Select Committee · Treasury Committee

Tax Reliefs

Status: Closed Opened: 21 Jul 2022 Closed: 16 Jan 2024 6 recommendations 4 conclusions 1 report

In this inquiry, the Treasury Committee will examine the tax reliefs available to both individuals and businesses, with a focus on the overall impact of tax reliefs on the UK economy. Read the call for evidence to find out more about the inquiry

Reports

1 report

Title	HC No.	Published	Items	Response
Twentieth Report - Tax Reliefs	HC 723	26 Jul 2023	10	Responded

Recommendations & Conclusions

2 items

1 Conclusion Twentieth Report - Tax Reliefs Accepted

Complexity of the tax system exacerbated by the ever-expanding suite of tax reliefs.

The tax system is too complicated. The huge and seemingly ever-expanding suite of tax reliefs is an important factor in that complexity. We welcome, and will monitor, the Treasury’s commitment to simplifying the tax system. That simplification cannot merely focus on proposed new policies.

Government response. The government affirms its existing commitment to simplifying the tax system, with the Chancellor taking personal responsibility and a mandate for officials to focus on both new and existing rules, stating that most reliefs work well and reviews are already …

HM Treasury

7 Recommendation Twentieth Report - Tax Reliefs Accepted

Monitor maintained tax reliefs for abuse indicators, including external consultation on policy design

Tax reliefs have been abused. The most straightforward way to reduce opportunities for such abuse is to simplify the tax system. Where tax reliefs are maintained, we recommend the Government monitor them for indications of abuse as part of ongoing review processes. The Government should seek and favour external consultation …

Government response. The government states it already meets the recommendation, affirming it takes abuse seriously and actively monitors tax reliefs. It details existing processes including inter-departmental collaboration, seeking external consultation, continual monitoring of costs and take-up, and using various tools to address …

HM Treasury

Correspondence

7 letters

Date	Direction	Title
13 Jul 2023	—	Correspondence from the Director General, Customer Strategy and Tax Design, HM …
13 Jul 2023	—	Correspondence from the Director General, Customer Strategy and Tax Design, HM …
12 Jul 2023	To cttee	Letter from the Chair to the Financial Secretary and Economic Secretary to the …
12 Jul 2023	To cttee	Letter from the Financial Secretary and Economic Secretary to the Treasury to t…
29 Mar 2023	—	Correspondence from the Chancellor of the Exchequer, relating to the Office of …
13 Mar 2023	—	Correspondence from the Office of Tax Simplification relating to the session on…
13 Mar 2023	—	Correspondence from the Chair to the Chancellor, relating to the Office of Tax …