Research

This section contains research published by Analysis, HM Revenue & Customs. Analysis is a multi-disciplinary group comprising social researchers, economists, operational researchers and statisticians. The department's research programme is aimed at supporting evidence-based policy making and its evaluation of the impact of implemented policies, as well as supporting its day to day business.

Activities currently funded by HMRC

HM Revenue and Customs sponsorship of externally generated research proposals

HM Revenue and Customs (HMRC) is introducing an initiative whereby academic and research experts can formally propose research ideas to the department and bid for financial sponsorship. This process will allow a wider network of experts to influence the development of HMRC's evidence base and incorporate recent theoretical and methodological advancements.

Further information is available.

HMRC conference on taxation research June 2006

One-day conference focusing on the methodology and analytical tools needed for taxation research. In the role of supporting HMT on tax policy, and HMRC policy, compliance, customer experience and performance/efficiency.

Listed below these were the presentations at the conference:

Research report 1:

Research report 2: research into the Enterprise Investment Scheme and Venture Capital Trusts

Government summary of key WFTC/DPTC research findings

Research report 3: Working Families' Tax Credit and Disabled Person's Tax Credit

Research report 4: Working Families' Tax Credit and Disabled Person's Tax Credit: A survey of employers

Research report 5: evaluation of the Disabled Person's Tax Credit

Research report 6: evaluation of the Disabled Person's Tax Credit

Research report 7: the childcare tax credit element of Working Families' Tax Credit

Research report 8: Self Assessment pilots 2003/4

Research report 9: individuals' donations to charities and their use of tax relief

Research report 10: The Inheritance Tax process - a survey of customer satisfaction

Research report 11: qualitative research into Enterprise Management Incentives

Research report 12: Research and Development Tax Credits survey

Research report 13: qualitative research for the review of links with medium sized businesses

Research report 14 - analysis of the impact of the tax system on the cash flow of small businesses: a report for HM Revenue and Customs (HMRC)

This report (PDF 2.2MB) presents evidence on the effects of the timing of taxation payments on the cash flow of small firms. Specifically, it seeks to examine the effects of the timing of taxation payments, both negative and positive, on cash flow; identify which particular types of businesses are affected; the effects of taxation according to different types of taxation (VAT, Corporation tax, PAYE/NICs, Personal taxation); and the take-up of government initiatives related to taxation payments.

Research report 15 - tracking income: how working families' incomes vary through the year

Research report 16 - evaluation of the Urban White Paper fiscal measures

Research report 17 - employer's experience of the Student Loan Deductions (SLD) system

Research report 18 - a baseline survey at the inception of the Child Trust Fund

Research report 19 - Feasibility Study for potential econometric assessment of the impact of R&D tax credit on R&D expenditure

Research report 20 - Agents and HMRC Online Services

Research report 21 - payments and filing behaviour of new taxpayers

Research report 22 - Self Assessment Tax Calculation Guide

Research report 23 - monitoring of the reform of the income tax and National Insurance rules for Employer-Supported Childcare: A study of provision and experiences of employers

Research report 24 - Solicitors and Licensed Conveyancers experiences of recording stamp duty

Research report 25 - research on Trusts: experience of setting up and running Trusts

Research report 26 - evaluation of the changes to Capital Gains Tax since 1998

Research report 27 – Survey to establish awareness and take-up of the VAT Cash Accounting Scheme

Research report 28 - The Customer Experience of the Re-Engineering Compliance Pilots

Research report 29 - Charitable Donations by Wealthy People

Research report 30 - Large groups' tax departments: factors that influence tax management

Research Report 31 - Researching the Very Wealthy: Results from a Feasibility Study

Research Report 32 - The relationship between HM Revenue & Customs, its customers and the voluntary and community sector

HM Revenue & Customs commissioned an independent research organisation to provide an insight into how and why a sector of its customer base use VCS organisations as a means of accessing HMRC services. The work intends to inform and support HMRC to deliver best practice models in working with and through the VCS to deliver efficient and socially inclusive public services.
The study investigates the following:

  • The types of people that use VCS organisations as a means of accessing HMRC services,
  • The barriers that prevent customers from contacting HMRC directly, and
  • How the relationship between the VCS and HMRC can be strengthened in the future
  • Full Report (PDF 333K)

Research Report 33: Tax-advantaged employee share schemes: analysis of productivity effect

An econometric analysis of the impact of tax-advantaged share schemes on UK company performance. The research focuses on the impact of Approved Profit Sharing (APS), Save As You Earn (SAYE), and Company/Discretionary Share Option Plan (CSOP/DSOP) schemes.

Research Report 34: HMRC Customer Service Survey results 2006, 2005 and 2004

Research Report 35 - Education, information and support needs of customers aged 50-69

Research Report 36 - Registration for Self Assessment Online in 2006

Research Report 37 - Users of Self Assessment Online in 2005

Research Report 38 - Saving in ISAs

Research Report 39 - Encouraging take up of Stamp Duty Land Tax online filing among solicitors and licensed conveyers

Research Report 40 - exploring the early effects of the New Construction Industry Scheme (New CIS)

Research Report 41 - Enterprise Management Incentives (EMI) Evaluation Survey: Use of EMI and its perceived impact

Research report 42 - relationship between national non-domestic rates and commercial property rents

Research Report 43 - A Review of Research Evidence on Factors Influencing the Renovation of Business Premises in Disadvantaged Areas

Research Report 44 - Study of the impact of the Enterprise Investment Scheme (EIS) and Venture Capital Trusts (VCTs) on company performance

Research Report 45 - Key barriers to the Adoption of Gift Aid

Research Report 47 - The Disability Element of Working Tax Credit

HMRC commissioned independent research to examine the experiences and characteristics of people who receive, or are eligible to receive, the disability element of Working Tax Credit (WTC). The findings showed that respondents considered WTC and the disability element to provide a better standard of living than out of work benefits and tended to feel that there was no stigma attached to claiming WTC. In terms of decisions relating to work, respondents’ health was the deciding factor, however, the financial support provided by WTC and the disability element acted as a financial incentive to move into work and also to stay in work by allowing respondents to reduce their hours in order to manage their disability. Overall, respondents had a basic understanding of the disability element of WTC and who could receive it, although awareness of the disability element was low among those who were not claiming it. A lack of awareness of the disability element was the primary reason for eligible respondents not claiming and concern with overpayments was an additional barrier. Respondents tended to be aware of the requirement to report changes in relation to their income and household situation but only demonstrated awareness of the need to report a change in their disability when prompted.

Research Report 48 - Research to explore the feasibility of collecting in-year estimates of income from tax credits claimants

HMRC commissioned independent research to investigate how willing and able tax credits recipients were to provide an estimate of their household income prior to receiving their P60s at the end of the tax year, and how accurate this estimate was. The findings showed that a majority of respondents contacted for the research were willing to give an estimate of income and around nine in ten of them were able to provide an estimate of their household income within a given range. However, respondents were less able to give an estimate of household income when asked for an exact figure, and had more difficulty in estimating their partner’s income than their own. Self-employed recipients of tax credits and those on variable hours or income found it more difficult to give estimates due to variable incomes.

Research Report 49 - Exploring the Key Influences on the Tax Credits Claimant Population

HMRC commissioned independent research to explore the experiences and attitudes of a wide range of tax credits claimants in order to determine whether it was possible to group claimants by shared experiences and behaviours to tailor services in a more sensitive way. The research showed personal circumstances, attitudes/behaviours, and previous life experiences combined to influence claimants’ views and experiences of the tax credits system. Complex interactions between these factors suggested that it was not possible to create distinct groups of tax credits claimants. The research found strong positive support for the financial assistance provided by tax credits and they were viewed differently from other forms of state financial support in having no stigma attached. Satisfaction with the system was influenced by the impact tax credits were felt to have on household finances and whether claimants’ had experienced any problems with the system. Respondents who had experienced an overpayment tended to view the tax credits system more negatively. The impact of tax credits depended on respondents’ income and level of award; while those on the highest incomes reported no impact on living standards, tax credits made a crucial contribution to the cost of essentials such as food, housing and household bills for respondents on lower incomes. Tax credits had encouraged some claimants to move into work by providing a financial impetus to do so. However, in other cases tax credits had encouraged the status quo among those already in work who were reluctant to change their working hours for fear of complicating their claim. Tax credits had helped some mothers into work by providing help with childcare costs and had also been important for mothers who chose to stay at home by helping with the costs of bringing up a child.

Research Report 50 - Contact Centre Customer Satisfaction Survey 2005-6

Research Report 51 - Contact Centre Customer Satisfaction Survey 2006-7

Research Report 52: Claimants’ understanding and experience of the tax credits renewal process

Claimants understood the purpose of the tax credits renewals process and were generally aware of what they needed to do to renew their claim. Whether claimants renewed on time, just in time or late were related to the claimants’ reliance on tax credits as well as their financial management style and organisational skills.

Research Report 53: Exploring claimants' understanding of the tax credits system and the process of reporting changes of circumstance

Claimants understood the purpose of the tax credits renewals process and were generally aware of what they needed to do to renew their claim. Whether claimants renewed on time, just in time or late were related to the claimants’ reliance on tax credits as well as their financial management style and organisational skills.

Research Report 54 - Evaluation of Enhanced Capital Allowance (ECA) for energy saving technologies

HMRC Working Papers

Working Paper 1: modelling WFTC take-up

Working Paper 2: did Working Families' Tax Credit work?

Working Paper 3

Working Paper 4

Working Paper 5:

HMRC Staff Survey results