HMRC Launches Online Tax Accounts

HMRC has today launched its services for online tax accounts, as part of its new digital strategy to modernise the UK’s tax services.

The new online accounts will see more than a million taxpayers be directed to their new online personal tax accounts as part of the updated self-assessment process. They will enable customers to update their details in real time, making it easier to contact HMRC and provide a clearer display of a tax paid.

It is expected that by May, the service will be fully expanded and that will allow customers to use an online payment and repayment facility. They will also be able to review their tax positions past and future as well as opt-out of paper statements.

These changes come as the government looks to modernise the UK’s tax system and reorganise the HMRC offices in regional hubs as they implement their ‘making tax digital’ strategy.

Treasury Financial Secretary, David Gauke says: “Giving customers the ability to manage their tax affairs online is our latest step towards a fully digital tax system. This Government is determined to revolutionise how we deliver public services and the tax system is no exception.”

It is hoped that these changes will mean that by 2020 HMRC will be a world-leader in tax administration. The updated strategy should result in a more efficient, effective and accessible system for customers. This is to be funded by £1.3bn of additional funding as announced in the Autumn Statement.

Currently two million businesses are using their digital accounts and every business will have access to one by April next year.