Thirty-Third Report - HMRC performance in 2021–22

Select Committee
Public Accounts Committee HC 686 11 January 2023
Report Status Government responded
Conclusions & Recommendations 23 items (10 recs)
Source View on Parliament website
Government Response (AI assessment · 22 of 23 classified)
Accepted 13
Acknowledged 4
Not Addressed 1
Rejected 4
Government response
Treasury minutes: Government response to the Committee of Public Accounts on the Thirty third report from Session 2022-23 · published 12 Apr 2023
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Recommendations & Conclusions

4 results
12 Conclusion Acknowledged
We raised the point that there was a moral duty and fairness issue to pursue...
Conclusion
We raised the point that there was a moral duty and fairness issue to pursue fraud with, for example, some companies getting an unfair competitive advantage through their abuse of the schemes. HMRC said that it looks into every single … Read more
Government Response Summary
HMRC will continue to address and recover overclaimed grants as part of its business-as-usual compliance activity, taking action against those who have abused the COVID-19 financial support schemes where it is cost effective to do so.
HM Treasury
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13 Conclusion Acknowledged
We asked HMRC about a case where a criminal used a legitimate company’s details, apparently...
Conclusion
We asked HMRC about a case where a criminal used a legitimate company’s details, apparently successfully, to apply for a VAT registration number and make fraudulent VAT 13 Qq 14, 33, 43–45 14 Qq 80–83, 92–95 15 Q 84 16 … Read more
Government Response Summary
HMRC will engage further with international partners, including German tax authorities via its FCLO in Berlin, to understand how other tax authorities tackle VAT fraud through controls on registration, with target implementation by end March 2024.
HM Treasury
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14 Conclusion Acknowledged
HMRC told us that VAT is a particular target for organised crime as it can...
Conclusion
HMRC told us that VAT is a particular target for organised crime as it can involve HMRC repaying large amounts to taxpayers. HMRC described it as an ‘arms race’, with HMRC constantly changing its processes and risk assessment to prevent … Read more
Government Response Summary
HMRC will engage further with international partners, including German tax authorities via its FCLO in Berlin, to understand how other tax authorities tackle VAT fraud through controls on registration, with target implementation by end March 2024.
HM Treasury
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20 Conclusion Acknowledged
HMRC said it is trying to improve the data it uses to understand the behaviour...
Conclusion
HMRC said it is trying to improve the data it uses to understand the behaviour of its debtors. It is experimenting with data from credit reference agencies.29 It is also developing a comprehensive single customer account, using funding it received … Read more
Government Response Summary
HMRC recognizes the importance of differentiating between taxpayers who are struggling to pay and those who can afford to meet their liabilities and is expanding debt management services and testing external data sources. They will apply the external data to internal modelling by the end of 2023/24 to better tailor treatment based on individual circumstances.
HM Treasury
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