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This report describes the growth of Inland Revenue tax legislation in recent years, summarizes the criticisms made of that legislation, and analyzes possible solutions. It is the Revenue's formal response to the obligations placed on it by Section 160 Finance Act 1995, and thus gives some detailed factual background. The report also sets out the main conclusions arising from the work of the Inland Revenue. These conclusions are as follows: that some advances in simplicity and clarity of tax legislation might be secured through policy simplification and modification to the current Finance Bill process, but achieving substantial improvement in a reasonable timescale is possible only through rewriting existing Inland Revenue legislation; a rewrite is technically feasible, and its benefits should substantially outweigh its costs.
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