Institute backs MPs’ call for annual simplification report

The Chartered Institute of Taxation has welcomed today’s report from the House of Commons Treasury Committee on Tax Simplification, and in particular the committee’s call¹ for the government to report annually to the committee on progress towards tax simplification.

John Barnett, chair of the Institute’s Technical Policy and Oversight Committee, commented:

“Parliament needs to take a close interest in tax simplification, especially with the Office for Tax Simplification (OTS) set to be abolished, and the Treasury Committee needs to be at the heart of that. So we welcome this report, and we welcome the committee’s call for the government to report annually to it on the steps it is taking to simplify the tax system.

“As well as questioning ministers and officials on such a report it would make sense for the committee to invite tax professionals and others with relevant insight and expertise to contribute their assessments of progress towards simplification, to get a rounded picture.

“Tax simplification is something everyone says they want but delivering it in practice has proved challenging. The more that can be done to focus the attention of ministers and senior officials on simplicity the better!”

Members of the Treasury Committee, led by the chair, Harriett Baldwin, have tabled an amendment (amendment 7) to the Finance Bill seeking to delete the clause abolishing the OTS. This will be debated at the Bill’s report stage on Tuesday.

Earlier this week, at the CIOT’s annual parliamentary reception, the Institute’s President, Gary Ashford, encouraged MPs to support the amendment, saying:

“Next week there is a final chance for Parliament to reprieve the OTS. I hope they take it.”

The committee have also tabled a new clause (new clause 2) seeking to put into legislation a requirement for the Treasury to report annually to the committee on tax simplification should the OTS be abolished.