It felt like needed to make a post on the Blog today at close of play perhaps I am thinking of it as a bit of therapy...

It fact it now feels like I am in one of those American soaps where the embattled person needs to see their therapist... what is being a tax adviser doing to me! 

Having qualified as a Chartered Tax Adviser in 1990 and dealt with a wide variety of tax issues and situations at all levels I like to think I am reasonably capable at my job. In fact I have always said I love my job and sad as it might seem I "do" (just about at times) still love my job...The only part of my job I hate is dealing with HM Revenue & Customs or indeed the ever increasing level unclear poorly drafted and often unfair or unreasonable tax legislation.

In trying to resolve a dispute today between advise HMRC had given a client I had a joyful call to Mr Taxman at CIS Helpline (he would only give me his first name despite wanting my full name nice touch I have to say, why was he trying to hide?). Part way through the call he refused to speak on "speaky phone" as a partner was also involved in the call, as he was well aware from the beginning (two off us talking) so we had to take the call of speaker phone and relay Chinese whispers for the rest of the call (pathetic frankly). And he refused to give his surname, clearly understanding a formal written complaint was to be shortly winging its way in, then on supposedly transferring me to his supervisor he simply cut us off.

Was a surprised... Surprised would be the wrong world this is what you expect from HMRC routinely, but I never cease to be amazed at just how, rude, unhelpful and simply useless HMRC Revenue & Customs staff are. There is a systematic total lack of respect for taxpayers, accountants and members of the public at HMRC from the top management right down to the lowest level of assistant.

I would hasten to add this is not EVERY member of HMRC's staff is like this, in fact it is a breath of fresh air when you actually speak to someone who is helpful and polite although this is increasing rare.  If you are really really lucky you will very occasionally come across one with a sense of humor but they are am endangered species being hunted down by their managers it seems…

HMRC have told a Limited company client that has purchased two buildings to convert into flats that they are deemed to be a "developer" and therefore have to be registered under the CIS scheme.  HMRC did not dispute that the client is not deemed to be a contractor on level of construction type expenditure grounds which is well below the limits so in order to be able to tell the client, and indeed the main building contractors accountants (a multi million £ company) why exactly HMRC were “right” and that our client should be registered for CIS as the property owner, as they were saying, I asked for the legislation or public guidance that I could then pass on to the client and the builders accountant to show HMRC's opinion was correct.

Response. "It is in our internal guidance".

OK I reply "which part of the internal manuals which I can pass on the builders and my client".

The reply "it is not in any publicly available guidance.".

"What about statute" I reply.

"It is not in statute either" comes Mr HMRC's reply.

Bearing in mind this is the specialist CIS unit I am speaking to at HMRC I reply "so what you are saying here is that this is unpublished HMRC opinion, on which there is no guidance or statute how am I supposed to advise my client professionally and properly?"

Bearing in mind the call took around 1 hour 20 minutes of which around 50 minutes was spent on hold the answer came ...

"Get your client to call us here at the CIS unit and we will tell them over the phone..".

The fundamental point here is that Government and HMRC management fail to see this is exactly why there are so many rogue ORC's (Officers of Revenue & Customs).

So basically HMRC can make the rules up as they go along...

Now why is that? The answer seems pretty clear to me... Government has now become a leading expert in writing legislation which is poorly drafted, so widely drafted no-one knows the boundaries in which to work, and the rules become ever more complex year on year on year.

So what is needed? A radical shake up at HMRC would not go amiss for starters but it is perhaps time we had a change of Government if for no other reason that complacency and stupidity goes out the window and maybe we get so shred of common sense. This is not a party political statement by the way. With so many career politicians I personally can't see a clear winner on the Common Sense stakes. But after over ten years of madness personally I think it would be just good to have a change. I cannot see it being any worse but I can see it getting even worse if things carry on as is… Hopefully it a fresh approach might just see some levels of reality and humanity returning. Even the Monster Raving Loony Party could frankly do a better job on lots of issues…

Tax has truly gone totally potty… a direct reflection perhaps on the people writing and enforcing the rules…

What do you think? Have your say here and express your opinion...

    http://www.opinionpolls.me.uk/polls/Government/HMRC-performance.asp