|OTS examines the VAT system||VALUE ADDED TAX|
The Office of Tax Simplification (OTS) provides advice to the Chancellor on simplifying the UK tax system, with the objective of reducing compliance burdens on both businesses and individual taxpayers and will draw together expertise from across the tax and legal professions, the business community and other interested parties.
It was announced as part of the Autumn Statement 2016 that the OTS had been asked to carry out a review of certain aspects of the VAT system. A terms of reference paper was published on 8 December 2016 and that has now been followed by the publication of an interim report. The current VAT system was introduced in 1973 and there are concerns as to how well the VAT regime is working after almost 45 years and how it can be future-proofed.
The interim report lists the following eight main areas that the OTS has been looking at:
The OTS would be grateful for feedback on any of the issues raised by 30 June 2017. This feedback will help drive a final report with recommendations for changes to the VAT system that is expected to be published in the autumn.
March 3rd, 2017