PIMA WELCOMES INLAND REVENUE PROPOSALS FOR ELECTRONIC DIVIDEND VOUCHERS AND TAX CERTIFICATES
The PEP and ISA Managers’ Association today welcomed Inland Revenue’s plans for electronic dividend vouchers and tax certificates. The new proposals will tie in the Government’s move towards e-commerce, electronic tax returns and benefit payments.
The Inland Revenue has published draft regulations that will allow statutory dividend vouchers and tax deduction certificates to be delivered by electronic means. The change will be voluntary. Both parties, the company or financial institution, and the shareholder or investor would have to agree to electronic delivery.
PIMA strongly approve of the Inland Revenue’s steps to simplify the often complex process surrounding dividends and tax. However, PEP and ISAs subscribers have no requirement to put any information relating to their investments on their tax returns, which makes it one of the simplest forms of saving available.
Tony Vine-Lott, Director General of PIMA said: “We are very encouraged by the proposals from Inland Revenue, they make the system simpler and easier for the investor, which can only be good. This may also act as an incentive to invest in these further simplified products. We strongly recommend the need for further simplification in the tax incentivised savings sector”