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Who
is
likely
to
be
affected?
- People
who
receive
self
assessment
tax
returns
but
have
simple
affairs – for
example,
straightforward
investment
income,
or
a
modest
amount
of
income
from
property,
including:
- employees
(other
than
company
directors);
-
small
businesses
(i.e.
self-employed
with
a
turnover
less
than £15,000);
and
- pensioners
in
receipt
of
state
retirement
pension,
an
occupational
pension
or
a
retirement
annuity.
General
description
of
the
measure
- The
short
tax
return
is
four
pages
long
and
is
around
one-third
the
size
of
an
average
self
assessment
tax
return
with
supplementary
pages.
The
associated
guidance
is
also
much
shorter
and
simpler.
There
is
no
need
to
calculate
the
tax
on
the
form.
Taxpayers
are
encouraged
to
file
by
30
September
so
Inland
Revenue
can
calculate
their
tax
position
for
them
and
let
them
know
how
much
to
pay
(if
anything)
by
January.
But
for
those
who
want
to
know
sooner,
there
is
a
two
page
simple
calculation
to
give
people
a
rough
idea
of
their
tax
liability.
- The
short
tax
return
will
be
issued
automatically
based
on
the
information
in
the
previous
year’s
return.
However,
it
will
remain
the
taxpayer’s
responsibility
to
check
their
eligibility
to
complete
the
return
as
their
circumstances
may
have
changed
during
the
year,
meaning
a
short
tax
return
is
no
longer
appropriate.
Details
of
eligibility
are
set
out
clearly
at
the
front
of
the
guide.
- The
short
tax
return
has
been
designed
so
that
the
information
provided
on
it
can
be
captured
automatically
onto
the
Inland
Revenue’s
systems,
using
automated
data
capture
technology.
This
will
result
in
the
more
efficient
and
accurate
processing
of
these
returns.
- Customers
receiving
the
form
can
choose
to
file
electronically
using
the
Inland
Revenue’s
own
online
tax
return
or
approved
commercial
product.
The ‘telefiling’ pilot,
allowing
customers
to
give
their
short
tax
return
information
over
the
telephone
to
a
voice
recognition
facility,
will
be
continued
this
year
on
a
small
scale.
Operative
date
- From
April
2004
over
400,000
taxpayers
will
be
sent
the
short
tax
return
instead
of
the
main
return,
increasing
from
50,000
in
last
year’s
pilot.
The
new
form
will
be
rolled
out
nationally
in
April
2005,
when
around
one
and
a
half
million
taxpayers
should
benefit
from
the
new
form.
Current
law
and
proposed
revisions
- No
changes
in
the
law
are
required.
Further
advice
- If
you
have
any
questions
about
this
change,
please
contact
Lynn Hutchinson
on 020 7084 5602.
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