August 2007

HMRC to Target Bank Accounts

HMRC have started a consultation on the way in which they pursue individuals who do not pay their tax liabilities on time. The proposal, which would result in HMRC taking money owed directly from an individual’s bank accounts, would aim to tackle the problem of approximately 200,000 people who are pursued through the courts each year for outstanding tax.

If the proposals become law then HMRC will no longer be required to obtain a court order to seize money. Under the proposals issued by HMRC they would only use the court system as a last resort to deal with what they regard as ‘chronic defaulters’.

A public consultation has been launched, which will run until September. To read the full consultation document use the link below.

Internet Links:

HMRC consultation and BBC news article