The Inland Revenue this week suspended its on-line
self-assessment tax return system after complaints from some users
that, when logging in, they could see the details of other users.
The security breach is being seen as an embarrassing blow to the
Government’s promotion of on-line services that it plans to make
mandatory.
The following statement appeared today on the Revenue’s
site:
“The security of our customers' data is of
paramount importance to us. A very small number of people told us
that they had seen data relating to other people. When we learnt
that we decided to temporarily withdraw the SA On-line service and
we are now working around the clock to get to the bottom of the
problem. It is still possible to send in returns on-line using an
alternative product.”
Of the several million tax returns filed last year, only 75,000
were filed on-line. The Government plans to force an increase. In
its current Finance Bill, there is a section called “Mandatory
e-filing.” This empowers the Inland Revenue’s Commissioners to pass
regulations requiring use by self-employed individuals and small
businesses of the on-line filing system. Among the penalties for
failure to comply is a fine of up to £3,000.
Earlier this month, the Guardian newspaper questioned the Inland
Revenue about this provision. A spokesperson explained that the
enforcement measures are unlikely to be in place “until 2006 at the
earliest.”