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January 3rd, 2012 
FAKE NEWS for the Zionist agenda
By
James Chapman
Last updated at 8:21 AM on 3rd January 2012
Tax inspectors are threatening tens of thousands of small firms with fines if they fail spot checks on their paperwork.
The HM Revenue Customs crackdown comes despite a Government pledge to cut red tape and regulation for small businesses.
There has also been controversy over claims that inspectors have let large firms such as Goldman Sachs and Vodafone off millions of pounds in tax.
Criticism: Conservative MP Priti Patel accused HMRC of harassment and said the attitude of HMRC to small businesses was ‘disgraceful’
Tory MPs say the proposed blitz on small firms is a disgrace and must be dropped.
HMRC has been piloting the ‘business record checks’ in eight areas. Inspectors trawl through company paperwork dating back several years looking for what they deem to be inadequate proof of expenses and income.
Firms found to have failed to keep or preserve records ‘in real time’ can be fined up to £3,000. The pilot projects suggest that around 12 per cent of firms would fail the audit.
Under the HMRC’s plans to expand the checks, as many as 20,000 small businesses will face demands to show receipts for income and expenditure. Those who are unable to do so will face penalties, which business leaders warn could push some into bankruptcy and hit the economic recovery.
John Walker, national chairman of the Federation of Small Businesses, said: ‘Despite the worsening economy HMRC are launching this scheme regardless of the consequences.
Tax inspectors are threatening tens of thousands of small firms with fines if they fail spot checks on their paperwork
‘We have spoken to HMRC and expressed our concerns about this a number of times. But as far as they and ministers are concerned it is an absolute policy aim to make this happen.
‘There is a huge difference between
the rhetoric of the Government about helping small businesses and what
they’re doing in reality.’
Tory
backbenchers are also demanding a U-turn – claiming small firms are
being treated more harshly than multinationals. A damning report from
MPs last month claimed Britain’s biggest firms owe the taxman up to
£25.5billion, but are regularly let off the hook. HMRC fiercely denies
this.
The public accounts committee accused tax authorities of having a ‘far too cosy’ relationship with corporate giants, who are repeatedly allowed to cut their tax bills or avoid paying interest.
Conservative MP Priti Patel accused HMRC of harassment, adding: ‘The attitude of HMRC to small businesses is frankly disgraceful at a time when they are blatantly doing deals with large firms which have allowed them to escape millions of pounds in tax liabilities. At a time when small businesses need all the help they can get, the attitude of HMRC seems completely counterproductive.
‘Instead of persecuting small firms, they should ditch this entire project and start working with them to support them in whatever way they can at a moment of economic difficulty.’
Labour business spokesman Chuka Umunna said there are real concerns over the way HMRC has reached settlements with some large firms
Anne-Marie Morris, Tory MP for Newton Abbot and a member of an all-party group on micro-businesses, said: ‘Very small businesses are being treated in the same way as larger ones with better resources.
‘It is simply not practical for a company employing just a few people to spend huge sections of their day on administration as well as getting their firm off the ground.’
Labour business spokesman Chuka Umunna said: ‘As the public accounts committee has highlighted recently, there are real concerns over the way HMRC has reached settlements with some large firms, as well as the accountability and transparency of its decision making.
‘The committee said that HMRC has left itself open to suspicion that relationships with some companies are too cosy and that small firms had not been given the same service as larger firms. These concerns must be addressed immediately to restore trust.
‘It is crucial that HMRC acts in a fair and proportionate way with both large and small firms, particularly given the pressures which many businesses are facing at present.
‘It needs to work alongside small firms, most of which do not have a dedicated finance officer, in helping ensure they meet their tax obligations in full.’
HMRC sources said the plans would be subject to a review and insisted fines would be applied only in the most extreme cases. But they warned 40 per cent of small firms were not keeping adequate records, contributing to inaccurate tax returns.
A spokesman said: ‘HMRC recognises the launch of the BRC pilots has caused considerable concern to the tax profession, and that the project would have benefited from more detailed consultation with tax professionals at an earlier stage.
‘In the light of these concerns, HMRC will undertake a strategic review of the project, in consultation with the professional and representative bodies.
‘In the meantime, HMRC will continue with a limited number of BRC pilots, and the results of them will be evaluated as part of the review.’
Last week it emerged that nearly two thirds of fines issued by HM Revenue Customs in 2011 to businesses in relation to VAT issues were found to be incorrect on appeal. It raised fears that thousands more taxpayers have been unjustly penalised but have not had the resources to challenge the decisions.
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George, London.’stop being so silly.Tax inspectors do not get bonuses.’ You are either silly or you left HMRC long ago. You are right in respect of them not being called ‘ bonuses.’ However a rose by any other name is just as sweet,or in this case evil. Tax inspector’s pay increases and promotions within HMRC depend totally on them exceeding a target figure of tax and penalties collected.
In any other language than the double speak of HMRC,that is bonuses. This has created a culture of literally government sponsored extortion,demanding money with menaces,demands to prove things which are unprovable.Whereas
HMRC simply can express their opinions and the individual or small business
is very often destroyed , literally,mentally,general health or all three.No,what is being perpetrated today by HMRC,if attempted by any other non governmental body,would be criminal extortion and the perpetrators would be jailed.Let’s hope that what goes round comes round for HMRC inspectors !
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I also worked in IT as a full-time employee alongside contractors. They used to explain how they made their wive’s employees …………
– Tony Green, Greenham, 3/1/2012 10:01 +++++++++++++++ The usual nonsense from those who know nothing about IT contracting. Look up IR35 and the “deemed employee” status invented by Gordon Brown purely and simply to circumvent Limited Company rules. In short, if HMRC say you are an employee of your client, and they invariably do because the determining factors were deliberately vague, you pay taxed and NI on a PAYE basis same as an employee even though you don’t have any of the normal employee benefits like paid holidays, sick pay, right to statutory dismissal procedures etc etc. On top of that HMRC can go back 6 years over previous contracts and, if they decide you were a deemed employee when you delivered those services, they can demand back payments with fines. Get your facts right.
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As for Tony from Greenham. If you don’t want to pay too much tax then become an IT contractor – simple really – there’s nothing illegal about IT contracting and paying less tax!
– Hev, Berkshire, 3/1/2012 11:11 ++++++++++ The usual nonsense from those who know nothing about IT contracting. Look up IR35 and the “deemed employee” status invented by Gordon Brown purely and simply to circumvent Limited Company rules. In short, if HMRC say you are an employee of your client, and they invariably do because the determining factors were deliberately vague, you pay taxed and NI on a PAYE basis same as an employee even though you don’t have any of the normal employee benefits like paid holidays, sick pay, right to statutory dismissal procedures etc etc. On top of that HMRC can go back 6 years over previous contracts and, if they decide you were a deemed employee when you delivered those services, they can demand back payments with fines. Get your facts right.
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HMRC are like the Police, they will always go for the soft target rather that the big offenders. With HMRC it’s the self-employed and small businesses, rather than big companies; with the Police it’s always the motorist rather than organised crime.
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Small fry are easily caught but when it comes to the “big boys” they “back off” and come to some sort of “understanding” – in other words less tax is paid then should have been paid. Something very wrong with this arrangement.
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The rich get the plesure and the poor get the blame nothing will change what ever lies poor out of call me daves mouth.
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whats new.small firms have always had more attention then big companies.big boys cant be bullied.,this as always been true in life.,small shops businesses have always been harrased by petty officials be it inland revenue ,vat trading standards .health and safety.not forgetting the police.,i know i had 40 yrs as a shopkeeper.,
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This is laughable from an organisation that cannot keep its own records in order and is constantly losing them.
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I would suggest to anyone facing a large, over the top tax demand fine – especially where there is no mens rea – to do what the ‘proper criminals’ do and take their day and face the courts. The courts are run by fair minded people who don’t make statements in sentencing people and would trim down excess claims from HMRC -EVEN IF ONE WERE ACTUALLY GUILTY. In other words, people; don’t proverbially wrap your arms over your head saying “Don’t hurt me, don’t hurt me!” – just say to the Inland Revenue that where civilised people fail to agree matters, they should be resolved by a court – and make them prove their case and justify their fines: Unless you as a tax payer have done something seriously wrong with intent then I think you may have someone at the Revenue review your case and be reasonable about it too. The government is no different from any other bully – they want an easy life. Don’t give them one and you won’t become a victim.
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The companies House is fining £300 of small firms if you file the paper work just a few days late (even it it is dormant). Us the 99% has become easy meat for them.
– yuupuu, ipswich, 03/1/2012 09:57 Companies House fine limited companies £150 for being 1 day late, and then £375 for being 1 month late, and it gets higher. Companies House are not HMRC. HMRC are a law unto themselves. They have this high and mighty attitude, and the majority of staff are either incompetent, or just plain rude. I’ve been calling them for the last several days and we are agents! And this is all because the Revenue have made a mistake and we have to spend days sorting out their problems.
As for Tony from Greenham. If you don’t want to pay too much tax then become an IT contractor – simple really – there’s nothing illegal about IT contracting and paying less tax!
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