Today is exactly six months to the commencement of MTD for Income Tax for sole traders and landlords with income over £50,000. Last week HMRC published its digitally excluded exemptions guidance for Making Tax Digital (MTD) for Income Tax and information on the exemptions application process. HMRC has also published the second edition of their newsletter ‘Ready, Steady, File!’, which provides the latest news on the MTD for Income Tax testing journey. A range of ready to use assets which agents can utilise when communicating with their clients about Making Tax Digital for Income Tax is also available. The newly published exemptions guidance explains how to consider if a taxpayer could be exempt from MTD for Income Tax because they are digitally excluded, which would mean it is not reasonable for them to use compatible software to keep digital records or send them to HMRC. It also explains how a taxpayer, or an agent, family member, or friend acting on their behalf, can ask HMRC to decide if they are digitally excluded. From last week, HMRC is accepting applications for all taxpayers who would otherwise be legally required to use MTD for Income Tax from April 2026 or later.  There are two processes involved:    The first process applies if the taxpayer is already exempt from MTD for VAT. They must contact HMRC by phone or in writing so that HMRC can confirm if the exemption also applies to MTD for Income Tax. Taxpayers (or their representative) will be asked about their MTD for VAT exemption, and if there has been a change in circumstances since that decision. According to HMRC, this should usually result in a quick decision letter. The second process applies if the taxpayer does not have a MTD for VAT exemption. Again, they must contact HMRC by phone or in writing. HMRC will ask for details to support their case for a digital exclusion. This may require the submission of supporting evidence; if so, HMRC will make clear what is needed and when. The information provided will then be assessed, and a decision letter will subsequently be sent. The published guidance sets out that HMRC is aiming to respond within 28 days of receiving an application. However, HMRC recommends that taxpayers still prepare to use MTD for Income Tax whilst they waiting for HMRC’s decision, in case exemption is not granted.   In each case, if it is accepted that the taxpayer is digitally excluded, they will not need to use MTD for Income Tax and can continue with their current filing method, unless their circumstances change.       

Clare Murphy trained in EY in Waterford and spent some time in the earlier stages of her career in Sydney before moving back to Kilkenny and more recently has been based in Cork. Having progressed in her career over the years, she is excited to continue her career journey back in Sydney where she has two siblings and plans to return this autumn. Clare returns to Australia at a more advanced career level and has already started leveraging the strong network of members there. We caught up with Clare during her preparations. 1. Where did you grow up and where do you live now? I grew up in Wexford before moving to Bunmahon, Co. Waterford midway through my childhood. More recently, I have been living and working in Cork, though I will be returning to Sydney at the end of October. I studied Commerce International with German at University College Cork, which included an Erasmus year in Konstanz, Germany. After graduating, I began my training with Chartered Accountants Ireland, working with EY Waterford for three and a half years. Following that, I moved to Sydney where I gained nine months of international experience before returning home to live and work in Kilkenny for 18 months. This past year I’ve been based in Cork, continuing to develop both professionally and personally, while preparing for the next stage of my career back in Australia. 2. What made you choose to become a Chartered Accountant? And if you weren't a Chartered Accountant, what do you think you would like to have been? I always loved working with numbers and enjoyed maths and accountancy in school, so that was telling enough. I was also interested in engineering, architecture or lecturing (I love the academic world). Or perhaps I would have thrown my hat at anything sports-related! 3. Can you tell us a little about how you got to where you are today – both the geographical relocations and career path. I’ve always been quite active — growing up I played camogie competitively in and for Waterford, and more recently I’ve turned to running, which has fitted in well with living all over Ireland and in Sydney, a city that thrives on an active lifestyle. My professional journey started in financial audit with EY Waterford, before moving into financial consulting with EY Dublin. That mix of audit and commercial exposure gave me a really solid grounding in accountancy, and it was the perfect base for moving into more analytical and commercially focused roles. From there, I took on an FP&A role in Sydney, which sparked a career path I’ve loved. Since then, I’ve worked across FP&A, finance business partnering and finance manager roles. These roles have combined not only analysis, forecasting and commercial awareness, but also leadership, project delivery, and working with a wide range of stakeholders to influence decisions and drive improvements. It’s been a varied path, but the common thread has always been using financial insight to add value to the business. 4. What do you value most about your membership of the profession and how do you think those benefits can be used to support the economy and society?  For me, the real value of the profession is the credibility and global recognition it brings. The CA qualification has enabled me to build a career that has taken me around Ireland and across the world — with Australia being a choice I was able to make because of the strength of the designation. It has given me the confidence to work across industries and countries while staying connected to a strong professional community. Beyond individual careers, the profession supports the economy by driving better business decisions, stronger governance, and growth. And on a societal level, it creates a community of people all over the world who share the same standards, values, and commitment to transparency. That sense of trust and connection is more important now than ever in supporting both businesses and society as a whole. 5. As a member that has lived away from Ireland, returned and is on the move again, can you talk to us about how your membership has been of value to you here and living overseas?  As I mentioned, I have a network and community I can link in with again. In addition, the Institute teams are always open to connecting members and assisting members across a variety of career paths. 6. What were the most significant/noticeable differences you encountered doing business and networking away from home and back in Ireland?  Away from home, I found that having connections was vital — in Sydney, even a small network made a big difference when starting from scratch. Networking there is fast-paced and often happens outside formal settings, so leaning on those relationships was key. Back in Ireland, it feels easier to build connections on your own. The community is smaller and very interconnected, which means relationships grow more naturally and often overlap between personal and professional circles. I’m really looking forward to going back to Sydney and building on my network — there’s a strong connection between Ireland and Australia, and I’ve already reaped the benefits of it, so it will be great to nurture that further.

Welcome to the latest edition of Technical Roundup. In developments since the last edition, the FRC has issued four new audit and financial reporting consultations, IAASA has issued its annual Observations Paper and EFRAG has released two complementary reports to support the application of the VSME standard. Read more on these and other developments that may be of interest to members below. Financial Reporting IAASA has published its annual Observations Paper  which highlights matters that management, audit committees and auditors should consider when preparing, approving and auditing financial statements for 2025 year ends. The Financial Reporting Council (FRC) has published its Annual Review of Corporate Reporting, which looks at that the quality of corporate reporting across FTSE 350 companies during the 2024/25 monitoring cycle. The Financial Reporting Council (FRC) has issued Financial Reporting Exposure Draft (FRED) 88, which proposes no changes to FRS 101 ‘Reduced Disclosure Framework’, as a result of the FRC’s 2025/26 review cycle. FRED 88 is open for comment until 16 January 2026. The IFRS Foundation has published a package of new educational material to support the implementation of the third edition of the IFRS for SMEs Accounting Standard. The International Accounting Standards Board (IASB) has published its IFRIC September 2025 update. This includes details of the decisions reached by the committee in its recent public meetings. EFRAG has issued its draft endorsement advice letter and a separate invitation to comment on the proposed EU adoption of IFRS 19 Subsidiaries without Public Accountability. This remains open for comment until 28th November. The UK Endorsement Board’s (UKEB’s) consultation on its draft endorsement criteria assessment of IFRS 18 remains open for public comment until 7 October. UKEB have also updated their work plan.   Auditing and Assurance IAASA has published its annual Observationspaper highlighting matters that management, Audit Committees and auditors should consider when preparing, approving and auditing financial statements for 2025 year end dates. IAASA has issued an updated version of ISA (Ireland) 600, Audits of Group Financial Statements (Including the Work of Component Auditors). It reflects conforming amendments arising from ISA (Ireland) 505 (Revised March 2024), External Confirmations, which is effective for audits of financial periods beginning on or after 15 December 2024. The Financial Reporting Council (FRC) has launched a consultation on proposed revisions to two key auditing standards, dealing with the auditor’s responsibilities relating to fraud and going concern: ISA (UK) 240 (Revised) The Auditor's Responsibilities Relating to Fraud in an Audit of Financial Statements ISA (UK) 570 (Revised) Going Concern The FRC is updating these standards to align with recent revisions to equivalent international standards issued by the International Audit and Assurance Standards Board (IAASB). The consultation runs until Friday 16 January 2026. The FRC has launched a consultation on proposed revisions to three auditor reporting standards: ISA (UK) 700 – Forming and opinion and reporting on Financial Statements ISA (UK) 701 – Communicating Key Audit Matters in the Independent Auditor’s report ISA (UK) 720 – The Auditor's Responsibilities Relating to Other Information The FRC is updating these standards to simplify and declutter the auditor’s report, discourage boilerplate disclosures, and encourage the inclusion of more relevant information to support investor decision-making. Alongside these proposals, further amendments are being made to align these standards with recent revisions to equivalent international standards issued by the International Audit and Assurance Standards Board (IAASB). The consultation runs until Friday 16 January.   Sustainability EFRAG has released two complementary reports to support the application of the VSME standard. This includes: A report and infographic which provides practical supports to SMEs who wish to report their greenhouse gas emissions under the VSME. This includes a focus on some of the digital tools used by entities in preparing their sustainability reports. A report and infographic providing an overview of over 200 platforms and initiatives for SMEs. This compares the characteristics of those platforms. Accountancy Europe has published a paper entitled “Sustainability Statements Based on ESRS: Compliance or Fair Presentation”. This paper discusses the challenging issues faced by ESRS preparers regarding whether their Sustainability Report should be prepared on a “compliance” or “fair presentation” framework. The piece discusses some differences between the two frameworks, as well as what both would mean for reporters. The International Sustainability Standards Board (ISSB) has published its September 2025 update and podcast. Anti-money laundering and Fraud The National Crime Agency in the UK has published issue 33 of its SARs in Action magazine. Read more about how informal value transfer systems such as Hawala can be misused to facilitate organised immigration crime The publication notes how settlement across multiple jurisdictions through value or cash outside of the banking systems presents challenges for law enforcement. This, in addition to being cost effective and efficient, makes informal value transfer systems  attractive to criminals. The publication also includes a baseline analysis from UK FIU on organised immigration crime in SARs to review the reporting for elements linked to Organised Immigration Crime (OIC ). The results note a rapid increase in reporting of OIC related SARs. Our colleagues in Professional Standards have this week issued their 3rd Regulatory Bulletin for 2025. It includes valuable updates and insights for practitioners across general practice, audit, sustainability assurance, anti-money laundering and other regulated areas. The Banking & Payments Federation Ireland (BPFI) published survey results via its fraud awareness initiative (FraudSMART) regarding money mule risks. New survey shows almost a third of 18-24-year-olds have been approached, or know someone who has been approached, to use their bank account to transfer money. The Accountancy AML Supervisors’ Group (AASG)  in the UK has recently issued AASG Guidance on Verifying Beneficial Owners .The Guidance outlines the steps that auditors, insolvency practitioners, external accountants and tax advisers should take when verifying beneficial owners to ensure consistency in approach across the entire sector. AASG has also issued its AASG risk outlook: Money laundering, terrorist financing and proliferation financing risk in the accountancy sector. The Outlook was updated to reflect the UK's National Risk Assessment 2025. The Risk Outlook sets out the key AML risks and red-flag indicators relevant to the accountancy sector. The UK's National Risk Assessment was last updated in July 2025. It is recommended that firms consider the two documents and update their internal AML policies and procedures accordingly. Central Bank of Ireland (CBI) The CBI published its quarterly Insurance newsletter outlining supervisory insights, insurance and Central Bank updates. Also, read here CBI Director Seána Cunningham’s recent remarks at European Insurance Forum 2025 on how the CBI’s approach to the regulation and supervision of the insurance sector is evolving. Read here CBI Deputy Governor Colm Kincaid’s remarks “Towards Our Future Financial Wellbeing”. The remarks were made a round table at Financial Services Ireland .He outlined how CBI is improving its approach to protecting consumers and investors through its new integrated supervisory model, and via the revised Consumer Protection Code 2026.He also spoke about the importance of financial wellbeing for individuals, families and businesses, and urged the financial services industry to become more active in the social conversation about how the emerging concept of “financial wellbeing” can shape the future of financial services and Ireland’s economic progress more generally. CBI Governor Gabriel Makhlouf recently spoke at British Irish Chamber of Commerce Annual Conference where he discussed the economic outlook in a period of global change and CBI regulatory approach in the changing environment. Finally ,in CBI news Deputy Governor Mary-Elizabeth McMunn spoke yesterday to  the Compliance Institute Annual Conference. Click to read her remarks on regulation and supervision in an uncertain world. Cybersecurity The UK National Cyber Security Centre (NCSC) issued a statement regarding the cyber incident impacting Collins Aerospace urging all organisations to make use of NCSC's free advice and guidance for SMEs and large organisations.   The National Cyber Security Centre (NCSC) in Ireland issued an alert regarding multiple vulnerabilities in Cisco products. The NCSC strongly recommends installing updates for vulnerable systems with the highest priority, after thorough testing. Affected organisations should review the latest release notes and install the relevant updates from Cisco.   The European Union Agency for Cybersecurity (ENISA) published its latest Threat Landscape report providing an overview of the most prominent cybersecurity threats and trends the EU faces in the current cyber threat ecosystem.   ENISA published an article regarding the risks of phishing as part of the European Cybersecurity Month (ECSM) awareness campaign in October. Phishing is one of the primary methods used for initial intrusion in cyberattacks. Other news Minister of State for Trade Promotion, Artificial Intelligence and Digital Transformation Niamh Smith recently met with the Chair and Members of the Company Law Review Group. She welcomed the publication of the Company Law Review Group Annual Report (May 2025) . The CLRG current two-year work programme 2024-2026 may be of interest to readers. It includes some topical items such as court appointed inspectors by third parties and review of examinership law and law on directors’ duties. The Pensions Authority has published a consultation on investment rules for personal retirement savings accounts (PRSAs). The closing date for submissions to the consultation is 17 November 2025. A consultation paper and submission form are available on the Open consultation papers area of the Pensions Authority website. In other pensions news, the Pensions Authority recently hosted its ‘Supervision of Pensions 2025–2029’ conference. The event focused on key developments in the Irish pensions landscape, including scheme consolidation, the Authority’s continued implementation of forward-looking, risk-based supervision, and the growing impact of EU regulatory obligations. The importance of high-quality data in supporting these supervisory efforts was also a central theme. Presentation slides and related materials are now available on the Events page of the Authority’s website. Accountancy Europe has published its September 2025 Newsletter. The three European Supervisory Authorities (EBA, EIOPA and ESMA - ESAs) advise financial institutions to stay alert to stability risks in uncertain and volatile times. The Report highlights various risks and for financial institutions to manage and monitor such risks including geopolitical, uncertainty regarding global trade policies, and cyber risks.    The European Banking Authority (EBA) published its Work Programme outlining the key priorities and initiatives for 2026. The EBA also published a report on the efficiency of the regulatory and supervisory framework detailing 21 actions to enhance its efficiency in the context of the overall EU effort towards simplification and efficiency. The European Commission Newsletter October 2025 includes details of two major initiatives to advance the savings and investments union and deliver tangible benefits for all citizens across the EU. The initiates relate to financial literacy and Savings and investment accounts. Boosting financial literacy and investment opportunities - Finance The Digital Regulators Group (DRG) launched the 'Short Guide to Digital Regulation', aimed at clarifying common queries in the digital regulation space in Ireland.   For further technical information and updates please visit the Technical Hub on the Institute website.    This information is provided as resources and information only and nothing in the information purports to provide professional advice or definitive legal interpretation(s) or opinion(s) on the applicable legislation or legal or other matters referred to in the information. If the reader is in doubt on any matter in this complex area further legal or other advice must be obtained. While every reasonable care has been taken by the Institute in the preparation of the information we do not guarantee the accuracy or veracity of any resource, guidance, information or opinion, or the appropriateness, suitability or applicability of any practice or procedure contained therein. The Institute is not responsible for any errors or omissions or for the results obtained from the use of the resources or information contained herein.

The AASG have set out guidance on the steps that auditors, insolvency practitioners, external accountants and tax advisers should take when verifying beneficial owners to ensure consistency in approach across the entire sector.

The AASG Risk Outlook has been updated to reflect the UK's National Risk Assessment 2025. The Risk Outlook sets out the key AML risks and red-flag indicators relevant to the accountancy sector. The UK's National Risk Assessment was last updated in July 2025. It is recommended that firms consider the two documents and update their internal AML policies and procedures accordingly.

Chartered Accountants Ireland has responded to the FRC Future of Audit Supervision discussion paper, published in August 2025.  Chartered Accountants Ireland is broadly in favour of the FRC’s proposed approach, which it understands the FRC intends to apply in conjunction with the Recognised Supervisory Bodies (‘RSBs’), across the UK audit market. The Institute has noted the need for a supervision approach compatible with the requirements of the two jurisdictions in which it has supervisory obligations.  A key element of the Institute’s response is that the proposed supervisory approach must be sufficiently flexible to ensure proportionality and scalability appropriate to the size and complexity of all firms within the supervised population.  

3 in 4 organisations are already relying on Chartered Accountants to ensure data integrity against a backdrop of economic uncertainty, digital disruption, and eroding institutional confidence. This is according to new research which finds that Chartered Accountants rank among the world’s most trusted professions in an era of AI and misinformation.This research is the fifth iteration of the Trust Survey conducted by Edelman DXI for Chartered Accountants Worldwide (CAW), and it finds that the profession ranks third globally for trust, just behind doctors and engineers.Data accuracy and misinformation emerge as a key challenge in the current business environment and a growing concern for financial decision makers, with 3 in 4 respondents agreeing that these are key concerns for their business.  Trusted partners in times of transformation Today, finance and business leaders are increasingly turning to Chartered Accountants to help them navigate digital transformation challenges – including AI integration and the threat of misinformation – and provide strategic leadership in adapting to a fast-changing landscape. Commenting, Rosemary Keogh, CEO of Chartered Accountants Ireland said  “Since the first wave of the Trust Survey in 2018, the research has shown a strong demand for our members to act as trusted business leaders in times of uncertainty, providing guidance through global crises such as COVID-19, Brexit, economic shocks, and the cost-of-living crisis. The last time this research was conducted, 67% of business leaders reported that they turned to Chartered Accountants for their services or advice to navigate economic uncertainty and the cost-of-living crisis. Fast forward to 2025, and while the challenge has evolved, the reliance on Chartered Accountants for strategic guidance remains.  “In 2025, data accuracy and misinformation are key challenges in the business environment. 76% of respondents identify these as key concerns for their business, with Ireland and Northern Ireland recording some of the sharpest increases in concern among all the markets surveyed. We will continue to work to support our members across the island of Ireland in meeting this demand.”  Growth of Artificial Intelligence (AI) When it comes to AI, the research shows that Chartered Accountants will be key to helping navigate the challenges brought on by its adoption. While AI can process data, 83% agree that the profession provides the critical analysis for business decisions, and 74% say the profession play a crucial role in driving business AI investment.   The rise of the data guardian and ethical steward The Edelman DXI study reveals that three in four businesses now rely on Chartered Accountants to ensure data integrity: a +6-point rise since 2023. Their role is seen as fundamental to both financial stewardship and safeguarding ethical decision-making in an age of algorithmic risk. “At a time of eroding trust in institutions, Chartered Accountants are bucking the trend,” said Ainslie van Onselen, Chair of Chartered Accountants Worldwide.  “In a world shaped by AI, disinformation, and rising demand for accountability, our profession is standing tall – not just for technical excellence, but as guardians of trusted data and ethical leadership. Across CAW’s global network, member institutes are leading the way in equipping Chartered Accountants and students to meet emerging challenges and opportunities head-on. This is more than a vote of confidence – it’s a mandate for leadership,” said Ms van Onselen. “Chartered Accountants are being called to lead not only in financial stewardship, but in helping businesses navigate ethical and digital frontiers.” About the research The Trust Survey, conducted by Edelman DXI in partnership with Chartered Accountants Worldwide (CAW), has been running since 2018. The 2025 wave explores public and business trust in the accountancy profession during a period marked by global disruption and transformation. This year’s focus includes themes such as trust, AI adoption, misinformation, purpose-driven leadership, and talent. The Trust Survey offers a longitudinal view of how the Chartered Accountant designation is perceived by business leaders globally, particularly in relation to shifting expectations around technology, transparency, and ethics. The research had a sample size of 1,725 finance decision-makers (Director level and above) within businesses across 10 markets.

The Institute recently responded to the Northern Ireland (NI) Affairs Committee call for evidence ‘Economic growth in Northern Ireland: new and emerging sectors’ which closed earlier this month. As part of the UK Government’s growth mission, the Committee is examining plans to deliver economic growth in NI. The Institute’s view is that now is the time to pursue the implementation of a lower rate of corporation tax (CT) as a means of accelerating economic growth in the region. Our full response to this call for evidence will be published in due course in the Tax Representations section of our website. The Institute’s response follows on from the launch in June of a refreshed campaign to pursue a lower rate of CT. A key part of this is the Institute’s position paper ‘Enhancing Our Competitiveness’, which sets out how Northern Ireland’s economy is at a crucial inflection point. In the increasingly competitive global race to attract foreign direct investment (FDI), NI cannot rely solely on the benefits of dual-market access to attract inward investment. The region needs to broaden its FDI proposition to be competitive; a lower rate of CT would be a vital tool in helping to achieve this.

The Institute’s short eight question survey on Making Tax Digital (MTD) for Income Tax remains open for completion and will close on Friday 3 October. With just over six months to go to commencement, we are inviting tax agents and businesses to share their views on this seismic change in UK tax administration. Take the survey now.  HMRC is also holding further in-person MTD for Income Tax events as part of its work to support agents and taxpayers with their preparations. The events will provide an opportunity to discuss technical MTD queries directly with HMRC. There will also be an opportunity  to meet software providers and find out about their products. Events are taking place as follows between now and the end of 2025: Leeds: 28 October, Edinburgh: 11 November, and Belfast: 19 November. Spaces are limited and will be allocated on a first come first served basis to agents who have not previously attended an in-person HMRC event earlier in 2025. Should you wish to attend one of the above events, email mailboxmakingtaxdigital@hmrc.gov.uk to enquire about availability.

Sunday 5 October 2025 is the deadline to notify HMRC of a new source of income or gain for 2024/25 where there is a requirement to register for and file self-assessment returns. Those required to register for self-assessment includes anyone who: is self-employed or a sole trader in a business which commenced in 2024/25, is not self-employed but who had a new source of income or a gain in 2024/25, or became a partner in a partnership or any new partnership which commenced in business in 2024/25.  Failure to register by the deadline can result in HMRC charging a failure to notify penalty.  

In this week’s detailed miscellaneous update which you can read more about below, HMRC has sent an update on the UK’s Pillar Two legislation. In other news this week: The use of AI by a taxpayer to support their appeal has been criticised in the Upper Tribunal case HMRC v Marc Gunnarsson [2025] UKUT 00247 (TCC), Meanwhile, in another Tribunal case, Elsbury v The Information Commissioner [2025] UKFTT 00915 (GRC), the First Tier Tribunal ruled that HMRC must disclose if and when AI was used in cases involving research and development tax reliefs, The House of Commons Library has published a research briefing exploring the National Insurance system, and the debate around integrating National Insurance Contributions with Income Tax, and a briefing which examines the way that Parliament scrutinises the Government's proposals for taxation as set out in the annual Budget statement has also been published, and HMRC has confirmed in an issue briefing that it has recommenced the use of direct recovery of tax debt from bank accounts. Pillar Two update Draft legislation was published in the summer for  amendments to the Multinational Top-up Tax and Domestic Top-up Tax for inclusion in Finance Bill 2025/26. According to HMRC, these amendments aim to ensure that the UK’s Pillar Two legislation is up to date with administrative guidance. The amendments also take into account previous stakeholder comments. A guidance manual was also published on the UK’s Pillar Two rules. More information on the manual is available on the introduction page. HMRC invites any feedback from stakeholders on the manual.

In this week’s cross-border trading corner, the most recent Trader Support Service bulletin is available as is the latest Brexit and Beyond newsletter from the Northern Ireland Assembly EU Affairs team. HMRC has also sent a range of updates on the implementation of ICS2, the implementation date for which has been pushed back to 31 December 2025. The minutes and slides from the latest meeting of the Joint Customs Consultative Committee meeting, which the Institute is represented on, are also available. ICS2 update HMRC has sent an email update on the implementation of ICS2. ICS2 is an advance cargo information system designed to improve security in the international transportation of goods and involved supply chains. This confirms that ICS2 must be implemented in full by 31 December 2025 for movements by road/rail from Great Britain to Northern Ireland. Also available is ICS2 operational guidance.

The latest UK tax tidbits features the updated guidance across a wide range of areas. Rates and allowances: Inheritance Tax thresholds and interest rates, Inheritance Tax thresholds and interest rates, Annual Tax on Enveloped Dwellings: work out the value of your property, Annual Tax on Enveloped Dwellings: technical guidance, Annual Tax on Enveloped Dwellings, Check genuine HMRC contact that uses more than one communication method, List of approved professional organisations and learned societies (List 3), Income Tax personal allowances and reliefs, Tell HMRC about the end of a qualifying interest in possession because someone has died (IHT100b (death)), Regulations to update the UK’s automatic exchange of information agreements, Cryptoasset Reporting Framework, Negligible value claims and agreements, and Compliance checks: tax advantaged shares schemes — CC/FS1f.

We have compiled the latest updates to various VAT legislation, publications, briefs and guidance. Revenue and Customs Brief 2 (2025): the use of VAT grouping within the care industry, Health professionals and pharmaceutical products (VAT Notice 701/57), VAT Assessments and Error Correction, Road fuel scale charge tables for VAT, VAT road fuel scale charges from 1 May 2025 to 30 April 2026, Refunds of UK VAT for non-UK businesses (VAT Notice 723A), Instruct your bank or building society to pay your VAT by Direct Debit, Transfer a business as a going concern (VAT Notice 700/9), VAT payments on account, Register for VAT by post, Who should register for VAT (VAT Notice 700/1), Apply for an exception from registering for VAT, VAT groups and divisions, Charging and reclaiming VAT on goods and services related to private school fees, Local authorities and similar bodies (VAT Notice 749), Revenue and Customs Brief 3 (2025): VAT treatment of income received from charity fundraising events, Check when you can account for import VAT on your VAT Return, VAT and overseas goods sent to the UK and returned to the seller, Charging VAT when using an online marketplace to sell goods to customers in the UK, Charging VAT when goods are sold if you're an online marketplace operator, Charging VAT on goods sold direct to customers in the UK, Check where an online marketplace seller is established, and Charity fundraising events: exemptions.  

The Institute has issued a revised Publication Policy with effect from 1 October 2025.

Last Tuesday HMRC held its Annual Stakeholder Conference in London which the Institute was represented at by our UK Tax Manager, Leontia Doran. Under the conference theme ‘Navigating the future together: the Transformation Roadmap in Action’, attendees heard more from HMRC’s new CEO and First Permanent Secretary, JP Marks, about the ambitious plans in its Transformation Roadmap, which we previously provided an update on in July. Attendees also took part in a series of workshops, all of which were themed around the roadmap, and which provided the Institute with a key opportunity to directly engage with several senior leaders in HMRC. In his speech, JP Marks spoke frankly about the challenges which lie ahead but importantly also recognised the need for greater openness and transparency. He set out his vision for even greater collaboration between agents and HMRC in which he sees both groups working together as stewards and custodians of the UK tax ecosystem. It is clear that Mr Marks sees co-creation and collaboration as key to achieving HMRC’s goals in the future. The Institute recently wrote a letter of introduction to Mr Marks ahead of the conference setting out four key issues on our agenda. These are as follows: The Institute’s campaign for a lower rate of corporation tax in Northern Ireland, The tax burden and complexity arising from cross-border and remote/hybrid working, Tax simplification and the lack of progress in this area, and Making Tax Digital for Income Tax and the implementation of mandatory tax adviser registration from 1 April 2026. Building on previous annual conferences, the tone of the conference was ultimately collaborative and optimistic with a clear focus on innovation and partnership. Simplification of tax administration was another key theme, one which the Institute has been vocal about for some time. As HMRC strives to make administration largely digitalised and user-friendly, the protection of taxpayer data from cyber threats is also a top priority. Attendees heard in person from the new Exchequer Secretary to the Treasury (XST), Dan Tomlinson MP, who in his speech spoke about his role’s three key priorities, which are unchanged from those of his predecessor, and how these fit with the roadmap. The XST also shared updates on the expansion of HMRC’s compliance and debt management teams and his speech confirmed that he has taken up the role of Chair of the HMRC Board. As a reminder, the three key priorities of the XST are: Improving day-to-day performance and the overall taxpayer experience, Closing the tax gap, and Driving reform and modernisation of the UK’s tax and customs system.

Last week the Institute launched its latest survey on Making Tax Digital (MTD) for Income Tax. With just over six months to go to commencement, we  are inviting tax agents and businesses to take our short eight question survey. Take the survey now. We also remind readers that HMRC recently launched a new MTD for Income Tax direct support campaign for agents.

In the last week, the Institute has responded to three technical consultations on draft legislation launched on L-day in July. Two of the consultations focus specifically on the behaviour of tax agents and fall under HMRC’s ‘Raising standards in the tax advice market’ project: ‘Enhancing HMRC’s powers and sanctions against tax adviser facilitated non-compliance’ and ‘Modernising and Mandating Tax Adviser Registration’. In both submissions, the Institute is recommending that the proposals therein are delayed until at least 1 April 2027. The Institute also responded to the consultation ‘Making Tax Digital for Income Tax and penalty reform’. Enhancing HMRC’s powers and sanctions against tax adviser facilitated non-compliance This consultation contains draft legislation to enhance HMRC’s powers against agents who facilitate non-compliance and includes the following measures which are currently scheduled to commence from 1 April 2026: Issuing file access notices to advisers suspected of facilitating non-compliance (the behaviour involved is reduced from dishonest conduct to deliberate behaviour), Significantly increased penalties where there is evidence of such behaviour, and Publication of details of advisers subject to any HMRC agent sanction. The key recommendations in the Institute’s submission are that implementation should be paused to commence no earlier than 1 April 2027 given our concerns about the lack of effective safeguards in the draft legislation. A range of new safeguards have therefore been proposed, in addition to citing the need for HMRC to revisit the highly disproportionate penalties in the draft legislation (which are currently based on the potential lost revenue to the Exchequer of the agent’s client). Modernising and Mandating Tax Adviser Registration This consultation examines the proposal that from 1 April 2026, subject to a three month transition period, all tax advisers who interact with HMRC on behalf of their clients must register with HMRC and will not be registered unless they meet ‘minimum standards’. The requirement to register will not initially apply to those who already have an Agent Services Account. Anyone who is not registered will be unable to represent their clients. Registration applications will require the name and address of the tax adviser and each ‘senior manager’ (essentially those at the highest level in the business, though not just those working in tax), together with confirmation that the eligibility conditions are met. To be eligible, the tax adviser and each senior manager must meet certain conditions including, inter alia, that they have no outstanding tax returns or payments and that they meet certain standards expected of tax advisers (which will be set and published by HMRC). There are also powers for HMRC to monitor eligibility and compliance with the rules on an ongoing basis and hefty sanctions for agents who fail to comply. The Institute made the following recommendations in its submission: Given concerns that the proposals are a form of quasi-regulation of members of Professional Bodies who are already subject to heavy regulation, registration should be delayed to no earlier than 1 April 2027 to allow for more in depth consultation, The definition of ‘senior manager’ should only apply to those who provide tax services, and, Further detailed consultation is required on the proposed sanctions in the draft legislation, given the link to the potential for the agent’s details to be published under the consultation on ‘Enhancing HMRC’s powers and sanctions against tax adviser facilitated non-compliance’. Making Tax Digital (MTD) for Income Tax and penalty reform This consultation legislates for the changes announced in March at the Spring Statement. In our submission, the Institute’s key ask remains that the Government monitors readiness and progress and listens to and acts on feedback from stakeholders. Although our main objective is to drive the MTD readiness of our members ahead of time, the Institute will continue to listen to and share members concerns as April 2026 approaches, and where appropriate, seek mitigations from this policy change. The Institute is flagging early that there is a high likelihood there will need to be some form of ‘soft landing’ for taxpayers, given the significance of this once in a generation change. HMRC should consider this and announce any soft landing, in particular it’s format, application, and parameters, as early as possible. The Institute raised concerns across a range of other areas including the ability of HMRC to cancel/ reset penalties/penalty points, exemptions, the calendar quarters election, and the definition of digital records. We also took the opportunity to raise concerns about the extension of MTD to those with qualifying income less than £30,000 from April 2028.

In this week’s detailed miscellaneous updates which you can read more about below, HMRC has published the latest Agent Update and this week several webinars are taking place looking at internships and the National Minimum Wage. In other news this week: The House of Lords Finance Bill Sub-Committee has launched a call for evidence into the latest Finance Bill, which the Institute will be responding to, The latest schedule of HMRC Talking Points live and recorded webinars for tax agents are available for booking. Spaces are limited, so take a look now and save your place, and Check HMRC’s online services availability page for details of planned downtime and the online services affected. Latest Agent Update Agent Update: Issue 135 is available now. Get the latest guidance and information on: Guidelines for Compliance: help ensure documents filed with HMRC are correct and complete, Final reminder: UK businesses in climate change agreements to report annual tax subsidy awards to HMRC by‌‌‌ 30‌‌‌ September‌‌‌ 2025, Update on winter fuel payments recovery through the tax system, Opportunity for agents to join HMRC forums, and 'Tax Help for hustles' campaign: new resources for agents and their clients. Internships and the National Minimum Wage new live webinars Are your clients accidentally underpaying their workers? Join a HMRC webinar to find out more. Many employers think 'interns' can work for free, but in the majority of cases they are workers for National Minimum Wage (NMW) purposes. That’s exactly why so many businesses unintentionally fall short, even when they think they’re doing everything right. HMRC’s NMW team are delivering brand-new live webinars this week looking at internships and the NMW. You’ll learn: How to determine whether an intern is a worker for NMW purposes, Scenarios and common pitfalls that could be affecting your payroll right now, and What to do if an underpayment occurs. Plus, get your burning questions answered live. HMRC’s expert panel will be on hand to answer questions. Whether you’re an employer wanting to stay compliant or an accountant advising clients, these sessions will give you the confidence and knowledge to navigate NMW requirements with more certainty. Secure your spot now, because getting it right the first time is always better than fixing it later. Book onto a webinar now: Tuesday‌‌‌ 23‌‌‌ September‌‌‌ 2025, and Thursday‌‌‌ 25‌‌‌ September‌‌‌ 2025.  

In this week’s cross-border trading corner, we bring you the latest guidance updates and publications. The most recent Trader Support Service bulletin is also available as is the latest Brexit and Beyond newsletter from the Northern Ireland Assembly EU Affairs team. Lord Murphy of Torfaen has now completed his Independent Review of the Windsor Framework and the UK Government has sent an email setting out details of the new export health certificate which took effect last month. Independent Review of the Windsor Framework Earlier this month Lord Murphy of Torfaen published his report on the Independent Review of the Windsor Framework (WF). Despite the disparate views of local political parties on the WF, the report sets out that the parties have put forward important and practical suggestions on how improvements to its operation could be made.  The key elements of the report can be summarised as follows: Small and medium-sized companies are struggling with the new rules and processes, Some gaps remain in how Northern Ireland can meaningfully influence EU laws that apply to it, and The recent sanitary and phytosanitary agreement between the UK and EU is a significant advancement which promises practical improvements to NI-GB trade. Miscellaneous guidance updates and publications This week’s miscellaneous guidance updates and publications are as follows: Using a special procedure without a prior authorisation, Apply to pay less duty on goods you import for specific uses, Sailing a pleasure craft into the UK temporarily for private use, External temporary storage facilities codes for Data Element 5/23 of the Customs Declaration Service, Appendix 2 C21e: Data Element 1/11: Additional Procedure Codes, Appendix 2: DE 1/11: Additional Procedure Codes of the Customs Declaration Service (CDS), and Withdraw funds from your Customs Declaration Service cash account.