SDLT online system goes belly-up

Revenue admit after failed demo that nothing will be ready before summer

News, 5 April 2005

The promised online system for filing SDLT returns fell at the first hurdle when representatives of the Inland Revenue came yesterday (4 April) to demonstrate the service to members of the Law Society of Scotland's Conveyancing and Tax Law Committees.

The demonstration did not work and the Society was informed that the Inland Revenue no longer intends to introduce the system on 6 April as promised. The Revenue will not give any clearer specification than “the summer of 2005”.

The Society’s representatives feel that this latest set-back reflects the initial launch of SDLT which was a rushed introduction of an incomplete system. Isobel d’Inverno, the Convener of the Tax Law Committee said: “After the meeting today, I have said to the Inland Revenue that the Society’s Tax Law Committee would not want them to launch a product until we know that it works. The last thing practitioners or their clients need is a repeat of the difficulties suffered when SDLT was introduced.”

She said that the project had been rushed and was clearly a long way from being ready for the profession to use, adding: “Yet again, the over-ambitious timetables of the Revenue have let the profession down and we have taken the opportunity to stress that the Revenue should not come back to us with the online product unless and until they know that it works and can guarantee that it is ready to launch”.

She said that she the profession had been promised a solution by a deadline and that promise had not been met. “It is very disappointing that that members of the Society are going to be denied the opportunity to e-file their returns which we had hoped would address some of the problems and inconvenience caused by the delays in the current system.”

Several members of the two committees have offered to participate in a pilot which would check that the system works before it is launched and Isobel d’Inverno undertook to keep the profession informed of any progress.

Firms are regularly in touch with the Professional Practice Department about difficulties with SDLT and the Department has promised to do all it can in conjunction with the Tax Law and Conveyancing Committees to assist the profession and represent their interests on this issue.

The latest difficulties do not affect the new special urgency system at Edinburgh which can be used if the SDLT forms have not been returned to practices on or after the 16th day.