South Norfolk MP Richard Bacon has said that it can be pot luck calling HM Revenue & Customs (HMRC) for help with tax forms, as a new report finds that a quarter of a million taxpayers a year get bad advice from the HMRC helpline.

Mr Bacon said: “Too many people have to rely on pot luck when they want the taxman’s help to complete their tax forms”.

“A quarter of a million people a year get bad advice when they call HM Revenue and Customs for assistance because they are not put through to expert staff. This is, of course, assuming they can get through in the first place”.

“Although HMRC has guidance leaflets available, they are not much easier to read than the forms themselves. Unintended mistakes on tax forms are costing taxpayers £330 million a year. Tax forms need to be much easier to complete and HMRC needs to improve its telephone skills”.

Mr Bacon was speaking as the Commons public accounts committee published its report on helping people understand and complete their tax forms. The report finds that unintentional mistakes on tax forms may have resulted in an estimated underpayment of £330 million each year. Around five million taxpayers telephone HM Revenue and Customs (HMRC) a year with queries about their tax affairs. However, five per cent of taxpayers calling HMRC receive inaccurate or incomplete advice because more complicated enquiries are not always referred to expert staff.

In 2006-07, 11 million calls received an engaged tone or a busy message.

The report also finds that the guidance accompanying HMRC’s forms is lengthy and dense making it difficult to understand, and some HMRC guidance leaflets required a reading age higher than the national average.

6 December 2006

See also:
PAC REPORT: Helping people complete their tax forms