Plans for tax and NI merger take shape

The Government has asked for details of burdens caused by the existing tax system amid plans to integrate income tax and National Insurance.

The call for evidence will also ask for information about issues with the current National Insurance system to support and shape plans for reform.

Ministers have argued that bringing the two systems together will result in a fairer system for individual earners as well as helping to ease the burdens on businesses.

The move is part of plans to create a more user-friendly and competitive tax system, according to Exchequer secretary to the Treasury David Gauke.

He added: "Greater integration of income tax and NICs will be a radical reform, but we believe that it has potential to bring real improvements."

The idea of bringing together the National Insurance and income tax systems was first mooted in Chancellor George Osborne's Budget earlier this year.