HMRC has lost sight of needing to put taxpayers at the heart of changes to the tax system, said the parliamentary Public Accounts Committee (PAC) in a report on the making tax digital (MTD) programme.

The committee noted that with MTD, rather than aiming to make it easier for people to get their tax right, HMRC is increasing the burdens imposed on some taxpayers. The MPs also said that, in seeking further investment in MTD, HMRC has not been open enough about the substantial costs that will be imposed on many taxpayers.