Future Retirement Success
  • Politics
  • Business
  • Investing
  • Stocks
  • Politics
  • Business
  • Investing
  • Stocks

Future Retirement Success

Business

HMRC nudge letters cause needless worry to UK taxpayers and often achieve nothing

by October 6, 2023
October 6, 2023
HMRC nudge letters cause needless worry to UK taxpayers and often achieve nothing

Thousands more nudge letters being sent out by HMRC are causing needless worry to UK taxpayers, and are unnecessary.

Robert Salter, an international tax expert at tax and advisory firm, Blick Rothenberg, said: “HMRC have sharply increased the number of ‘nudge letters’ sent to UK taxpayers in the 2022/23 UK tax year, because of international data sharing. Nudge letters increased to almost 24,000 for the year ended 5th April 2023 compared to ca. 21,000 in the previous tax year up by some 15%.”

Salter added: “The problem is that many of these nudge letters are the result of poor HMRC data analysis and create needless worry for the individuals concerned and result in unnecessary professional costs.”

Salter said: “HMRC often appears to simply take the data it receives from international sources at face value and sends out letters to taxpayers in a shotgun-like manner. It does not properly assess whether the foreign information is actually taxable in the UK, for example, or whether it has already been reported in the individual’s UK tax return declarations.”

Salter added: “Even where the income or gains apparently haven’t been reported on a UK tax return, there can be a number of perfectly legitimate reasons for this including:

The ‘domicile’ basis of the individual concerned – non-domiciled individuals are not automatically taxable in the UK on foreign source income or gains.
The differences between UK and foreign tax years; and
The fact that certain foreign income may not be taxable in the UK under Double Tax Agreements.”

Salter concluded: “Whilst it is clearly correct for HMRC to use the data it receives from international data sharing agreements, to target those taxpayers who are deliberately (and illegally) concealing income and capital gains outside the UK, the Revenue should not simply be targeting taxpayers in a helter-skelter, shotgun approach.

“By simply issuing nudge letters in this pell-mell approach, the Revenue is causing needless anxiety and actually creating additional work (and costs) for taxpayers, their advisors and in many respects its own staff.”

He added: “It would be much more efficient for everyone concerned, if the Revenue did a proper analysis of the data it receives, assessing this against factors such as the information which has already been filed, a taxpayer’s domicile status and the terms of the UK’s Double Tax Agreements before issuing enquiry letters to those taxpayers with missing data.”

Read more:
HMRC nudge letters cause needless worry to UK taxpayers and often achieve nothing

0
FacebookTwitterGoogle +Pinterest
previous post
How Bad Are Saudi Arabia’s Human Rights Abuses?
next post
BA pilots on brink of three-year pay deal to avert threat of strike

You may also like

Unloc and Verizon launch Young Entrepreneurs Challenge 2025...

September 30, 2024

Leave a Lasting Impression on all Your Clients...

December 15, 2023

Next warns of potential store closures following £30m...

September 20, 2024

New research shows SMEs facing mental health crisis...

October 11, 2022

Craig Shults on Growth, Grit, and Leading with...

August 8, 2025

Six by Nico launches ‘Six by You’ crowdfund,...

August 12, 2025

Best Practices for Packaging and Transporting Perishable Foods

September 11, 2024

Closure fear hangs over hospitality as cost of...

November 1, 2022

Rats learn to drive miniature cars and show...

November 20, 2024

Unveiling the Truth: Blockchain’s Transparency Revolution

August 30, 2024

    Get free access to all of the retirement secrets and income strategies from our experts! or Join The Exclusive Subscription Today And Get the Premium Articles Acess for Free

    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Recent Posts

    • Olivier v. City of Brandon Brief: Protecting the Right to Recover for Free Speech Violations

      August 29, 2025
    • Is Putin stringing Trump along to sidestep US sanctions while bombing Ukraine?

      August 29, 2025
    • House investigators nix Mueller testimony in Epstein probe over health concerns

      August 29, 2025
    • Shakedowns and a Sovereign Wealth Fund

      August 29, 2025
    • Witkoff meets Ukraine officials in New York ahead of emergency UN Security Council meeting: ‘Very productive’

      August 29, 2025
    • Senators demand oversight, reject vaccine guidance as illegitimate as CDC turmoil rages

      August 29, 2025

    Categories

    • Business (8,920)
    • Investing (2,256)
    • Politics (16,521)
    • Stocks (3,228)
    • About us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: futureretirementsuccess.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2025 futureretirementsuccess.com | All Rights Reserved