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HMRC responds to Public Accounts Committee report into tax disputes

December 21 2011

HM Revenue & Customs (HMRC) has responded to the report of the Public Accounts Committee (PAC) into tax disputes.

An HMRC spokesman said:

HMRC rejects the conclusion of the PAC that there are systemic failures in the management of tax disputes. The report is based on partial information, inaccurate opinion and some misunderstanding of facts.

HMRC’s internal processes are robust and this was confirmed by a recent review by the National Audit Office (NAO) of large business settlements. HMRC agrees that public confidence in processes is important and, as HMRC has already informed the PAC, HMRC propose to make further improvements to governance and to increase transparency about the work with large business.

HMRC also welcome the further review that the NAO is to carry out as an opportunity to confirm this and clear up the concerns about foregone millions.

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