Nearly one third of taxation payments are late, says government committee

Date: 9th June 2009

During the 2007/2008 financial year, 30 per cent of tax payments were made after the due date, according to a report by the House of Commons Public Accounts Committee.

At March 31st 2008 the government was owed a total of £17.3 billion in outstanding tax, interest and penalties, of which £4.5 billion was more than a year overdue, highlighting the need for better tax advice.

The report suggested the government had made the process of tax payment easier and that it was with the taxpayer that the responsibility of the delayed payments laid.

The report said: "The department has improved the quality of information provided to taxpayers about arrangements for payment, and has provided more ways for taxpayers to settle their tax debts."

It added: "But the department needs to change the behaviour of taxpayers who persistently pay late."

Despite increased government advice, taxation planning and payment can be complicated. The most efficient way of dealing with tax needs is by seeking specialist tax advice.

The total number of tax debts increased by 22 per cent in the 2007/2008 year.