.png)
.png)
What next for tax reliefs?
Key points
- The NAO published a value for money report Tax measures to encourage economic growth suggesting changes to improve reliefs’ evaluation and reduce inappropriate exploitation.
- The report’s recommendations if implemented may alter the tax relief landscape and increase scrutiny of whether reliefs actually generate economic growth.
- We should expect more changes to processes for claiming valuable reliefs and perhaps their qualification rules.
- HMRC may further step up compliance checks to aid their evaluation of claims and decisions on the optimum compliance approach to mitigate errors and fraud.
The government uses tax incentives to encourage economic growth some of which reduce taxpayers’ liabilities and others provide funds to taxpayers to incentivise particular sectors or activities. The Treasury Committee’s report on tax reliefs in July 2023 highlighted the stark disparity between the scrutiny of government expenditure compared to the relative lack of scrutiny of tax reliefs’ effectiveness...
Alternatively, you can register free of charge to read a limited amount of subscriber content per month.
Once you have registered, you will receive an email directing you back to read this item in full.
