Is the Taxman Strapped for Cash?

You may have seen some stories in the news this week that HMRC have scaled back their winding up orders in recent months, with experts declaring the reason to be lack of cash to pay for insolvency services, as opposed to the taxman finding an unexpected compassionate streak. As the Scotland on Sunday reported this week, there were 515 petitions filed in the first half of last year, a figure which sunk to 107 in the second half of the year and only one in December.

Experts are predicting things will kick off again in April with the new financial year and a new budget available, although HMRC have said the idea of their cash running out was “nonsense” and that the number of compulsory liquidations fluctuates throughout the year. Whatever the reason, I don’t expect the country’s insolvency firms are likely to be too happy with the reduced activity in their sector.

So, has the taxman gone soft? Has he run out of cash? (Perhaps even both!) I guess we’ll find out in April…

Ricky worked as an Investigator in the Inland Revenue for over 20 years before founding Steedman & Company in 1987, giving him the experience and knowledge that’s enabled him to help so many clients over the years.

His appearance on a Channel 4 television programme about the inside workings of Revenue and Customs was watched by 4.1m, sealing his status as one of the most highly respected tax consultants working in Scotland today.

Ricky leads all tax investigation and COP 9 cases, using his extensive knowledge to help people reach a positive resolution to their situation.