The Budget contained a number of announcements reinforcing the government’s commitment to supporting HMRC’s work and resources. A key component of that commitment is an investment in recruitment and new technology for HMRC, forecast to bring in £4.4 billion additional tax revenue by 2024/25.
Specific measures in relation to evasion and avoidance include:
In addition, the government has announced that it will be calling for evidence on raising the standards of tax advice. This will to include evidence on the current standards upheld by tax advisers and the effectiveness of government’s efforts to support those standards, to give taxpayers assurance that the tax advice they receive is reliable.
The different measures will impact different populations. However, other than the updated POTAS rules the impact is likely to be wide-ranging.
The revised POTAS rules will come into force from the date of Royal Assent to Finance Bill 2020.
The LLP changes and automated processes points will apply both retrospectively and prospectively.
HMRC’s preferential creditor status is due to take effect from 1 December 2020 (it was previously to apply from 6 April 2020).
We are supportive of measures which give HMRC additional resources to enforce the law in accordance with Parliament’s intentions.