The results of the Large Business Panel Survey for 2014 have been published on HMRC’s website. The survey of large businesses was performed in late 2014 and early 2015. The aim was to track and assess the views of businesses on the services provided by HMRC. In addition to the taxpayers dealt with by HMRC’s Large Business Service (LBS) the survey also covered groups of taxpayers dealt with by “Local Compliance: Large and Complex customers” who were assigned a customer relationship manager (LC CRM) or who had an assigned point of contact (LC CC).

Generally the majority of large businesses reported a good or very good experience in their dealings with HMRC. The proportion of large businesses rating their overall experience with HMRC as good fell slightly in 2014 to 87% (from 93% in the previous year). Follow-up research indicated that this was due to some customers considering a change in the person from HMRC acting as their customer relationship manager (CRM) had impacted negatively on their relationship with HMRC, some considering that their new CRM was less engaged with their business. The proportion of LC CRM and LC CC businesses giving positive ratings was lower than those dealt with by LBS.

Almost 80% of large businesses agreed that HMRC treats businesses fairly and consistently across businesses. Around 90% of businesses were confident that they knew which transactions HMRC would challenge as tax avoidance, this representing a significant increase from the previous year especially among the LC CRM and LC CC businesses.

Around half the businesses covered by the LBS reported contact with HMRC in the past twelve months of a type that could be defined by the term Real Time Working. The use of Real Time Working by businesses dealt with by the LBS was less in 2014 that in the previous year. Again, one reason given by some businesses for no longer engaging with HMRC in this way was a change in the person from HMRC acting as their CRM. The survey suggests however that those businesses engaging with HMRC in Real Time Working are more likely to report good or very good experience in their dealings with HMRC.

Most of the large businesses considered that changes in respect of lowering UK corporation tax rates; temporarily increasing the Annual Investment Allowance; patent box reforms and changes to the controlled foreign companies (CFC) rules had positively impacted their business. The businesses approved of the corporation tax reduction in particular, considering that it contributed to maintaining the competitive position of the UK. The proportion of businesses stating that they had considered re-locating their business or part of their business from the UK to another country was significantly lower than the proportion in the 2010 survey.

Large businesses considered that using tax agents resulted in a reduction of errors in tax computations but fewer large businesses than previously considered that use of tax agents resulted in the implementation of tax planning strategies that they otherwise might not have considered. Also fewer large businesses than before agreed with the statement that tax avoidance is acceptable.