8 May 2014

HMRC consultation on proposals to recover debts directly from bank accounts

In his Budget 2014, the Chancellor announced a new power to allow HMRC recover tax and tax credit debt directly from individual's and business's bank and building society accounts. In the announcement, he also promised to consult on this proposal.

The consultation document is currently available on GOV.UK and remains open for comments until 29 July 2014.

The Government are asking for views from anyone who could be affected by these changes, including insititutions which take deposits, such as banks, building societies and others, and from those representing vulnerable debtors and those on low incomes on how best to implement the policy, including which safeguards would be porportionate and balanced to ensure that debtors do not suffer undue hardship.