HMRC must do more to ease taxpayers’ burdens, says Public Accounts Committee

HMRC has lost sight of needing to put taxpayers at the heart of changes to the tax system said the parliamentary Public Accounts Committee (PAC) in a report on the making tax digital (MTD) programme.

As Andrew Hubbard mentioned in his article ‘Read the small print’ (Taxation 30 November 2023) the report raises many concerns about the MTD project. The committee noted that with MTD rather than aiming to make it easier for people to get their tax right HMRC is increasing the burdens imposed on some taxpayers. The MPs also said that in seeking further investment in MTD HMRC has not been open enough about the substantial costs that will be imposed on many taxpayers.

Further the design of MTD has not taken enough account of the realities facing business taxpayers and agents. While MTD will substantially...