Corporation Tax: Companies Managed by HM Revenue and Customs' Area Offices; Forty-ninth Report of Session 2005-06; Report, Together with Formal Minutes, Oral and Written Evidence
The Stationery Office, Jun 29, 2006 - Business & Economics - 36 pages
Companies resident or conducting business in the UK are liable to pay corporation tax on their profits, and since 1999 corporation tax is a self-assessed tax. Companies are required to submit tax returns each year along with any tax due, and these tax returns are then checked for non-compliance. In 2004-05, HM Revenue and Customs collected about £33 billion in corporation tax, and it expects receipts to increase to £42 billion in 2005-06. Following on from a National Audit Office report (HC 678, session 2005-06; ISBN 0102936641) published in January 2006, the Committee's report examines the management of Corporation Tax and sets out a number of conclusions and recommendations. Given an estimated 40 per cent error rate in tax returns, the Department should improve its targeting of enquiries into tax returns for non-compliance and its use of risk assessment techniques in order to increase the tax yield. Plans to restructure the local area office network should help reduce local variations in performance and improve efficiency in enquiry work. All companies will be required to file their tax returns electronically by 2010, and this system should realise a number of benefits, including greater convenience for companies and a reduction in Department's costs and errors in keying-in data.
What people are saying - Write a review
We haven't found any reviews in the usual places.
actually additional tax yield Angela Browning Annette Brooke area ofﬁces aspect inquiries Austin Mitchell average yield Bacon Banyard beneﬁt C&AG's Report Chairman Chancellor Committee of Public company’s compliance Corporation Tax enquiries coverage Davidson deal Department Department’s Edward Leigh efﬁciency electronic ﬁling enquiries produce errors favour ﬁgure ﬁle ﬁling electronically ﬁnd ﬁrms ﬁrst ﬁshing ﬁve full inquiries going Greg Clark Helen Goodman HM Revenue HMRC Ian Davidson improve increase Kitty Ussher Large Business Service looking Lord Carter managed by HM million Mitchell MP Labour non-compliance number of companies number of enquiries paragraph paras professional bodies proﬁt assessment proﬁtability Public Accounts question random enquiry programme random inquiries reﬂects Revenue and Customs Richard Bacon risk assessment Sadiq Khan sector self-assessment signiﬁcant Sir David Varney small number staff target tax credits tax havens tax or proﬁt tax-base taxonomy taxpayer understating