Budget 2014: HMRC can now take money directly from your bank account

Buried deep in the Budget document, there’s a pretty significant HMRC power grab.

If officials decide you owe them money, they now have the ability to take it directly out your bank account. No insolvency proceedings, asset freezes or debt collection agencies. Just the government taking out whatever it thinks it’s owed.

There are restrictions. The power can only be used once you’ve received a couple of letter and a phone call from enforcement. It only applies to people who owe over £1,000. HMRC must leave at least £5,000 in your account.

Once they get the money they put it on hold for 14 days and you’ve got a chance to get in touch and set up a payment plan. If you don’t, or you still refuse to pay up, they go ahead and keep it.

All’s fair in tax dodging, you might think – and indeed that will be the sentiment that George Osborne hopes will override concerns about the policy.

But the plot thickens.

More:

http://www.politics.co.uk/blogs/2014/03/19/budget-2014-hmrc-can-now-take-money-directly-from-your-bank

Mentally ill man left penniless by DWP is arrested at job centre for cracking a joke.

This is old news and pre-dates September 2013, however nothing has changed and these situations continue so is worth a reblog to keep it in peoples minds

Benefit tales

Many of us have had the experience of having no money arrive when it us due, or being sanctioned, when we are already barely surviving.

One of our members, Herbert, went in to the Job Centre last Wednesday to find out why his ESA had not been paid. He was promised it would be in his account that afternoon – that his allowance was being “amended”.

Between 2-5pm he checks and checks, and nothing. He goes in the next day, and has to make the call to Belfast again. This time, they decide they need to know his bank Sort Code which they have never asked for before, so he has to go and get it. During a heated argument on the phone where Herbert is told there is no emergency payment that can be made, security staff think it is their job to ask him to quiet down, Herbert…

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