New personal tax statement for 24mn people

Tax Comments Off on New personal tax statement for 24mn people

From October 2014, around 24 million people will receive a personal tax statement from HMRC detailing how their taxes were spent, the Chancellor George Osborne has announced.

This is 4 million more people than was originally announced at the Budget 2012.

The additional people are PAYE taxpayers who have had recent contact from HMRC setting out their tax calculation for a previous tax year.

The Government announced at Budget 2012 that 20 million taxpayers would receive a new tax statement from October 2014. It will explain:

  • how their 2013/14 income tax and national insurance contributions have been calculated
  • their average tax rates
  • how their contributions have been spent.

George Osborne hopes that the decision will lead to increased transparency within the tax system:

“These tax statements represent a huge boost for tax transparency, showing people very clearly how much tax they pay and giving them a better understanding of where their money is spent.”