Scotland to impose its own tax authority
Edinburgh took a step closer to operating its own version of HMRC this week, after the Scottish parliament passed the Revenue Scotland and Tax Powers Bill.
The chair of the Chartered Institute of Taxation’s (CIOT) Scottish technical subcommittee, Moira Kelly, welcomed “positive changes” that give Scotland the legal basis for authority over devolved taxes.
She said the Bill evolved during its passage through parliament to strike a “balanced tone in the framework for a charter clarifying behaviour expected of both taxpayers and Revenue Scotland. Language was tweaked where there were ambiguities.
“Rules regarding penalties, for example, when they apply and what they arise in respect of, were not included in the original legislation, but now exist. These are the fruits of a sound consultative process in which concerns were heeded.”
Kelly added that in spite of disappointments including a lack of detail on the rights, duties and obligations of agents and advisers, Scotland’s tax powers will continue to grow regardless of the outcome of the independence referendum on 18 September.
“The three UK-wide parties have all committed to further devolution of tax in the event of a no vote. The CIOT is pleased to be involved in various working groups on technical and practical issues around the transfer of tax powers, and we look forward to continuing to engage constructively with governments in both Edinburgh and London to ensure further transfer is as smooth as possible,” she said.
Source: taxation
