In February, Revenue confirmed that Phase One of Ireland’s VAT Modernisation programme will apply to “large corporates” and clarified how this category is defined for the purposes of the programme. Revenue has now commenced issuing letters, via ROS only, to VAT registered large corporates and their VAT agents, advising the businesses of the criteria for inclusion under Phase One. To avoid overloading agent’s ROS inboxes, agents were issued with a tailored notice that listed their impacted clients and provided with a template of the letter that their clients received. We previously provided readers with an update on the rollout which you can read here. Businesses or agents with any questions, should email VATmodernisation@revenue.ie. As some businesses do not actively or regularly check their ROS inbox, or may have a lapsed ROS certificate, Revenue is encouraging agents to bring the letter to the attention of their clients, given its importance.

The OECD has published its annual report of taxes paid on wages in OECD countries. The report indicates that in 2025, the effective tax rates on wages increased across OECD countries and notes that wages rose in real terms in 35 out of 38 OECD countries during the year.

The OECD has published a practical guide to Investment Tax Incentives which considers the design and implementation at each stage of the lifecycle of a tax incentive policy.

Yesterday, a delegation from the Institute met with Minister for Finance, John O’Dowd MLA to discuss barriers to the all-island labour market resulting from the substantial tax complexity facing frontier and cross-border workers. Earlier this year, the Institute wrote to Minister O’Dowd requesting this meeting to discuss solutions for those employers and workers affected by the byzantine tax compliance requirements. We had an engaging and productive discussion on the recommendations in our initial letter and we will be continuing to engage with Minister O’Dowd’s team as this important work progresses. We also recently met with officials in the Department of Finance in Dublin to discuss the matter as we had written a similar letter to Tánaiste Harris with his team noting the Tánaiste’s support for the work. We had a similarly engaging and productive meeting with the team in Dublin and we will be continuing to engage with them as they progress this work on their end. Readers may be aware of the joint statement from Prime Minister Sir Keir Starmer and An Taoiseach Micheál Martin following the UK-Ireland Summit in Cork earlier this year. In that statement, the leaders noted the following: “We welcome agreement to engage on reaching a decision in principle this year on a bilateral Ireland-UK approach to address concerns arising from hybrid cross-border working and to consider other aspects of the UK-Ireland Double Taxation Convention which may require updating.” When drafting our recommendations, we naturally had the possibility of a bilateral agreement as the potential silver bullet that could significantly reduce and even eradicate the substantial complexity currently faced by employers of hybrid cross-border workers. It is particularly encouraging that Westminster will be engaging directly with officials in Dublin on the matter. Naturally, this work will require the engagement and input from Ministers and officials in Stormont. As such, the overall work to address the long-standing complexities may also open opportunities for the leaders in Dublin, Belfast and London to consider measures to support the economic development of Northern Ireland even beyond the labour market.

In Irish news, as five towns are newly designated under the Living City Initiative, Revenue has published new and updated guidance relating to the Initiative and Government has announced a new package of fuel supports for the farming, fishery and transport sectors. In UK news this week, we remind readers that time to pay arrangement may be agreed with HMRC to spread tax liabilities, and the annual Administrative Burdens Advisory Board survey on HMRC performance is now open for completion. In International news, the Commission has published a study on wealth taxation. Ireland 1. Read about the five towns recently designated under the Living City Initiative and the related guidance published by Revenue. 2. The Government announced a new package of supports last week to assist sectors impacted by fuel increases. UK 3. Mindful of rising costs, taxpayers and business may be able to avail of time to pay arrangements to spread tax liabilities over monthly instalments. 4. The 2026 annual Administrative Burdens Advisory Board survey on HMRC performance is open for responses until 29 April 2026.   International 5.The European Commission recently published a study on wealth taxes providing greater insight into their design, interrelation and impacts. 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 Cross-border developments and trading corner. This week’s edition sets out details of an email about changes to the process for returning consignments rejected at EU Border Control Posts which came into effect earlier this week on Monday 20 April 2026.

At a time when many businesses and taxpayers are experiencing added cost pressures due to rising costs as a result of the ongoing war in the Middle East, we remind readers that time to pay may be available to spread tax liabilities. Although HMRC has not made any official announcement about any specific measures to support businesses and taxpayers as a result of the ongoing crisis, time to pay is available as normal and is designed to support them in scenarios like this. Members can also contact the Institute to discuss any specific concerns they may have in relation to this. By way of reminder, time to pay enables a taxpayer or business experiencing temporary difficulties in paying tax liabilities to reach an agreement to pay these in monthly instalments. A time to pay arrangement can be automatically set up online for self-assessment tax debts of £30,000 or less. This mechanism was introduced several years ago and was a recommendation of Chartered Accountants Ireland during the pandemic.  

Revenue has updated its guidance on the Securitisation Regulation: Notification of Investment to include a link to the current EU list of non-cooperative jurisdictions for tax purposes effective from 6 March 2026. The list of jurisdictions remains unchanged since 28 February 2025.

The annual Administrative Burdens Advisory Board (ABAB) 2026 survey ‘Tell ABAB’ is now open for completion. The survey takes roughly 15 minutes to complete and will remain open for responses until Wednesday 29 April 2026. The survey is an opportunity to provide ABAB with insights on the tax system which they can then use to support taxpayers, agents, and businesses. Its results are expected to be published on GOV.UK in Autumn 2026 in the annual ‘Tell ABAB’ report. Previous reports are available on the ABAB website. The survey provides crucial insights on the big issues faced by small businesses, including those who identify as tax agents in the tax system. The ABAB says that it is passionate about listening to and understanding the needs of the small business community. Board members come from a range of businesses and professions; ultimately their goal is to make the tax system quicker and simpler for small businesses. The Board therefore challenges HMRC on its performance, and aims to provide robust scrutiny against key initiatives, such as Making Tax Digital. The annual ABAB report, which is sent directly to Treasury ministers, reviews HMRC’s progress against the ABAB’s priorities. If you have any questions about the 2026 survey, email advisoryboard.adminburden@hmrc.gov.uk.

The Economic and Social Research Institute (ESRI) recently published its Spring 2026 Quarterly Economic Commentary, highlighting a higher inflation outlook, driven mainly by the potential effects of the conflict in the Middle East. The ERSI notes that the uncertainty the conflict has created has already weakened the global outlook and increased the risk of renewed, sustained inflationary pressures in Ireland and internationally. On a more positive note, the report outlines that the economy performed strongly in 2025, with exports rising by 9.6 percent, even though growth slowed as the year went on. Modified domestic demand grew by 4.9 percent over the year. Despite the inflationary pressures linked to the Iran crisis, the ESRI expects the domestic economy to continue expanding in 2026 and 2027, with forecasted MDD growth of 2.1 percent in 2026 and 2.8 percent in 2027. While recent international events are shaping short‑term economic considerations, the ESRI cautions that there are still important longer‑term risks to Ireland’s economic success. These include the highly concentrated nature of Ireland’s tax revenues, the imbalance in productivity and performance between foreign-owned and domestic firms, ongoing budgetary overruns and the continued challenge of addressing infrastructure deficits, especially regarding housing. Towards the end of 2025, labour‑market data suggested some softening, with one area of concern being an apparent rise in youth unemployment.

HMRC has recently published for technical consultation draft secondary legislation for the carbon border adjustment mechanism (CBAM). This includes some of the CBAM administrative requirements, including those on embodied emissions and the monitoring and verification of emissions data. The consultation is open for responses until 21 May 2026. By way of reminder, the UK CBAM is a new tax which aims to ensure that highly traded carbon intensive goods imported into the UK face a comparable carbon price to that paid by manufacturers producing the same goods in the UK. Currently, UK manufacturers are subject to carbon pricing for direct emissions under the UK Emissions Trading Scheme.  The UK’s CBAM is due to commence from 1 January 2027 and will apply to goods from the following industrial sectors: aluminium,  cement,  fertiliser,  hydrogen, and  iron and steel.  

Revenue has updated its guidance on Revised Entrepreneur Relief to reflect the Finance Act 2025 amendment increasing the lifetime limit on capital gains qualifying for the relief to €1.5 million with effect from 1 January 2026. The content of the guidance has also been restructured with additional examples provided on the relief.

In this week’s detailed miscellaneous updates which you can read more about below, the April 2026 Employer Bulletin and the most recent Agent Update have both been published by HMRC. Other updates to be aware of this week are as follows: HMRC has advised that new VAT registrations may not appear on HMRC’s Check a UK VAT number online service from 9am today, Monday 20 April, until 5pm Friday 24 April 2026, From 1 April 2026, the Valuation Office Agency (VOA) ceased to exist independently and is now providing its services as part of HMRC. A Press Release has been published explaining this which also advises that the VOA’s customer helpline and online contact form continue to be available as normal, Until 15 June 2026, the Scottish Government is consulting on proposals relating to its communications to taxpayers, HMRC recently published a new online tool Tell HMRC about loans that participators have repaid in full. The tool can be used by company officers, participators in close companies and authorised agents, A HMRC webinar being held on 23 April 2026 which will examine statutory maternity and paternity pay is still open for registrations, The deadline for submitting and paying the annual tax on enveloped dwellings for the return period 1 April 2026 to 31 March 2027 is 30 April 2026, 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 finally, Check HMRC’s online services availability page for details of planned downtime and the online services affected. April 2026 Employer Bulletin The April edition of the Employer Bulletin brings you all the latest HMRC updates and guidance to support employers, payroll professionals, and agents. Included in this edition are important updates on: key dates and processes for reporting benefits in kind, Real Time Information submission problems: incorrect handling of payroll ID, the removal from April 2026 of employee tax relief for non-reimbursed homeworking expenses, the official rate of interest from 6‌‌‌ April 2026, and Statutory Sick Pay changes from April 2026: what employer’s need to know. Agent Update 142 Agent Update: Issue 142 is available now. Get the latest guidance and information on the following in this edition: Making Tax Digital for Income Tax, Corporation Tax late filing penalties – temporary delay to notices, and the tax rules for non-UK domiciled individuals have changed.