Revenue is holding further online webinars this afternoon at 4pm and on Thursday 30 November through Eventbrite which aim to give an overview of the Enhanced Reporting Requirements (ERR) for certain expenses and benefits paid to employees or directors which are scheduled to commence from 1 January 2024. A recording of the Enhanced Reporting Requirements webinar is also available for viewing on Revenue’s website. If you would like to attend one of these webinars: Go to www.revenue.ie/err; Select the link to Revenue’s ‘Eventbrite webpage’; and Follow the on-screen instructions to book your ticket.

In this week’s EU exit corner, we bring you the latest guidance updates and publications relevant to EU exit. The latest Trader Support Service bulletin is also available. The Secretary of State for Northern Ireland recently gave evidence on the Windsor Framework to the House of Lords Sub-Committee and the House of Commons Northern Ireland Affairs Committee. Miscellaneous updated guidance etc.   The following updated guidance, and publications relevant to EU exit are available:-  Appendix 2 C21e: Data Element 1/11: Additional Procedure Codes;  Notices made under the Customs (Northern Ireland) (EU Exit) Regulations 2020;  List of customs training providers;  Reference document for authorised use: eligible goods and authorised uses;  Reference Documents for The Customs (Tariff Quotas) (EU Exit) Regulations 2020;  Reference Documents for The Customs Tariff (Preferential Trade Arrangements) (EU Exit) Regulations 2020;  Reference Document for The Customs Tariff (Establishment) (EU Exit) Regulations 2020; and  Reference Documents for The Customs Tariff (Suspension of Import Duty Rates) (EU Exit) Regulations 2020. 

In Irish news, Revenue publishes updated guidance on the tax treatment of GMS payments to GPs and further guidance on the enhanced reporting requirements for employers. In UK news, the Institute was represented at various meetings of the Domestic Advisory Group which took place in London and Edinburgh last week and the Institute’s submission to the House of Lords inquiry into draft Finance Bill 2023/24 has been accepted by the Committee as evidence. In International news, Ireland has joined several other jurisdictions in committing to the automatic exchange of crypto information between tax authorities.  Ireland Following the Minister for Finance’s proposal to provide that General Medical Service (GMS) payments can be treated as partnership income where such services are provided in the conduct of a partnership profession with other individuals, Revenue has updated its guidance on the tax treatment of GMS payments to medical practitioners. Revenue has published an updated Tax and Duty Manual which provides guidance regarding returns by employers in relation to reportable benefits. UK Read our update on meetings which took place last week of the UK’s Domestic Advisory Group. The Institute’s submission to the House of Lords inquiry into draft Finance Bill 2023/24 has now been accepted by the Committee as evidence. International Ireland commits to commencing Crypto Asset Reporting Framework exchanges by 2027. Keep up to date with all the latest Irish, UK, and international tax developments through Chartered Accountants Ireland’s Tax Newsletter. Subscribe to the Tax News by updating your preferences in MyAccount. You can also read this week’s EU exit corner here.          

The Philippines has joined the OECD/G20 Inclusive Framework on BEPS and has committed to addressing the tax challenges arising from the digitalisation of the economy by participating in the Two-Pillar Solution to ensure that multinational enterprises pay a fair share of tax in the jurisdictions in which they operate.  

Last week, the Global Forum on Transparency and Exchange of Information for Tax purposes published new peer review reports on transparency and exchange of information on request (EOIR) for six members; Latvia, Mauritania, Pakistan, Poland, Serbia and Thailand. Supplementary reports reflecting the progress made by Botswana and Dominica in implementing the EOIR standard were also published. Over half of the members of the Global Forum have now been fully reviewed in the second round of EOIR peer reviews. 88 percent of the jurisdictions received satisfactory overall ratings, with 10 percent marked as partially compliant and 2 percent as non-compliant.  Key findings from the latest round of reviews can be found here.

Last week, Ireland joined its international partners in welcoming the new international standard, developed by the OECD, on the automatic exchange of crypto information between tax authorities. The Crypto Asset Reporting Framework is being delivered within the EU through an amendment to the Directive on Administrative Co-Operation.   A publication by the Irish government states that “Ireland is already a recognised global leader in exchange of information and today marks an important staging post which reinforces Ireland's commitment to best international practice in tax transparency.”  Read the joint statement.  

Revenue has updated the Help to Buy – Summary Guide for Applicants to reflect changes to the Help-to-Buy (HTB) scheme introduced in Budget 2024 to enhance its compatibility with the Local Authority Affordable Purchase (LAAP) scheme. The changes take effect from 11 October 2023 and apply to HTB applicants availing of the LAAP scheme, who have signed a purchase contract on or after 11 October 2023. The updated guide includes the addition of new screenshots to demonstrate the steps involved in making a HTB claim.

Last week the Institute was represented at meetings in London of the UK Domestic Advisory Group (“DAG”), and at the annual joint UK and EU DAG meeting. After the joint meeting with the EU, a statement was issued by the UK and EU DAG’s setting out the matters discussed in more detail. On day two, representatives from both DAGs and from civil society were present at the annual Civil Society forum which provided an opportunity to feedback to representatives of the UK Government and the European Commission on key issues and concerns in implementing the Trade and Co-operation agreement.  The UK DAG is conducting its work via the following sub-groups each of which aims to publish on GOV.UK an update on key issues being discussed in the near future:-  Business and Labour Mobility;  Trade and Customs;  Regulatory Cooperation and Level Playing Field;  Energy and Climate Change; and  Nations and Regions.  Chartered Accountants Ireland participates in the Nations and Regions sub-group and was in attendance at the most recent meeting of this sub-group which took place in Edinburgh on Friday 10 November. During this meeting, attendees heard from Dimitris Dimitriadis, President of the European Economic and Social Committee’s External Relations Section as well as Irene Oldfather Vice-Chair of the UK DAG and Chair of the Sottish Advisory Forum on Europe. Broadly, concerns about youth mobility, environmental targets and the need for clearer guidance on business and economic issues were heard.    During the UK DAG meeting, attendees heard from Professor Anand Menon (UK in a Changing Europe) about the 2026 TCA review process and what that might look like given the potential for a change in UK Government after the next election. Sir Oliver Heald, Leader of the Delegation and Co-Chair of the UK-EU Parliamentary Partnership Assembly, was also in attendance and listened to various concerns from the UK DAG’s sub-groups.  Last week’s meetings in London took place in the grand surroundings of Lancaster House (see photo) which has been used in previous series of Netflix’s The Crown and which also features in the final series starting later this week. The UK Government’s wine cellars are also located at Lancaster House. 

With effect from 1 January 2024, Council Directive (EU) 2021/514 (DAC7) obliges certain platform operators to collect and automatically report information on certain sellers using their platform to earn consideration. As previously reported, platform operators must register with Revenue for the purpose of DAC7 by 30 November 2023. Revenue has published a new Tax and Duty Manual which provides general guidance on how to register for the reporting obligations in Ireland.

The Parliamentary Budget Office (PBO) has published a briefing paper on Budgetary Issues in the Finance (No.2) Bill 2023. The paper provides an analysis of measures contained in the Finance Bill (No.2) 2023 that the PBO believes could have a budgetary impact, and includes an overview of these measures, including information on possible cost, policy background and policy impact. Where possible, the PBO has endeavoured to provide information on the cost or yield of a measure or a policy change as estimated by the Department of Finance. Amendments to the Finance Bill arising out of last week’s Committee Stage are due for consideration at Report Stage the week commencing Monday 20 November. The briefing paper is based on the Bill as published and does not account for forthcoming amendments.

In early October, the Institute responded to the House of Lords Finance Bill Sub-Committee’s inquiry into draft Finance Bill 2023/24. As the Committee has now accepted this as evidence, the submission is available to read in the Tax Representations section of our website. The Institute’s submission was focused on two specific areas of concern in the draft Finance Bill:- The proposal to restrict the geographical scope of agricultural property relief and woodlands relief for inheritance tax to UK land and property only from 6 April 2024 – in August the Institute wrote to the Financial Secretary to the Treasury on the same issue; and  The proposal to potentially merge the UK’s SME and “large” company R&D tax relief regimes from 1 April 2024.    You can read the Institute’s recommendations in relation to both of these areas in the submission. 

Revenue has published an updated Tax and Duty Manual which provides guidance regarding returns by employers in relation to reportable benefits.   As previously reported, from 1 January 2024, employers will be required to report to Revenue the payment of travel and subsistence, the remote working allowance, and benefits provided under the small benefit exemption at the time or before the payment is made.  While the Institute notes the publication of guidance for employers regarding Enhanced Reporting Requirements, it remains concerned with the short timeframe given to employers to implement the measures and other matters set out in a letter to the Minister for Finance last month.