In Irish news, we bring you an update from last week’s meeting of Main TALC and the Minister for Housing, Local Government and Heritage opens a public consultation to review the private residential rental sector. In UK news, there’s still time to tell us your views on some consultations and HMRC has published Pillar Two draft guidance for comment. In International news, the implementation of the VAT One Stop Shop is proving successful.  Ireland The Institute represented members at last week’s meeting of Main Tax Administration Liaison Committee (TALC). The Minister for Housing, Local Government and Heritage opens a public consultation to review the private residential rental sector. UK There’s still time to tell us your views on some consultations. HMRC has published Pillar Two draft guidance for comment. International The implementation of the VAT One Stop Shop (OSS) is proving successful. 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.  

Do you complete expenses and benefits returns? Or do you complete online filing for employment related securities? If so, you have an important role to play in ensuring returns are submitted by the 2022/23 filing deadline of Thursday 6 July 2023, and payments are made on time. By way of reminder, from 6 April 2023, forms P11D and P11D(b) can only be submitted online by employers (except for the digitally excluded). Amendments can also only be made online from 6 April 2023. Also, since 6 April 2023, a new online service is available for employers and their agents to apply for a PAYE Settlement Agreement.  Note that ICAEW has shared how filing P11Ds online can work when a different agent is authorised for PAYE and a tip on registering for PAYE to file P11Ds online. Here’s a reminder of the key deadlines this month:- 6 July 2023 – deadline for submitting all 2022/23 P11D(b) and P11D forms, and the employee must receive their copy of the P11D; 6 July 2023 – deadline for online reporting of the 2022/23 annual return in respect of employment related securities; 19 July 2023 – deadline for non-electronic payment of Class 1A National Insurance Contributions (NICs) for 2022/23; and 22 July 2023 – deadline for electronic payment of Class 1A NICs for 2022/23. To save on administration, don’t forget to consider PAYE Settlement Agreements, where relevant. For 2022/23 these must be agreed by Wednesday 5 July 2023, with payments due by 22 October 2023 (19 October 2023 if paying by post). HMRC is also reminding employers of the expenses and benefits position of COVID-19 position of tests and equipment.

In this week’s EU exit corner, we bring you the latest guidance updates, and publications relevant to EU exit. We also update you on the recent opening of the reimbursement scheme, and bring you news of current consultations in the area of customs. The latest Trader Support Service and Borders Weekly Stakeholder Bulletin are also available. And finally, if you account for import VAT on your VAT Return under postponed accounting for VAT, you must access the Customs Declaration Service to get a postponed import VAT statement online Reimbursement scheme now open Last week on 30 June, the long awaited duty reimbursement scheme launched which means traders can now reclaim duty on goods moving into Northern Ireland which do not subsequently move into the EU. Claims are possible back to 1 January 2021. HMRC recently responded to the Institute to say that interest will not be paid on refunds received by traders, however we have asked HMRC to provide more detail on this, and will keep you updated. The Institute lobbied on the need to open the scheme for several years. The reimbursement scheme allows for reimbursement of tariffs paid on goods classed as being at risk which later become/became not at risk under the original Protocol and on goods which move in the new red lane which should originally have been green lane movements under the Windsor Framework. This includes the following scenarios:- Final sale of goods takes place in NI; Goods are consumed in NI; Goods are destroyed in NI; Goods are moved back to GB from NI; and Goods exported to RoW (Rest of World). In order to claim, the trader must gather evidence to support the claim and submit this to HMRC where a caseworker will consider the application. The following publications are also available which are relevant to the scheme:- Declaring goods you bring into Northern Ireland 'not at risk’ of moving to the EU; Trading and moving goods in and out of Northern Ireland; Notices made under the Customs (Northern Ireland: Repayment and Remission) (EU Exit) (Amendment) Regulations 2023; and Apply to claim a repayment or remission of import duty on ‘at risk’ goods brought into Northern Ireland. Consultations Four consultations are currently open which are relevant to customs. HMRC has also published a new customs and UK border consultations tracker. Customs treatment of post and parcel exports – closes 20 July 2023 This consultation seeks to understand who makes use of the Export Memorandum of Understanding and Extra Territorial Offices of Exchange, and why, before looking at each procedure individually to establish ways in which the UK’s post and parcels export regime could be improved. The objective is for HMRC to establish how the customs treatment of low-value post and parcel exports can be developed to enable the smooth flow of these goods out of the UK, while ensuring appropriate due diligence is applied to help protect the countries and territories exported to, while complying with international obligations. Introducing a voluntary standard for customs intermediaries – closes 30 August 2023 This consultation seeks views on the proposal to introduce a voluntary standard for customs intermediaries, with the aim of improving the quality of service across the sector. It follows on from the 2022 Call for Evidence: An Independent Customs Regime and the measures complement wider transformational changes at the border that the government has committed to delivering as set out in the 2025 Border Strategy. Views are sought on: the objectives of a voluntary standard, and what format it could take; how a voluntary standard could be designed and implemented; the potential content of a voluntary standard; and training and educational offerings for the intermediary sector, which would support the introduction of a voluntary standard . The future of customs declarations – closes 8 September 2023 This consultation seeks views on potential simplifications to customs declarations, and the use of technology to facilitate declarations and other customs processes. HMRC are holding webinars on 5 July 2023 and 13 July 2023 where policy officials will explain the consultation questions and how to respond. If you would like to attend one of these webinars, please contact HMRC by emailing externalstakeholders.customs@hmrc.gov.uk by 3 July and 11 July respectively. Bringing goods into the UK temporarily – closes 22 September 2023 This call for evidence seeks views from individuals, businesses and intermediaries on how the Temporary Admission (“TA”) procedure is working and, in particular, their experience of using TA in the UK. The government would like to gather and consider a wide range of views on how the TA procedure could be simplified for users. The government also welcomes views on potential improvements to the UK’s TA procedure to make it more accessible. TA is used by a broad range of sectors, including the creative, cultural and sports sectors, the leisure industry, museums galleries and auction houses and a broad range of businesses of all sizes. This call for evidence is likely to be of particular interest to traders, customs agents, freight forwarders and hauliers, as well as business representative organisations, trade bodies and customs consultancies that help traders with their customs affairs. Miscellaneous updated guidance etc. Specialised Committee on the Implementation of the Windsor Framework: joint statement, 23 June 2023; Customs, VAT and excise UK transition legislation from 1 January 2021; List of customs training providers; Customs declaration completion requirements for Great Britain; CDS Declaration Completion Instructions for Imports; Data Element 2/3 Documents and Other Reference Codes (National) of the Customs Declaration Service (CDS); Search the register of customs agents and fast parcel operators; Draft notices made under the Customs (Northern Ireland: Repayment and Remission) (EU Exit) (Amendment) Regulations 2023; The Customs (Northern Ireland: Repayment and Remission) (EU Exit) (Amendment) Regulations 2023; and Check simplified procedure value rates for fresh fruit and vegetables.

The Institute is seeking feedback from members on two formal consultations, and we are also considering writing to the Government in relation to the Spring Budget announcement that from 2024 agricultural property relief for Inheritance Tax will be restricted, and will only be available on UK farmland and farm buildings. We are particularly concerned of the impact this will have in Northern Ireland given our geographic proximity to the Republic of Ireland. Get in touch by Monday 10 July with your comments and observations on this, and the two formal consultations below. The Tax Administration Framework Review: information and data – closes 20 July 2023 This seeks views on how HMRC's information and data-gathering powers could be updated to enable digitalisation of services, improve compliance and reduce administrative burdens. Section 6 of the consultation sets out the specific consultation questions. The Tax Administration Framework Review: Creating innovative change through new legislative pilots – closes 20 July 2023 This seeks views on a proposed legislative approach to piloting. HMRC is exploring how it can develop and improve testing prior to wider roll out of change. Section 6 of the consultation sets out the suggested discussion areas. Currently, testing of changes or collaboration with external stakeholders can be limited by legislative inflexibility. This explores the opportunities and challenges of a possible sandbox testing approach, and what safeguards might be necessary and proportionate.

The Institute, under the auspices of the CCAB-I, made representations on behalf of members at last week’s meetings of Main TALC. Among the issues discussed, Revenue provided an update of its position regarding the enhanced reporting requirements for employers. Revenue committed to the formation of a sub-group to facilitate practitioner representation. CCAB-I expressed concerns over the additional time and cost employers will have to absorb to comply with the new reporting system. We will keep members updated on developments.

The Minister for Housing, Local Government and Heritage, Darragh O’Brien TD, has initiated a public consultation to enable a review of the private residential rental sector.  It is intended that the review will draw conclusions on how the housing system can be enhanced to provide an efficient, affordable, viable, safe and secure framework for both landlords and tenants and that government will act on the review’s recommendations. The review will take into account the significant regulatory changes over the past several years in the residential market. The consultation is intended to allow targeted engagement with various stakeholders and the public in general. The Minister for Housing, Local Government and Heritage, Darragh O’Brien TD, said: “As a Government we are completely focussed on increasing the supply of all kinds of safe and secure housing, including rental, and the need to protect renters while retaining landlords in the system, so this review will be another step forward in delivering this aim. A central element of the review is the public consultation. We are encouraging the public to offer their views, experiences and perspectives on the private rental sector in Ireland”. The consultation period will run from Monday, 26 June to Wednesday, 26 July 2023. The Institute, under the auspices of the CCAB-I will respond to the consultation and members wishing to provide input can email us.

The Minister for Finance, Michael McGrath TD, has signed the commencement order which brings the new non-resident landlord withholding tax (NLWT) system from 1 July 2023. As previously reported, the system provides for tenants and collection agents of non-resident landlords to deduct withholding tax at 20 percent and remit it to Revenue, along with a rental notification, using the NLWT system. This amendment will relieve the collection agent from being chargeable to tax in Ireland for such income of the non-resident landlord, where the landlord chooses this option. Cróna Clohisey, Tax and Public Policy Lead with the Institute spoke about the new system on RTE Radio One Morning Ireland and RTE News at One. Comments also appeared in print.

Revenue has updated the Tax and Duty Manual on the Liquidation of Companies and other Company Law issues. Amendments to the manual include: Information on the Small Companies Administrative Process (SCARP). Replacing Office of the Director of Corporate Enforcement with Corporate Enforcement Authority (CEA) throughout the manual. Removal of the reference to The Companies (Miscellaneous Provisions) (Covid-19) Act 2020 extension to 31st December 2021.

Revenue has updated its Tax and Duty Manual, the Employers’ Guide to PAYE (applicable up to 31 December 2018) to remind taxpayers that the forms P30, P45, P46 and P35 (end of year return) have been abolished and replaced by new procedures with effect from 1 January 2019. Accordingly, these forms are not available for filing in ROS – online or offline. 

Revenue has announced that the filing deadline for DAC2/CRS and FATCA for the 2022 filing period has been deferred from 30 June 2023 to 14 July 2023 due to filing issues in ROS. Revenue advises that taxpayers can continue to file their returns in ROS and will receive an on-screen acceptance message. However, where taxpayers experience a delay in receiving confirmation to their Revenue Record, they are asked not to re-file unless they have not received the confirmation by 7 July. Revenue’s customer service team is available to answer queries: Via MyEnquiries, selecting AEOI (Automatic Exchange of Information) and DAC2- CRS, or By telephone at +353 42 9353337.

Revenue has issued a warning of a scam SMS (text message) purporting to come from Revenue seeking personal information from taxpayers in connection with a tax refund or seeking debit/credit card details. The Revenue Commissioners never send emails or text messages requiring customers to send personal information via email, text or pop-up windows. Further information is available here.

Last week, we posted an update on the new R&D tax credit filing requirements, including the specified return. To the extent it was not clear how the new forms will apply, it was confirmed at the recent R&D Discussion Group that the new Specified Return will need to be completed and returned via MyEnquiries along with the Form CT1 2022 where: An acceleration of the second and third instalment is claimed in accordance with section 766(4D) or 766A(4C) TCA 1997 A R&D tax credit is claimed in accordance with section 766C TCA 1997 A R&D tax credit is claimed in accordance with 766D TCA 1997. As mentioned last week, the Form CT1 2023 is expected by 10 July and will include sections reflecting the updates to the R&D tax credit.