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CIOT: Cheaper HMRC caller charges welcome – now let’s cut the queue

CIOT: Cheaper HMRC caller charges welcome – now let’s cut the queue

The Low Incomes Tax Reform Group (LITRG) is pleased to see that HM Revenue & Customs (HMRC) has improved its service by offering cheaper 0300 phone numbers to its callers (rather than the previous and more costly 0800 numbers).

However, lengthy waiting times and a disjointed service are persistent problems. In order to combat these, LITRG is calling for the implementation of a Freephone line or an immediate call-back service.

LITRG responded to the Public Accounts Committee’s recent report, “Charging for customer telephone lines”, which calls for all Government departments to offer easier and cheaper access to members of the public. 1 The Cabinet Office is now establishing clear principles on charging individuals to call government departments, however the report argues that in order to fully benefit from government support services, taxpayers should be offered the cheapest and simplest methods of communication with government departments.

Anthony Thomas, Chairman of LITRG, remarked:

“I am delighted that our long-running campaign, advocating cheaper methods of communication with government departments, specifically HMRC, is being supported by the Cabinet Office. Our organisation represents groups on low incomes, which includes those who struggle to pay HMRC’s caller charges. We have long been concerned that the culmination of high caller charges, long queues and disjointed customer service processes will discourage such taxpayers from complying with HMRC, effectively divorcing themselves from the support which they need. This is one of the principal reasons why LITRG has consistently advocated the need for Freephone numbers in government departments, already implemented by the Department for Work and Pensions. If Freephone numbers are not to be introduced, then an immediate call-back service should be available to those who display that they require extra support.

“LITRG predicts that HMRC’s ‘new enhanced service for those that need extra support’, which is being piloted in the North East of England and involves replacing walk-in enquiry centres with a telephone model, will increase caller traffic and fail to help those who are already struggling to engage with the existing service. While the new service if extended elsewhere may be a better deal for unrepresented taxpayers, we fear that its potential will remain unrealised if those who need it are unable to gain access to it by phone.

“LITRG understands that HMRC has considered solutions in the past which enhance phone-based customer service on peak and deadline days. However, the rate at which calls are answered on deadline and peak days is still unacceptably low. 2 One or two exceptionally bad days can have a detrimental effect upon a whole year’s performance. HMRC’s poor customer service performance also jeopardizes the forthcoming roll-out of any new telephone model, providing an additional incentive for the department to enact swift improvements.”

Notes to editors

1.       The Public Accounts Committee’s report, Charging for customer telephone lines, can be read here.

 

2.       See in section Conclusions and recommendations, part 4, ‘Astonishingly, the Department only managed to answer 16% of the calls it received to its Tax Credits Helpline on 31 July 2013, the deadline-day for notifying changes of circumstances’.  


3.       The Low Incomes Tax Reform Group (LITRG) is an initiative of the Chartered Institute of Taxation (CIOT) to give a voice to the unrepresented. Since 1998 LITRG has been working to improve the policy and processes of the tax, tax credits and associated welfare systems for the benefit of those on low incomes. Everything we do is aimed at improving the tax and benefits experience of low income workers, pensioners, migrants, students, disabled people and carers.

LITRG works extensively with HM Revenue &Customs and other government departments, commenting on proposals and putting forward our own ideas for improving the system. Too often the tax and related welfare laws and administrative systems are not designed with the low-income user in mind and this often makes life difficult for those we try to help.

4.       The Chartered Institute of Taxation (CIOT) is the leading professional body in the United Kingdom concerned solely with taxation. The CIOT is an educational charity, promoting education and study of the administration and practice of taxation. One of our key aims is to work for a better, more efficient, tax system for all affected by it – taxpayers, their advisers and the authorities. The CIOT’s work covers all aspects of taxation, including direct and indirect taxes and duties. Through our Low Incomes Tax Reform Group (LITRG), the CIOT has a particular focus on improving the tax system, including tax credits and benefits, for the unrepresented taxpayer.

The CIOT draws on our members’ experience in private practice, commerce and industry, government and academia to improve tax administration and propose and explain how tax policy objectives can most effectively be achieved. We also link to, and draw on, similar leading professional tax bodies in other countries.  The CIOT’s comments and recommendations on tax issues are made in line with our charitable objectives: we are politically neutral in our work.

The CIOT’s 17,000 members have the practising title of ‘Chartered Tax Adviser’ and the designatory letters ‘CTA’, to represent the leading tax qualification.