings to ensure we can provide our candidates with unrivalled market coverage," he declared.
Even if you have some expertise in the taxation area, there can be a host of benefits accrued from working with a specialist recruiter when trying to find a good role.
Given how popular a field tax is, with a host of experienced and talented workers clamouring for the best positions, having some guidance on how to tailor your approach could make all the difference and give you an edge over the competition.
Signup to receive the latest discipline specific articles
Related jobs
Salary:
Equity, Bonus and Benefits
Location:
London
Industry
Healthcare
Qualification
Fully qualified
Market
Executive Search
Salary
£125,000 - £175,000
Job Discipline
Private Equity Executive Search
Contract Type:
Permanent
Description
Marks Sattin Executive Search is partnering with a dynamic, PE-backed Multisite Healthcare Services business to recruit a CFO.
Reference
TA3404
Expiry Date
01/01/01
Author
Executive SearchAuthor
Executive SearchSalary:
£60,000 - £70,000 per annum
Location:
Basingstoke, Hampshire
Industry
Real Estate
Qualification
Fully qualified
Market
Commerce & Industry
Salary
£70,000 - £80,000
Job Discipline
Qualified Finance
Contract Type:
Permanent
Description
Management Accountant 60k - 70k Basingstoke
Reference
BBBH183397
Expiry Date
01/01/01
Author
Ollie PizzeyAuthor
Ollie PizzeySalary:
£225 - £250 per day
Location:
Bradford, West Yorkshire
Industry
Business Services
Qualification
Finalist / Newly qualified
Market
Financial Services
Salary
£250 - £350
Job Discipline
Newly Qualified Finance
Contract Type:
Contract
Description
Interim Management Accountant - Immediate Start (£225 - £250 per day)
Reference
BBBH183400
Expiry Date
01/01/01
Author
Haroon HussainAuthor
Haroon HussainSalary:
£30,000 - £38,000 per annum
Location:
Wetherby, West Yorkshire
Industry
Business Services
Qualification
None specified
Market
Commerce & Industry
Salary
£35,000 - £40,000
Job Discipline
Part Qualified & Transactional Finance
Contract Type:
Permanent
Description
Accounts Assistant role in Wetherby
Reference
BBBH183399
Expiry Date
01/01/01
Author
Cameron WalshAuthor
Cameron WalshSalary:
£60,000 - £80,000 per annum
Location:
Bracknell Forest, Berkshire
Industry
Professional Services
Qualification
None specified
Market
Financial Services
Salary
£80,000 - £100,000
Job Discipline
Business Analysis
Contract Type:
Permanent
Description
As a Business Process Improvement Analyst, you play a critical role in enhancing the efficiency and effectiveness of the organisation's process.
Reference
BBBH183398
Expiry Date
01/01/01
Author
Andrew BarnesAuthor
Andrew BarnesSalary:
£32,000 - £35,000 per annum + 12% bonus
Location:
Wokingham, Berkshire
Industry
Manufacturing
Qualification
Part qualified
Market
Commerce & Industry
Salary
£35,000 - £40,000
Job Discipline
Finance Change
Contract Type:
Permanent
Description
Finance Assistant, Wokingham, £32,000 - £35,000
Reference
BBBH183276
Expiry Date
01/01/01
Author
Milly MurrayAuthor
Milly MurraySalary:
£60,000 - £70,000 per annum
Location:
City of London, London
Industry
Consumer & Retail
Qualification
None specified
Market
Commerce & Industry
Salary
£70,000 - £80,000
Job Discipline
Product
Contract Type:
Permanent
Description
Technical Product Owner
Reference
BBBH183171
Expiry Date
01/01/01
Author
Alex SimmonsAuthor
Alex SimmonsSalary:
£28,000 - £33,000 per annum
Location:
Leeds, West Yorkshire
Industry
Professional Services
Qualification
None specified
Market
Commerce & Industry
Salary
£30,000 - £35,000
Job Discipline
Part Qualified & Transactional Finance
Contract Type:
Contract
Description
Marks Sattin are currently recruiting an interim Accounts Assistant/Assistant Accountant on behalf of a very well established SME service provider, based in North Leeds.
Reference
BBBH183395
Expiry Date
01/01/01
Author
Yasmin CloughAuthor
Yasmin CloughSalary:
£70,000 - £90,000 per annum
Location:
Slough, Berkshire
Industry
Consumer & Retail
Qualification
Fully qualified
Market
Commerce & Industry
Salary
£80,000 - £100,000
Job Discipline
Qualified Finance
Contract Type:
Permanent
Description
We are working with an exciting client within the Consumer space who need someone to come in and support with leading financial planning and analysis in the FP&A and Supply Chain Finance team.
Reference
BBBH183396
Expiry Date
01/01/01
Author
Ollie PizzeyAuthor
Ollie PizzeySalary:
£32,000 - £35,000 per annum
Location:
London
Industry
Consumer & Retail
Qualification
Part qualified
Market
Commerce & Industry
Salary
£35,000 - £40,000
Job Discipline
Part Qualified & Transactional Finance
Contract Type:
Contract
Description
Seeking a Finance Assistant for a part-time position available on a 6-month contract within a consumer retail business based in Central London.
Reference
BBBH183394
Expiry Date
01/01/01
Author
Jamie SmithAuthor
Jamie Smith