The review looked at a number of legislative changes to support a programme of legislative, administrative and operational changes designed to make it easier for taxpayers to pay what they owe on time, support those who find themselves in temporary difficulties, and come down hard on those who seek to avoid their obligations by paying late or not at all.
Legislation |
Statutory Instruments |
Implementation Date |
Guidance |
|---|---|---|---|
FA 2009 section 97 and Schedule 49 provide that HMRC may require third parties to provide contact details for those in debt to HMRC |
N/A |
21 Jul 2009 |
|
FA 2009 section 110 and Schedule 58 provide for the Commissioners for HMRC to make regulations to collect debts owed to HMRC through the Pay As You Earn (PAYE) system. |
SI 2001/1583 |
6 Apr 2012 |
|
FA 2009 section 111 provides for HMRC to introduce managed payment plans. |
N/A |
Deferred as announced at Budget 2010 |
N/A |
Legislation |
Statutory Instruments |
Implementation Date |
Guidance |
|---|---|---|---|
FA 2008 sections 127 - 129 and Schedules 43 and 44 aligned and modernised HMRC powers to seize and sell goods to satisfy tax debt |
England and Wales |
Date to be set in conjunction with Ministry of Justice |
|
Scotland: sections 137 - 139 allows HMRC to conduct action for debt in the county courts |
SI 2009/3024 N/A |
23 Nov 2009 21 Jul 2008 |
|
FA 2008 sections 130 - 132 allows HMRC to set repayments it must make against what it is owed more often than now. |
N/A |
21 Jul 2008 |
|
FA 2008 section 136 enables HMRC to accept payment by credit card and pass on the associated fees. |
Payment over Internet (Billpay) Payment by telephone |
1 Apr 2011 2 Apr 2012 |
Non Finance Act legislation |
Statutory Instruments |
Implementation Date |
Guidance |
|---|---|---|---|
A new section was inserted in the Civil Procedure (Amendment) Rules 2011 to allow the award of fixed costs to HMRC in claims for the recovery of money through a county court where the matter is conducted by an HMRC officer. The Ministry of Justice laid the Statutory Instrument on 19 January 2011. |
SI2011 No.88 (L.1) |
The Statutory Instrument had effect from 6 April 2011. However, HMRC only began to charge fixed costs on cases entered into the county court in England and Wales from April 2012. |
On 25 June 2007 the Review published high level consultation on a package of debt management proposals Payments, Repayments and Debt: The developing programme of work. A summary of responses and further consultation on three of the proposals with draft legislation was published on 10 January 2008 Payments, Repayments and Debt: Responses to Consultation and Proposals. A Summary of Responses to that consultation and a Final Impact Assessment (PDF 273K) were published on 27 March 2008.
The proposed changes were announced in Budget Note 98.
The consultation document Payments, Repayments and Debt: The Next Stage published on 24 November 2008 and accompanying draft legislation consulted further on another five proposals. A Summary of Responses and a Final Impact Assessment (Opens new window) were published on 22 April 2009.
The proposed changes were announced in Budget Note 88.
The technical discussion document Scale of costs in successful court actions for debt in England and Wales was published on 1 July 2010. A summary of responses was published on 31 January 2011.
The technical discussion paper - Collecting debts through PAYE was published on 14 April 2011. The consultation sought views on draft secondary legislation designed to extend collection through PAYE to all debts, as well as increasing the threshold for such collection to £3000. A Summary of Responses was published June 2011.
Ipsos MORI was commissioned by HM Revenue & Customs (HMRC) to undertake qualitative research with customers that had been in tax debt during the past two years. The aim of the project was to develop a better understanding of late paying customers and the effect of different enforcement and support regimes.
The report Late Payment of Tax: Motivations and Sanctions was published on 18 December 2008 with an explanation of how HMRC has already started to take on board the outcome of this research and has used the findings to inform the Review's work into debt, penalties and interest.
