Lord Carter’s review of HMRC online filing services was published earlier in 2006. Legislation will be brought forward during 2007 to implement the changes which will start in 2008.
The key proposals are to:
Following Lord Carter’s recommendations and consultation by HMRC and Companies House, the government will work to provide a single online filing facility by 2010. To encourage earlier filing and give businesses certainty sooner, from 2008 the period during which an enquiry can be opened into a corporation tax return will be tied, for most companies, to the actual date HMRC receives the return rather than a fixed filing date.
The government launched a review of HMRC powers and taxpayer safeguards in March 2005 to provide tools for the newly integrated HMRC. In March 2006 HMRC launched its second consultation on the general principles of reform and in August more detailed consultation on modernising criminal investigation powers.
A summary of the responses to the March consultation has now been published. The comments are generally supportive of the broad approach proposed. A detailed consultation on penalties for incorrect returns and a further consultation on criminal powers will be published in the near future.
The findings of the review carried out by Sir David Varney were published in November 2006 and the government has confirmed that it has accepted all its findings.
The review’s proposals will provide: