At present individuals and businesses file annual tax returns.
The end of the tax return was announced with the expectation that by early 2016 all of the UK’s five million small businesses and the first ten million individuals will have access to their own digital tax account. This is going to transform the way taxpayers manage their affairs.
Implementation will be staggered with 5 million small businesses and 10 million individuals joining by early 2016.
This is a fundamental change to the self-assessment tax landscape. The proposals raise significant concerns over the timing of tax payments, taxpayer privacy and HMRC’s increased ability to access more information than required.