The Finance Bill Sub-Committee has written to the Chancellor of the Exchequer with their interim recommendations for the Finance Bill.
The interim recommendations
In a letter to the Chancellor on 6 November, Lord Forsyth of Drumlean outlined the Finance Bill Sub-Committee's interim conclusions on the draft Finance Bill 2018. The Sub-Committee's inquiry has focused on HMRC powers and Making Tax Digital for VAT.
The Sub-Committee recommends that clauses 79 and 80 in the Finance (No. 3) Bill, which would extend the time limit on assessing offshore tax matters to 12 years, be removed. Currently, the limit is four years unless a taxpayer has failed to take reasonable care or has been deliberately non-compliant.
In addition, the Sub-Committee commends HMRC's consultation process on the Making Tax Digital penalty and interest provisions.
The Sub-Committee will publish two reports from this inquiry – on Making Tax Digital for VAT and the powers of HMRC.