Summer 2005 Newsletter Content More of the same? Around the world Hot tips Inside out? Sweet sacrifice Simple trust Done and dusted? Open immediately File under E An Inspector calls CO still OK Open for business High PHI Arctic chills Duty calls Pensions Fuelling around WIP round Win some, lose some Take it and go? Party talk Work less, earn less Making adjustments

Open immediately What are the most disregarded instructions in the English language? For some reason, the Inland Revenue print the above on the wrapper round a tax return. Everyone knows it's a tax return, and everyone knows they don't want to open it at all, let alone immediately - after all, you don't have to send it back until JanuaryÉ If you do open the package, you will find that the front page has changed. There's far less writing than there used to be - and the closing message, "if you make a false return you risk being charged penalties and interest", is printed in bold type. A section entitled "four ways we can help you" has gone, although a shorter version of the same information is still there. The overall impression is more abrupt and less friendly (if a tax return could ever be friendly!). Last year, the Revenue sent out a lot of letters - computer-generated - to tell people that "there might be something wrong with your return". The computer identifies figures that "look a bit funny", and the letter tells the taxpayer to be careful, because the Revenue are watching. It's pretty strongly worded, given that the Revenue have not the slightest evidence that anything is actually wrong. The letters work very well for the taxman - they have evidence that people who receive them go on to claim fewer deductions the next year. That could be because they are correcting mistakes, or it could be because they are scared into paying more tax, which is quite wrong. If the Revenue directly approach someone who has a tax accountant, the best thing to do is just to refer them straight to the accountant. If you get a letter like this from the taxman, don't be alarmed - we will look into it to find out if it is an empty threat - most likely - or something more serious.