The National Audit Office has published a report today on HMRC’s administration of Scottish income tax, including the final calculation of Scottish revenues for the 2018/19 tax year.
The Auditor General for Scotland, Stephen Boyle, provides additional assurance to the Scottish Parliament on the work of the NAO in this area.
In his accompanying report, he says the NAO’s approach was reasonable and covered the key audit risks. He also draws attention to the main findings in the NAO report – including what 2018/19 outturns mean for the Scottish budget, and what improvements have been made to how 2019/20 Scottish income tax is estimated.
Both reports will be presented to the Scottish Parliament’s Public Audit and Post-legislative Scrutiny Committee.
Scottish income tax is a key part of the financial powers being delivered because of the 2012 and 2016 Scotland Acts. Scottish income tax outturn data for 2018/19 will be reflected in budget calculations for the 2021/22 Scottish budget.
Stephen Boyle said:
I am pleased that the NAO has been able to report that HMRC has implemented adequate processes and that the outturn of income tax for 2018/19 is fairly stated.
The pressures Covid-19 has put on the Scottish budget has made it more important than ever that there is accurate identification of Scottish taxpayers and that the right amount of tax is collected.
The Auditor General has reported extensively on the implementation of the new financial powers.
Audit Scotland has also published a briefing on the operation of the Fiscal Framework, including arrangements for Scottish income tax.
Media enquiries concerning the NAO report should be directed to email@example.com.