§ Mr. Mike O'BrienTo ask the Chancellor of the Exchequer what measures he has taken in the drafting of the current Finance Bill to ensure its complexities do not inhibit those seeking to understand the rules for the purposes of self-assessment of tax. [8320]
§ Mr. JackReducing complexity in the run-up to self-assessment was an important factor in deciding which measures formed part of this year's Finance Bill. Those working on the drafting of the Bill have certainly avoided where they can add to the complexity of the tax system. Indeed where possible the opportunity has been taken to simplify the rules, to make it easier for taxpayers. An example is in clause 138 on the abolition of relief for class 4 national insurance contributions.
The most effective way to help people understand their obligations under self-assessment is through the Inland Revenue's extensive education and public information campaign which is currently under way, through clear and informative guidance and leaflets, and through proper support and assistance available through tax offices and tax inquiry centres.