Policy Bi-Monthly Newsletter - September 2016

The Chartered Institute of Payroll Professionals

Policy Bi-Monthly Newsletter – September 2016

HMRC ‘Building Our Future’ 9 September 2016

HM Revenue and Customs (HMRC) has announced the next stage of their Building Our Future transformation to their staff, with some restructuring of their high-level organisation.

As you will know HMRC is transforming into a smaller, more highly-skilled operation, based in fewer locations and offering modern, digital services to customers.

As HMRC has been evolving what they do, and where they do it, as part of this transformation, they have also kept their organisational structure under review, to ensure that it is fit for the future and that it supports their new digital and collaborative ways of working. As a result, HMRC has now decided to make some further changes to how they are structured. From October, they will be reorganising the Directorates in their four existing lines of business into three new groups: Customer Strategy and Tax Design A new Customer Strategy and Tax Design group, which brings together the customer strategy, tax policy, process design and tax assurance teams, led by Jim Harra.

Customer Service An expanded Customer Service group, which includes all of the big operational teams, led by Ruth Owen.

Customer Compliance A Customer Compliance group, which will tackle non-compliance and enforcement for all customer groups, including large businesses, led by Jennie Granger.

The three new groups will be supported by the existing Transformation and Corporate Services areas.

The reorganisation builds on other structural changes that HMRC has made over the past couple of years and it will support them to put a greater focus on customers, to change how they provide services to help people get their taxes right, and how they target their response to those who deliberately seek to cheat the system.

HMRC launch Worldwide Disclosure Facility 12 September 2016 Anyone who wants to disclose a UK tax liability that relates wholly or partly to an offshore issue can use the Worldwide Disclosure Facility. Over 100 countries have committed to exchange information on a multilateral basis under the Organisation for Economic Co- operation and Development Common Reporting Standard (CRS). The CRS dramatically increases international tax transparency.

On 31 December 2015 all HM Revenue and Customs (HMRC) offshore facilities closed. Up to that date, HMRC gave incentives to encourage people to come forward and clear up their tax affairs. That’s no longer the case, but before automatic exchange and new sanctions come into force, the Worldwide Disclosure Facility (WDF) will be the final chance to come forward before HMRC use CRS data and toughen their approach to offshore non-compliance. The facility opened on 5 September 2016. After 30 September 2018, new sanctions under Requirement to Correct will be introduced that reflect HMRC’s toughening approach. You can still make a disclosure after that date but those new terms will not be as good as those currently available.

View full guidance from HMRC on the Worldwide Disclosure Facility .

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