Office for Tax Simplification: Yes please.

The new independent body, which will be officially launched by the Chancellor today, is tasked with reforming Britain's tax system to reduce the burden of red-tape on businesses. It is just as important to stamp out obvious waste and streamline procedures.

The Office is a key part of the coalition Government's promise to help British businesses, particularly small and medium sized firms.

When it was formerly announced in the emergency Budget last month, Mr Osborne said: 'Tax competitiveness is not just about rates and incidence of tax. Predictability, stability and simplicity are also important.'

Business owners are sceptical about the new Office because, despite pledges from a succession of Governments to reduce red tape, business owners claim the system has become increasingly complex.

Here are some recent examples gathered in a 2 minute straw poll.

Identification procedures are required but need simplification as irritate everybody

• Getting the tax office to answer the phone is a major achievement.
• Getting through to someone who can help is a further challenge.
   

We know of two instances where HMRC has phoned individuals tax payers on a Sunday for information. If this is a new policy they need to inform people as the first reaction is scam.

The British tax code is among the most complex in the world, and that it has been getting worse every year.

Pick the low hanging fruit first – combine tax and national insurance – a tax by any other name would be a good starter.

Even professional accountants are uncertain as to the meaning of a lot of the tax legislation and the costs of unravelling the interpretation gets passed back to the small business man in the street by way of higher accountancy fees.

Author: Chris Slay