Hidden in the consultation document Modernising Powers, Deterrants and Safeguards, HM Revenue & Customs are seeking a change in the law which will allow them to avoid seeking a court order and leave them able to seize unpaid tax direct from bank accounts without the tax payers consent. HMRC claims that they would only use these powers against those who were deliberately evading payment.

Any unpaid tax would be frozen within the account and then withdrawn if a demand to pay the tax went unheeded. HMRC has claimed that they would seek access to the accounts at the same stage as they go to court. This means that they would first write and phone a non payer several times as well as visiting their home.

There are major concerns over these plans – tax bills are not always correct and many claims are disputed. Giving HMRC direct access to people’s bank accounts means that even if the tax bill is in dispute, the money may be taken without the person being able to contest the bill in court.

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