Taxation logo taxation mission text

Since 1927 the leading authority on tax law, practice and administration

Rewrite project needs back-up, says ACCA

30 March 2009
Categories: News , ACCA , Budget 2009 , Admin
Body suggests calls for launch of Tax Policy Committee

The Tax Law Rewrite Project should be supported by related bodies in an effort to reduce the existence of errors and loopholes in tax legislation, says the Association of Chartered Certified Accountants (ACCA).

In a newly published discussion paper, the trade organisation recommends establishing two groups to back the rewrite project’s extensive remit. They would work in parallel and share information about tax policy.

The ACCA document – called Is There a Way Out of the Tax Labyrinth? – suggests an umbrella term for the proposed set-up: the Tax Policy Committee (TPC).

The first of the new bodies would be tasked with simplifying existing tax legislation, with targets for removal of burdens and unnecessary administration.

The second of the two groups within the TPC (which the ACCA first put forward in 2000) would be responsible for pre-legislative scrutiny, offering a considered approach to tax law and putting an end to reactive and rushed-through legal code.

The ACCA is calling for the quick creation of the TPC as the 2009 Budget approaches – although the organisation insists that its proposals are sufficiently flexible to also allow for a gradual roll-out.

Head of taxation Chas Roy-Chowdhury said: ‘The ultimate aim of establishing these two groups is to reduce tax errors and loopholes. Experts would be drawn from business, academia, MPs and members of the House of Lords, as well as HMRC and the Treasury.

‘The cost of the complexity in the tax system is a burden on the UK economy, but real progress is difficult to achieve given the strong link between tax policy and electoral success. A deeper understanding of tax policy is needed to understand more fully the opportunities for cultural and political change.’

Mr Roy-Chowdhury concluded: ‘We believe that the issues identified in our discussion paper should be addressed urgently to benefit the UK economy as a whole. It is vital for the Government to ensure – now more than ever – that the UK’s tax policy is transparent, certain and simple to understand.’

Categories: News , ACCA , Budget 2009 , Admin
back to top icon