A single identifier for individuals and smoother registration processes are pre-requisites for a better tax system, argues ICAEW. HMRC also needs funding to develop an improved process for registering, authenticating and authorising agents.

ICAEW has identified the need to establish income tax, national insurance and capital gains tax liabilities in a single system as a priority for the Tax Administration Framework Review.

ICAEW considers HMRC’s call for evidence on timely payment to be premature, as earlier payment of income and corporation tax would reduce businesses’ flexibility to manage their cashflow.

ICAEW’s Tax Faculty has called on HMRC to make better use of the rights it already has to investigate tax affairs and shift the perception of how it handles enquiries, before the government considers granting additional powers when reforming the UK’s tax administration system.