More surprises in store from the Taxman

People who run their business from home could find a big surprise in store for them from April next year. As the government is trying to increase the HMRC‘ s power, the taxman will be allowed to turn up on the taxpayer‘s doorstep, unannounced demanding to inspect his or her records, assets and premises.
These new powers will give the Revenue the right to visit business premises to demand access to records without warning. That could include your home if that is where you work.
Nonetheless taxpayers could turn the taxman away at the door. However, they could be punished if they do, as the government is threatening to introduce tough new penalties for interrupting such an inspection.
The reason behind all this is that the HMRC has been set tough targets to bring in more tax in a shorter period of time.
Among other proposals,it is worth mentioning the new powers to enable the taxman to obtain information more easily from third parties such as banks and building societies.
Also under the new rules, taxpayers could be fined for carelessness even if their accountant made the mistake. However, if the taxpayer can provide evidence that he or she took reasonable care to ensure that the return was accurate, such as checking it before submission, the penalty could be cancelled.
Finally, another important proposal is that taxpayers will be able to pay their bill by credit card from April 2009.
If you need to know more about the Taxman’s new powers, Taxfile‘s tax accountants in Tulse Hill (South London) would be more then happy to offer you a free consultation.