Recently, the Treasury Select Committee also voiced their concerns that these new powers, as outlined in the latest Budget, might not have sufficient safeguards. (see: MPs raise concerns about HMRC's proposed debt recovery powers - Shout99, May 2014).
Now, the Institute of Chartered Accountants has expressed its 'considerable concern' about these 'unprecedented' powers
Frank Haskew, head of ICAEW’s Tax Faculty, said: The report from the Treasury Select Committee reflects the considerable concern that both taxpayers and accountants have about proposals to allow HMRC to take money directly from the bank accounts of those owing tax.
"Such powers are unprecedented in the UK and, as the Treasury Select Committee has said, could be open to mistakes and misuse. Fundamentally, we believe that money should only be taken from someone’s bank account by agreement or under the supervision of a court.
“The Treasury and HMRC need to make a better case as to why such powers are needed above and beyond the system of court orders that already exists. They also need to set out in detail what safeguards, judicial oversight and rights of appeal they intend to put in place if such a measure were to be introduced so as to ensure that the rights of taxpayers are protected.”
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Susie Hughes © Shout99 2014