PAYE Contributions Debate

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Department: HM Treasury

PAYE Contributions

George Mudie Excerpts
Wednesday 8th September 2010

(13 years, 8 months ago)

Commons Chamber
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David Gauke Portrait Mr Gauke
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My hon. Friend raises an important point. One of the stresses and strains that HMRC has had to deal with has been the complexity of the tax system. If we can address that, we can establish a simpler PAYE system and reduce the demands placed on HMRC so that it can focus on these very matters.

George Mudie Portrait Mr George Mudie (Leeds East) (Lab)
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It would be a disservice to the many millions of people affected—certainly the 1.4 million who are being chased for repayments—if we allowed this matter to be passed over in gaining party political points on either side. [Laughter.] It is not amusing to the 1.4 million people. The report says that it was the Minister who noticed the disparity in the figures and asked for a review. The result is sad, but I commend him for uncovering the problem. This issue raises important questions, and that is why party political point scoring would be wrong. It is not the first debacle from this department. As the Minister looks into it, can the House expect some resignations or disciplinary action in respect of the highly paid chairman and chief executive and board?

David Gauke Portrait Mr Gauke
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I appreciate that the hon. Gentleman has consistently raised concerns about HMRC. In my view, we need to focus on moving forward. The fundamental problem is the PAYE system and the inability, over many years, to bring it into the 21st century. In my view, the days of Treasury Ministers throwing staplers around should be past. We need to work with HMRC constructively to ensure that we have an improvement in our tax system.