Describing the move as a “revolutionary simplication of the tax collection scheme”, Osborne said the move would help 12m Britons.
As of next year, HMRC will automatically collate the tax affairs of millions of UK taxpayers from employers, banks and investment firms into a single digital tax account which can be checked at any time online.
The accounts will allow tax to be paid at any time and will also simplify the payment of various levies for businesses.
“We will abolish the annual tax return altogether. Millions of individuals will have the information the revenue needs automatically uploaded into online accounts, said Osborne.”
According to the Telegraph, the move will reduce the time it takes to deal with HMRC from an average of 40 minutes a year to an average of ten minutes.
Those with straightforward tax affairs will have no need to collect receipts and other documents. Only those who do not want to manage their affairs online will still have to complete a self-assessment return.
For all coverage of the 2015 Budget, click HERE.
