CIPP Payroll: need to know - 2022-23

`The Chartered Institute of Payroll Professionals

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• gauge awareness of HMRC and stakeholders’ knowledge about HMRC’s remit, vision and priorities • explore HMRC’s perceived performance generally as the UK’s tax authority and in specific areas • assess HMR C’s communication and engagement with stakeholders. Overall, stakeholders are happy with HMRC’s performance in the context of challenging circumstances and perceptions of limited resources. Most respondents identified as “critical friends”, supporting HMRC and providing constructive feedback, and very few as “critics”.

Allowances made last year, due to the pandemic, are less relevant and there is a perception that HMRC has been slow to react to post-pandemic demands.

As with previous years, “poor customer service” and “poor responsiveness” were common comments on HMRC’s performance. Additionally, there are increased concerns that they lack “technical Skill”, with some stakeholder receiving inconsistent or unclear answers. “Collecting taxes” is seen as HMRC’s primary purpose and most agree that they fulfil this purpose competently. Awareness of other elements of their remit, such as “ making it hard to bend or break the rules ” and “ making it easy for people and businesses to get their tax right ”, was less s trong. Again, stakeholders are largely happy with the levels of engagement, praising the professionalism of staff. Those with designated points of contact are more likely than those without to be satisfied with their relationship. The frequency and number of communication channels is praised by respondents and there is a strong perception that HMRC listens to and understands feedback.

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HMRC's annual report and accounts 2021-22 Published: 19 July 2022 Emailed: 20 July 2022

HMRC has released a corporate report detailing the financial year 2021-22 an how it has performed against their strategic objectives.

Some key facts and figures highlighted:

£731.1 billion in total tax revenue

• £30.8 billion tax generated through tackling avoidance, evasion and other non-compliant activity • Every £1 in tax revenue costs HMRC 0.5p to collect • 1.7 million businesses using Making Tax Digital for VAT • More than £98 billion paid out in COVID-19 support • 215 prosecutions of “tax cheats” • Reduction in the debt balance from £57.5 billion in 2020-21 to £41.6 billion in 2021-22 • Customer service levels returning to pre-pandemic levels after staffing resource re-assigned

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HMRC policy paper on error and fraud in coronavirus support schemes Published: 19 July 2022 Emailed: 20 July 2022

Her Majesty’s Revenue and Customs (HMRC) has released a policy paper exploring the error and fraud present in the coronavirus support schemes it facilitated and actions taken to recover overpayments.

HMRC conducted risk assessments on claims made against schemes as it was clear from the start that they would be targets for fraud. 65,000 claims were blocked, totalling £425 million, due to pre-payment checks. As of July 2022, HMRC claim to have recovered or prevented a total of £1.2 billion in fraud. In addition, £970 million has been returned voluntarily even though the recipients were entitled to it under the scheme rules.

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