In this week’s miscellaneous updates, we provide an update on various issues relevant to agents and the latest VAT road fuel charges which apply from 1 May 2024 are available. HMRC has updated its guidance on taking reasonable care and a new online service has been launched for payment of voluntary national insurance contributions. HMRC has been writing to community amateur sports clubs asking them to check that they remain eligible, and the latest Agent Update 119 is now available. And finally, a new consultation has been launched on vaping products duty.
HMRC has recently set up a new service which means that agents to can make a complaint to HMRC online via the government gateway. The complaint can cover their own agent services or be made on behalf of a client. It is no longer necessary to complain via post and agents are encouraged to make complaints going forward via this new service. Agents will need to have the relevant authorisation to act on behalf of their clients recorded with HMRC before using it.
New functionality has now been added to the Agent Services Account which now allows agents to change contact details online. Changes can be made to their postal address, email address, business name and phone number. See the updated guidance.
A new service for agents was also launched last month which also allows agents to register employment benefits which will be taxed through payroll from 2025/26 onwards in advance of the move to mandatory payrolling of benefits. Find out what the PAYE for Agents online service is for, what you can do in the service and how to do it. To access this service, the agent must opt in to use the employer liabilities and payments service.
You can use this service to tell HMRC about any employment benefits that will be taxed through your client’s payroll from 2025/26 including:
By way of reminder for all tax years up to 2025/26, i.e. until 2024/25, the employer or their agent must continue to submit P11Ds for benefits and expenses that have not been payrolled.
HMRC has republished its guidance on how to make sure you take reasonable care if you need to send tax returns and other documents to HMRC, and what happens if you do not.
HMRC will take your individual circumstances into account when considering whether a taxpayer has taken reasonable care. If the taxpayer has used tax avoidance arrangements, there are different rules about what ‘reasonable care’ is.
HMRC’s Compliance Handbook shows a list of the taxes and documents that penalties for inaccuracies apply to, as well as details of the dates on which these penalties can first apply.
Launch of digital service for voluntary National Insurance contributions
The Government recently launched a new online service for checking if voluntary National Insurance contributions (“NICs”) will increase the amount of state pension. The new digital service is called Check your State Pension forecast and is a joint service by HMRC and the Department for Work and Pensions, which is a fully end-to-end digital solution.
The service will show taxpayers by how much their state pension could increase and details of the voluntary NICs they would need to pay to achieve this. It allows most people under state pension age to view gaps in their NICs record and securely pay voluntary contributions to fill those gaps if it will benefit them. Confirmation that payment has been received and that their NICs record will be updated will also be provided. Individuals can access the Check your State Pension forecast or use the HMRC app.
It is usually only possible to make voluntary NICs for the previous six tax years. However, an extension is currently in place which allows individuals to fill gaps in their NICs record for periods from the tax year 2006/07 up to 2017/18 by making voluntary contributions by 5 April 2025.
Letters to community amateur sports clubs
In recent weeks HMRC has been writing to community amateur sports clubs (“CASC”) asking them to check if they are still eligible to stay within the scheme and avail of its benefits.
To be eligible for the scheme a CASC must:
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be open to the whole community - this means that membership and facilities should be open to all without discrimination;
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have affordable membership fees
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be organised on an amateur basis
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have no limit to the number of players a club can pay, as long as the total amount paid to all players is less than £10,000 in a year
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have as its main purpose to provide facilities for eligible sports and encourage people to take part.
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not exceed the income limit of £100,000 a year from non-member trading and property income;
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be managed by ‘fit and proper persons’;
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meet the location condition, where the scheme is open to qualifying clubs established in the UK, EU, Liechtenstein, Norway, or Iceland.
If a club still meets the conditions of the scheme, no further action is needed. However, if a club no longer meets the conditions for CASC status, HMRC must be contacted to explain the reasons why it is no longer eligible for the scheme and the date eligibility ended. This can be done by emailing
CPCECLPICASC@hmrc.gov.uk or writing to the address at the top of the letter. HMRC will then contact the clubs to discuss the options available.
Latest Agent Update
Agent update: issue 119 is available now. Get the latest guidance and information which this month includes:-
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the national insurance contributions checker tool and rate changes reminder;
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reporting rules for digital platforms – digital reporting service;
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Capital gains tax - common mistakes to avoid;
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Research and development tax relief changes from 1 April 2024; and
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An update on the VAT DIY housebuilders scheme.
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