Uk tax return outsourcing

London: Britain is contemplating the idea of outsourcing the process of self-assessment tax returns and other sensitive information to India and effect a saving of £200 million, a magazine claimed on Wednesday. Her majesty’s revenue and customs work is already outsourced under a long term contract, which is worth about £8.5 billion. Parisheadquartered firm Capgemini handles self-assessment tax returns and paye forms for about 30 million people. The company also deals with details of national insurance contributions for nearly everyone in Britain. The latest issue of Computer Weekly claimed that Capgemini, together with another contractor Fujitsu, is examining whether to send tax processing offshore, possibly to India.

The magazine said an internal memo on the contract to staff from the public and commercial services union claimed that the companies were looking at the “potential offshoring of some future work, possibly to the subcontinent.” A report on the plan is due to be produced next month. According to a report in the Daily Telegraph, the memo said: “HMRC has asked Capgemini to draw up proposals outlining how they could contribute to the demands for better value.” Capgemini has been expanding its operations in India, where it has 18,000 of its 92,000 employees. The company has offices in Chennai, Hyderabad, Bangalore, Pune, Kolkata and Mumbai. AGENCIES