New small business tax unit

Details of a new small business unit that will change the tax administration for small businesses, have been announced by David Varney, Chairman of Inland Revenue and Customs and Excise.

The Treasury said that the new unit will sit at the heart of HM Revenue and Customs (HMRC), and will champion the needs of small businesses and will be charged with improving customer experience and compliance as well as reducing costs - for both businesses and HMRC (by eliminating unnecessary contact). It will ensure that the development and delivery of the tax system takes full account of the needs of small business and that necessary contact is handled effectively, efficiently and comprehensively. Theresa Middleton, a senior official with Revenue and Customs experience, has been appointed to lead the unit.

Advisory group

A high-level advisory group with senior private sector representation will guide the work of the small business unit and ensure that the department harnesses the business community's ideas for improved compliance at lower costs. William Sargent, Chairman of the Small Business Council and Martin Wyn Griffith, Chief Executive of the Small Business Service, will join the group, which will be chaired by Dave Hartnett of the Board of Inland Revenue.

Announcing details of the new unit David Varney said: "The Chancellor has challenged us to produce very significant improvements in the way the tax system is administered for businesses, particularly small businesses. I know from my own business experience that such a transformation can only be achieved through a strong emphasis on customer focus. That means we need to build on existing knowledge to achieve a much deeper understanding of our business customers: listening to them and responding to their needs, rather than assuming that we know best."