HSTM07000 - Help-to-Save account: direct recovery of debt provisions
The legislation enabling Direct Recovery of Debts was contained in the Finance (No. 2) Act 2015 which received Royal Assent on 18 November 2015. This gives HMRC power to recover debts from the accounts of debtors who are able to pay what they owe but have chosen not to do so, and have not responded to HMRC’s attempts to contact them and collect these sums. Debtors have rights to object to HMRC and appeal to the courts against our use of this power. HMRC will ensure that a minimum credit balance of £5,000 is available to the debtor across all accounts after the debt has been recovered.