Muras Matters: Battle of the taxes

Battle of the taxes

HM Revenue & Customs (“HMRC) recently released data regarding which individuals are most likely to file their tax returns on time, based on the 2013/14 tax year. The results showed that:

  1. Women are more likely to file on time than men (for every 10,000 men 394 were late, compared to 358 for women).
  2. Young adults are more likely to miss the deadline (from 10,000 18-20 year olds 1,085 were late, compared to 155 over 65’s).
  3. Accountants and lawyers are the second most punctual (219 late from 10,000), with agricultural, fishing and forestry workers first (only 109 late filers).
  4. Workers in the information and communication industry are the worst at filing on time with 390 late per 10,000.
  5. Regionally, tax payers in the South West of the UK are most punctual (299 per 10,000).
  6. London are most likely to miss the deadline with 512 overdue per 10,000.
  7. The West Midlands came in 4th with 344 late per 10,000.

HMRC released this information in order to encourage people to file their tax returns on time, but it also shows the level of information at HMRC’s disposal and how they can use it to assess which taxpayers should be examined more closely.

Tax Investigation Service

HMRC have also recently confirmed that the average time taken to complete an enquiry into an individuals tax affairs is 20% longer than it has been in the past. These enquiries can turn into long, disruptive investigations potentially lasting years.

A longer enquiry is more distressing and more costly in terms of professional fees for representing a taxpayer.

With this in mind we are re-launching our Tax Investigation Service again this year which, for a modest annual subscription, ensures our fees in the event of an enquiry, or even a routine compliance check, are covered in full*.

If you are interested in subscribing for this service for peace of mind then please contact our Tax Director, Jenny Marks.

To see our other news items please visit our Muras Baker Jones – Blog.

* some exclusions do apply and can be viewed here.