§ Mr. Gryllsasked the Chancellor of the Exchequer whether he proposes any change in the Inland Revenue's present system of record keeping; and, if so, whether taxpayers and their representatives will be given the opportunity to comment on the change before it takes place.
§ Mr. RidleyFollowing a recent review by the Inland Revenue we have concluded that for the majority of taxpayers dealt with under the pay-as-you-earn arrangements, much of the material held in tax office files is retained unnecessarily. We believe that there is a case for changing the present practice of retaining all communications for a considerable period and that only communications of a substantial or contentious nature should be retained.
Naturally this will have consequences for taxpayers in their dealings with the Inland Revenue and we should like to have people's reaction before coming to a final decision. A consultative paper is being published today by the Inland Revenue which sets out the nature and effect of the proposed change and which invites comment on that change. Copies have been placed in the Library.