The Taxman has seen the light at last!!

The first development involves piloting real-time information from next April. This will enable volunteer employers to use the new system which, if all goes well, will become compulsory for all employers from October 2013. Real-time Information is intended to support improvements to the PAYE system, making it more accurate for taxpayers and easier for employers and HMRC to administer. HMRC say we all need a PAYE system that can meet the demands of the 21st century workplace and ensure that the tax system works better. We would all echo that, and let’s hope this is the answer.

Secondly, HMRC intend to scan incoming post. This will be introduced in phases during 2011/12.

The main benefits claimed by HMRC are pretty obvious, and if all turns out well it will make life easier. In particular:

¨    Scanning will ensure documents get to the relevant HMRC caseworker as quickly as possible.

¨     By assigning paperwork to cases electronically, HMRC avoid the need for manual distribution of letters and documents received by caseworkers.

¨    HMRC will be able to handle our calls to the caseworker about the case, without the delay of locating original paper copies.