Hartnett urges advisers to 'stop moaning'

Speaking at last week’s annual ICAEW Wyman Symposium, HMRC director general Dave Hartnett made a colourful speech in which he pleaded with the profession to stop complaining about the taxman’s performance.

‘Tax administrators want advisers to take a deep breath and stop complaining. My colleagues feel oppressed by constant criticism,’ said Hartnett.

His comments follow what many described as a low point in relations between advisers and the taxman.

Advisers have been dismayed that experienced tax inspectors were lost during HMRC’s ongoing efficiency programme and have accused the taxman of acting more aggressively following the merger of the Inland Revenue and Customs & Excise.

Hartnett has often said that the profession needs to help the taxman more in the fight against tax avoidance.

But he went even further than claiming HMRC had had enough of complaints. He said that every country involved in a recent OECD project believed that tax advisers and their actions had an adverse effect on government budgets.

‘Without reservation they think advisers had undermined spending plans by governments,’ Hartnett said.

But Hartnett sought a reconciliation with the tax profession and extolled their importance saying everyone needed to focus on ‘mutual trust and competence’.

Hartnett said the Working Together project for tax inspectors and tax advisers to collaborate would be revitalised after recently falling by the wayside.

Smith & Williamson tax partner Richard Mannion said reaction to Hartnett’s themes was positive, but warned that it was ‘ridiculous’ for the government to continue pushing HMRC to reduce headcount while driving for efficiencies.

‘It’s short-sighted,’ said Mannion.

He also disagreed with Hartnett about the level of accountants’ complaints: ‘I don’t agree we just whinge, saying “this is what went wrong” can be a case study to put things right.’

Mannion said he was highly delighted to hear Working Together referenced during the event and called on HMRC to meet its pledge.

‘I’ve never had any doubts that when [the system] doesn’t work it costs everyone money. They need the best brains to work on it.’