Working with Low Income Tax Reform Group (LITRG) to improve the tax system and the experiences of people on low-income

Disgrifiad o Effaith

Sharing my research with the Low Income Tax Reform Group (LITRG) to improve the administration and design of the tax credit system and experiences of people on low-income. The LITRG are a sub-group of the gold-standard professional body for taxation in the UK, namely the Chartered Institute of Taxation (CIOT). The LITRG work with government, HM Revenue and Customs, HM Treasury, and the Department of Work and Pensions (DWP) to simplify and improve the tax system and associated welfare benefits. through the LITRG, this research will inform government, HMRC, HMT and policy makers to develope and improve their tax system and its administration.

Crynodeb Effaith ar gyfer y Cyhoedd

Sharing my research, and working, with the Low Income Tax Reform Group (LITRG) will result in change of policy. It will improve the administration and design of the tax credit system and experiences of people on low-income and government officials.

Disgrifiad o'r ymchwil sylfaenol

The new tax credits system was designed to play a key role in achieving the government’s aims of reducing child poverty, encouraging work incentives for the unemployed and low-income earners and to provide financial support for low-income working families. This research finds that in reality, its operation caused masses of overpayments and severe financial hardship for claimants. a third of all tax credit claimants suffered an overpayment who found themselves having to repay some or all of their tax credit income back to the HMRC. This not only caused extreme financial difficulties but also led to many claimants experiencing considerable uncertainty as they lived in fear of receiving future tax credit overpayments if they carried on claiming, causing some to refrain from claiming tax credits. These outcomes of the tax credit system go against the government’s aims to alleviate financial hardship for low-income families. This research explores the experiences of both tax credit claimants and officials and illuminates the causes and problems for why the tax credit system does not achieve its main government aims. This research is beneficial to key policy makers, senior and front-line HMRC officials in order to develop and improve policy and its administration. As a result, this research improves the experiences of both officials and claimants, with the ultimate aim of alleviating further financial hardship and stigmatisation of claimants.

Buddiolwyr a cyrhaeddiad effaith ymchwil

Government; Policy Makers; HM Revenue and Customs, HM Treasury; Tax Credit Claimants; Citizens Advice Bureau; Local Members of Parliament

Statws effaith	Potensial
Categori effaith	Polisi a Gwasanaethau Cyhoeddus, Economegol, Cymdeithasol
Lefel yr effaith	Ymrwymiad