Press releases

 


Today the Government has published a policy paper on aligning the point at which employer and employee National Insurance Contributions (NICs) start to be paid. The LITRG highlights that more could be done to help low-income employees by pursuing a different alignment – that of the primary (employee) threshold for NICs with the point at which income tax starts to be paid, the personal allowance. 

The Autumn Statement included a note that the tax treatment of foreign pensions will be changed so that it is more closely aligned with the UK’s domestic pension tax regime and this has been confirmed in today’s publication of draft Finance Bill 2017 clauses. The LITRG highlights that this could present HMRC with an opportunity to simplify how tax is collected on foreign pensions.

The LITRG have welcomed today’s report by the Work and Pensions Committee which supports our recent recommendation for an independent review of tax credit compliance processes and highlights the many flaws in the manner in which HMRC investigate tax credit claims.

A new report by the LITRG calls for urgent action to ensure that government digital services take greater account of people who face difficulties using the internet or who are unable to go online.

The Chartered Institute of Taxation (CIOT) has announced that it now has more than 18,000 members. This means the Institute’s membership has doubled in the last 23 years.

The LITRG has welcomed the Autumn Statement announcement that HMRC will make in-year award adjustments so that higher disability rates of the child element of Child Tax Credit (CTC) will be paid to those who are currently eligible but not receiving their entitlement. 

The Chancellor’s announcements on salary sacrifice are intended to introduce fairness and coherence to the rules, but unless the lowest paid are also able to benefit from approved salary sacrifice arrangements such as childcare vouchers, the new regime will be neither fair nor coherent for them, say campaigners for those on low incomes.

The Chartered Institute of Taxation (CIOT) and its Low Incomes Tax Reform Group (LITRG) have welcomed the Government’s announcement today that they will legislate in 2017 to remove the disproportionate tax charges that arise from partial surrenders of life insurance investment policies.1 The change will mean that applications can be made to HM Revenue and Customs (HMRC) to have the charge recalculated on a just and reasonable basis. 

The Chartered Institute of Taxation (CIOT) in Scotland has welcomed the Chancellor’s announcement to abolish the Autumn Statement, and move the Westminster Budget from spring to autumn, but warned of its implications for the ongoing budget review process in Scotland.

The Chartered Institute of Taxation (CIOT) has concerns over fairness and complexity following the Chancellor’s announcement to tax as cash income all benefits-in-kind received through salary sacrifice, but welcomes the transitional rules for existing salary sacrifice arrangements.