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Other news in brief

Other news in brief

A round up of other news this week.


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On 31 July 2019, the House of Commons Treasury Sub-Committee published a report, titled ‘Disputing Tax’, which analyses matters raised in two tax-related inquires launched by the Committee on 27 March 2018. These focused on steps that HMRC have taken to address public concerns around tax avoidance and evasion, as well as, HMRC’s approach to conducting tax enquiries and resolving tax disputes, with a focus on their governance and settlement process.

The Government has published a summary of the record number of responses indicative of how hot the topic on plastic pollution is and confirmed that the tax on plastic packaging will be introduced no later than 2022. The rate of tax and way of taxation is still being considered, however introducing a flat rate of tax per tonne of a plastic packaging product was seemingly the most popular option amongst respondents. The majority of respondents agreed with the Government proposal for tax to apply domestically at the point of production, on the basis that this is where the recycled content is added. It is expected that HMRC will publish a consultation and draft legislation on plastic packaging tax in 2020.

In response to the House of Lords Economic Affairs Committee’s report, the Government announced a series of measures designed to strengthen public trust in HMRC. For instance, a new professional committee will be established to advise HMRC on their statutory powers. The committee will not be separate from HMRC, however will comprise of independent advisors to ensure impartial advice. HMRC will also undertake a review of the findings identified in the 2019 Adjudicator’s report and will publish results by the end of the year. Moreover, HMRC will review taxpayers’ experience during compliance enquiries, and will also publish data on the exercise of their powers.

A call for evidence into regulatory coordination has been opened concentrating on factors influencing rapid change of the framework, such as post-Brexit regulatory environment and technological change.

James Stewart, Head of Brexit at KPMG in the UK, stated that although the UK has a new Prime Minister, businesses are still none the wiser on Brexit with less than 90 days to go until 31 October.

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