Revenue has updated the Tax and Duty Manual which details Revenue Legislative Services’ guide to interpreting legislation to provide further clarity with regard to the decision in Elliss v BP [1987] 59 TC 474, and its effect on how the term "shall" is to be interpreted in legislation (section 7).  

Revenue has reported that some agents have reached out for support and to acknowledge that their Internal Agent IT security has been compromised. Revenue advises practitioners to review their IT security processes/protocols and remote access for potential risks. Revenue has confirmed that the security of ROS has not been compromised. 

Although no changes will be made to a range of key business taxes as confirmed in the Corporate Tax Roadmap 2024, from 6 April 2025 the rate of employer National Insurance Contributions (NICs) will increase for all employers, and its 0 percent threshold will reduce. This is targeted to raise £26 billion, though it remains unclear if this takes into account the related tax effects of increasing employer NICs such as reduced employee NICs, income tax, and corporation tax. Transfer pricing is to be reformed, and the UK’s carbon border adjustment mechanism (CBAM) will be introduced from 1 January 2027 as planned. A range of enhancements were announced to the suite of the UK’s creative sector reliefs and the Pillar Two Undertaxed Profits Rule (UTPR), the final part of the G20-OECD Global Minimum Tax agreed by over 135 countries and jurisdictions, will take effect for accounting periods beginning on or after 31 December 2024. Corporate Tax Roadmap 2024 The promised Corporate Tax Roadmap 2024 has been published. This reinforces the previous commitment to cap the Corporation Tax Rate at 25 percent and maintain the Small Profits Rate at 19 percent. Marginal relief will also be maintained at its current rate and there will be no changes to Corporation Tax thresholds. Other key business taxes which will remain untouched are Full Expensing, the Annual Investment Allowance, the rates of R&D tax relief, and the Patent Box regime. In the Institute’s Pre-Budget Submission, we raised the importance of certainty and stability for the UK’s R&D tax relief regime, given its instability and the myriad of changes in recent years. The commitment to preserving R&D tax relief is therefore welcome. Employer NICs The rate of employer NICs will increase from 13.8 percent to 15 percent from 6 April 2025 and the secondary threshold will reduce to £5,000 (previously £9,100) from the same date. The secondary threshold is the level at which an employer is liable to pay employer NICs on each employee’s salary. This will remain at £5,000 until 6 April 2028 and will increase in line with CPI thereafter. To support small businesses with these changes, from 6 April 2025 the employment allowance will increase from £5,000 to £10,500 and the £100,000 eligibility threshold will be removed thus expanding this to all eligible employers. The current employment allowance gives eligible employers with employer NICs bills of £100,000 or less a discount of £5,000 on their employer NICs bill. Employer NICs relief for veterans The employer NICs relief for employers hiring qualifying veterans will be extended a further year until 5 April 2026. This means that businesses will continue to pay no employer NICs up to the annual earnings of the veteran’s upper secondary threshold of £50,270 for the first year of a veteran’s employment in a civilian role. Carbon border adjustment mechanism (CBAM) The Government has published its response to the March 2024 consultation on the introduction of a UK CBAM which the Institute responded to earlier this year. The response confirms that the UK CBAM will be introduced on 1 January 2027, placing a carbon price on goods that are at risk of carbon leakage imported to the UK from the aluminium, cement, fertiliser, hydrogen and iron and steel sectors. Products from the glass and ceramics sectors will not be in scope of the UK CBAM from 2027 as previously proposed. The registration threshold will be set at £50,000, retaining over 99 percent of imported emissions within the scope of the CBAM, while removing over 80 percent of otherwise registrable businesses. Over 70 percent of those removed from the CBAM altogether by this threshold are micro, small, or medium sized businesses.   Creative sector reliefs  As previously announced, from 1 April 2025 film and high-end TV productions will be able to claim an enhanced 39 percent rate of Audio-Visual Expenditure Credit on their UK visual effects costs. UK visual effects costs will be exempt from the Audio-Visual Expenditure Credit’s 80 percent cap on qualifying expenditure. Costs incurred from 1 January 2025 will be eligible. This measure will be legislated in Finance Bill 2024/25.   From 1 April 2025, UK films with budgets under £15 million and a UK lead writer or director will be able to claim an enhanced 53 percent rate of Audio-Visual Expenditure Credit, known as the Independent Film Tax Credit. Expenditure incurred from 1 April 2024 on films that began principal photography on or after 1 April 2024 is eligible. Also from 1 April 2025, the rates of Theatre Tax Relief, Orchestra Tax Relief and Museums and Galleries Exhibitions Tax Relief will be set at 40 percent for non-touring productions and 45 percent for touring productions and all orchestra productions. These rates apply UK-wide. Both these measures have already been legislated for.  R&D tax relief  In addition to a detailed email from HMRC’s R&D Communications Forum, the Government will discuss widening the use of advance clearances in R&D reliefs with stakeholders, with the intention to consult on lead options in Spring 2025. A document has also been published setting out further information on the scale and characteristics of error and fraud up to 2023/24, the policy and operational changes that have been made to address this, and further data on taxpayer experience.   Reform of transfer pricing  A further consultation on reforms to the UK’s rules on transfer pricing, permanent establishments, and the Diverted Profits Tax will launch in Spring 2025. This will include the potential removal of UK-to-UK transfer pricing. A consultation will also be published in Spring 2025 on further changes to the transfer pricing rules which will examine proposals such as:   lowering the thresholds for exemption from transfer pricing for medium-sized businesses whilst retaining an exemption for small businesses, and  introducing a requirement for multinationals in the scope of transfer pricing to report information to HMRC on certain cross-border related party transactions.  Alongside this, a review will be conducted on the transfer pricing treatment of cost contribution arrangements, to ensure that the rules are certain and do not act as a deterrent to investment that brings economic benefits to the UK.   Technical amendments will also feature in Finance Bill 2024/25 to provide certainty that Advance Pricing Agreements are available for financing arrangements covered by the Transfer Pricing rules in line with HMRC’s existing Statement of Practice 1 (2012).   Pillar Two UTPR   The UTPR will be included in Finance Bill 2024/25 and will take effect for accounting periods beginning on or after 31 December 2024. Technical amendments to the Multinational and Domestic Top-up Tax legislation will also be included in the Finance Bill to incorporate the latest international updates and stakeholder feedback.   Repeal of offshore receipts for intangible property   The offshore receipts for intangible property rules will be abolished for income arising on or after 31 December 2024, based on the Government’s view that the Pillar Two UTPR will more comprehensively discourage the multinational tax-planning arrangements that these rules sought to counter. Repeal will be legislated for in 2024/25.   Apprenticeship levy  As previously announced, the government will take steps to transform the Apprenticeship Levy (AL) into a more flexible Growth and Skills Levy by investing £40 million, with the aim of delivering new foundation and shorter apprenticeships in key sectors. The reformed levy will be developed in partnership with employers, providers, and learners.   Skills England will take the time to consult with a wide range of partners to ensure that levyfunded training meets the needs of employers, providers, and learners, and secures good value for money. Disappointingly, no mention was made of how this will be taken forward in Northern Ireland where the AL is a devolved function. 

The Parliamentary Budget Office (PBO) has published a briefing paper on budgetary issues in Finance Bill 2024. The paper provides an analysis of measures contained in the Finance Bill 2024 that the PBO believes could have a budgetary impact, and it includes an overview of these measures, including information on possible costs, 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 this week’s Committee Stage are due for consideration at Report Stage week commencing Monday 18 November. The briefing paper is based on the Bill as published and does not take account of any future amendments. 

Technical Roundup 1 November Welcome to the latest edition of Technical Roundup which is published on the first and third Friday of every month. In developments since the last edition, the European Securities and Markets Authority, in its annual European Common Enforcement Priorities Statement for 2024, has highlighted its areas of enforcement focus in 2025.  The Pensions Authority have published updated guidance for determining assumptions used in pension benefit statements, as required under regulation 34(4) of the European Union (Occupational Pension Schemes) Regulations 2021. Read more on these and other developments that may be of interest to members below. Financial Reporting The IFRS Foundation has published its 11th Compilation of Agenda Decisions by the IFRS Interpretations Committee. This covers decisions made in the period from May to October 2024. The IFRS Foundation has published its National Standard Setters October 2024 Newsletter. The International Accounting Standards Board (IASB) has issued its October 2024 Newsletter and podcast. The European Securities and Markets Authority (ESMA), in its annual European Common Enforcement Priorities (ECEP) Statement for 2024, has highlighted its areas of enforcement focus in 2025. This includes some areas of focus under the topics of financial statements, sustainability statements and ESEF reporting. The European Securities and Markets Authority (ESMA) has published a survey on legal entities identifiers, aiming to gather evidence on the impacts of including alternatives for reporting or record keeping requirements. The European Financial Reporting Advisory Group (EFRAG) is calling for technical experts in accounting and financial reporting to join its Financial Reporting Technical Expert Group which provides technical advice to the EFRAG Financial Reporting Board. The International Public Sector Accounting Standards Board has issued Exposure Draft (ED) 92, Tangible Natural Resources which is open for public comment until 28 February 2025. The UK Endorsement Board (UKEB) has published its two annual reports covering the year to 31 March 2024, including its report to the Secretary of State and its report to the FRC. UKEB has issued its Draft Comment letter on the IASB’s Exposure Draft — Equity Method of Accounting—IAS 28 Investments in Associates and Joint Ventures. This letter is open for public comment until 20 November 2024. UKEB has also published a Draft Endorsement Criteria Assessment (DECA) on the potential use in the UK of the IASB’s Annual Improvements to IFRS Accounting Standards – Volume 11. Accountancy Europe has issued its October 2024 Newsletter. The IASB has released a podcast hosted by Executive Technical Director Nili Shah featuring IASB Vice-Chair Linda Mezon-Hutter and IASB Member Bruce Mackenzie discussing the deliberations held during the October 2024 IASB meeting. Sustainability On 6th November, Chartered Accountants Ireland will host a free, 1 hour webinar on the CSRD. This will be the final webinar in our three-part series covering the CSRD. In this webinar, Derarca Dennis, Partner, EY and Chartered Accountants Ireland's Deirdre Moran will review some of the practical challenges that companies have faced in preparing to comply with the CSRD, matters to consider when developing and implementing a sustainability strategy, and the role of the Board. The Executive Committee of the World Economic Forum (WEF) and the International Business Council (IBC) have published a statement in which they welcome the progress towards establishing a global baseline of consistent and comparable sustainability information based on the ISSB standards. The International Sustainability Standards Board (ISSB) has released a podcast hosted by ISSB Chair Emmanuel Faber and ISSB Vice-Chair Sue Lloyd discussing the latest developments around the ISSB. In its recently published article on Medium, the Global Reporting Initiative (GRI) discuss why, as greenwashing scrutiny intensifies, legal teams must safeguard ESG integrity across all claims Accountancy Europe has issued its October 2024 Sustainability update. Economic Crime and anti-money laundering The Advisory Council against Economic Crime and Corruption was established by Government in 2022. The Irish Dept of Justice launched a consultation in October 2024 on developing a strategy for the Advisory Council to combat Economic Crime and Corruption. They are seeking the public’s views on what should be addressed in the strategy to combat economic crime and corruption. In October 2024 and to mark Anti-Slavery Week 2024, the National Crime Agency in the UK announced a Private Public Partnership to tackle sexual exploitation. The NCA announced that 31 financial institutions, law enforcement agencies and government departments have joined forces to tackle sexual exploitation. Click here to read more. Click to read the latest SARs in action from the UKFIU. It includes a feature on the Egmont Group of FIUs which works to enhance member capabilities and to improve secure information sharing, training, and best practice internationally. The magazine also provides information on The Joint Money Laundering Intelligence Taskforce where the Public Private Cryptoasset Forum has been developed as a new threat group within JMLIT+, with the intention of building links with the UK registered and regulated Cryptoasset industry, identifying opportunities for partnership and bringing members of the industry further into partnership work. The Institute’s Professional Standards Dept. has published its AML Supervision Report 2023/2024 which summarises AML supervisory activities in both jurisdictions, ROI and UK for the period April 2023 – April 2024. Please see the report for case studies on AML including deficiencies identified and how they were rectified. The report identifies emerging risks including crypto currency, the increasing prevalence of artificial intelligence and the continued potential for post-Covid fraud. Issues arising from the Ukraine crisis also remain in focus. The report examines what compliant means and most common findings on monitoring visits and desk-based reviews. Other Richard Moriarty reflects on his first year leading the FRC in an 'In Conversation' podcast episode, hosted by Kate O'Neill, Director of Stakeholder Engagement and Corporate Affairs. Accountancy Europe is promoting the topic of the attractiveness of the accountancy profession through online campaigns, events and blog articles. A recent online story is regarding the work done by the Norwegian Institute of Public Accountants (NIPA) to improve the image of auditors and attract new talent. The Corporate Enforcement Authority held its second annual conference on Thu 17 October. Representatives from our technical team attended and please click to read a summary of the discussions at the conference some of which might be of interest to our readers. Click here to go to the CEA pages where you can find copies of slides and speeches made available after the event. Readers may be interested in the October 2024 UK judgment in the case of  Standard Chartered Plc and others. Upon the cessation of publication of LIBOR, the issue in the case was whether a replacement rate to LIBOR should be implied in a legacy contract. The court implied a term into the contract for a replacement rate and held that an implied term that shares should be redeemed and the contract unwound was untenable. Click to read an interview on the European Commission website with Mairead McGuinness European Commissioner for Financial Stability, Financial Services and the Capital Markets Union on her mandate, where she thinks most progress was made, and how she sees the future of finance. The Pensions Authority have published updated guidance for determining assumptions used in pension benefit statements, as required under regulation 34(4) of the European Union (Occupational Pension Schemes) Regulations 2021. Charity Trustees’ Week takes place on 11 to 15 November this year to thank trustees across Ireland for their important work in the area of governance and leadership of charities. It is organised in partnership by the Charities Regulator, Boardmatch Ireland, Carmichael, Charities Institute Ireland, Dóchas, Pobal, The Wheel, and Volunteer Ireland.  Click here for further details. Jonathan Reynolds, the UK Secretary of State for Business and Trade, issued a statement on 14 October to announce the publication of a green paper  which outlines plans to deliver Invest 2035: The UK’s Modern Industrial Strategy. He also announced proposed changes to company law. Click for the announcement which proposes changes by year end to reporting requirements and uplift the monetary size thresholds for micro-entities, small and medium-sized companies, as well as making technical fixes to the UK’s audit framework. The Department of Enterprise, Trade and Employment will be hosting a free online event focused on responsible business and the environment at 11am on Wednesday, 6 November 2024. Click for IDA insights article on “What makes Ireland an extraordinary partner for leading global companies” In news on the Funds sector, the Minister for Finance this month published the Report of the Funds Sector 2030 (Review). The review examined Ireland’s funds sector framework to ensure it is up-to-date, taking account of the significant developments in recent years, to support the long term growth in the sector in Ireland. It concluded that Ireland is well placed to grow in the funds and asset management sector. The review also developed a set of recommendations to address the most material issues and to put in place measures that will help navigate the further changes that are coming in a controlled way. Also in Funds news, click to read remarks by Central Bank of Ireland Deputy Governor Derville Rowland “Past, present and future of Exchange Traded Funds’ at an event in October 2024 on Unlocking the Potential for Europe and Ireland. The FCA has published the results of a survey to better understand how firms record and manage allegations of non-financial misconduct. The survey of over 1,000 investment banks, brokers and wholesale insurance firms found that the number of allegations reported increased between 2021 and 2023. In the UK, Companies House has outlined its transition plan for Companies House in relation to the Economic Crime and Corporate Transparency Act 2023 (the Act). The Act will reform the role of Companies House and improve transparency over UK companies and other legal entities. There were certain changes implemented in March 2024 with the next wave of anticipated in winter 2024 and into 2025 as follows: Companies House should be able to: expedite the striking off of companies where the registrar has concluded the company has been formed for a false basis. annotate the register in a wider range of circumstances, such as when a company has a director who has been disqualified but has yet to terminate their appointment on the register, or where Companies House has issued a statutory notice to require more information from a person, but the matter remains unresolved. The transition plan is available here along with our information booklet on the changes already implemented available here.   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.

Data use is skyrocketing, raising ethical concerns beyond regulatory compliance. Colm McDonnell explores how embedding digital ethics ensures fairness, transparency, and accountability in organisations Data has become an integral part of modern life, and its usage is growing exponentially. From businesses to governments, organisations are collecting, storing, and analysing vast amounts of data to gain insights, make decisions, and develop new products/services. However, with great power comes great responsibility. The more data organisations process, the bigger the spotlight on them, not only to ensure regulatory compliance but also to focus on the significant ethical concerns resulting from data collection and its use. Furthermore, the growing use of technology, including artificial intelligence (AI) and robotics, stems concerns about the extensive use of data and the potential for misuse. What is digital ethics? Doing the right thing, regardless of legislation, takes you into the field of ethics. Organisations usually focus on various regulatory obligations that they must comply with, but organisations also have a responsibility to their stakeholders, including their employees, customers, vendors, and investors. This goes beyond regulatory compliance. Accountability can be complex to define and demonstrate, often leading organisations to set out some principles they should adhere to such as privacy, fairness, non-discrimination, transparency, and more, while processing data. Embedding digital ethics into an organisation involves promoting the moral values of the organisation through the alignment of data processing practices and processes with those values. Digital ethics refers to a set of principles and moral values that guide the responsible and ethical use of data. The following eight guiding principles define an approach to AI and digital ethics. Code of digital ethics All organisations should establish a code of digital ethics that sets out their commitments to ethical data practices. Digital ethics by design should be considered right from the outset of any product development, product enhancement or any proposed processing of data. Periodic training and awareness programmes should be rolled out to promote awareness of ethical data processing practices. This will eventually build a culture of trust, transparency, and safety within the organisation. Human oversight and determination Organisations must make sure AI systems do not take the place of human accountability and responsibility. There needs to be human oversight and safeguards in place to prevent misuse of data. There should be cross-functional stakeholder collaboration and effective governance. Proportionality, do no harm, safety and security AI systems should only be used as much as is required to accomplish a valid goal. Risk assessment should be utilised to prevent any potential harm from these types of applications. Fair and transparent algorithms Organisations must ensure that their decision-making and algorithms are fair and impartial. This can be achieved through ongoing monitoring and periodic testing. Transparency and explainability Data should be collected and used with transparency, so individuals understand how their data will be utilised thereby allowing them to make informed decisions about whether to share their data. Further, where deemed necessary, before collecting data, organisations should seek consent from individuals. This consent should always be freely given and be fully informed. Inclusion Unconscious or conscious bias can affect inclusivity in an organisation. Organisations should take the necessary steps to ensure the processing of data does not result in or hide discrimination or bias. Vulnerable data subjects who are the most susceptible to negative consequences of processing require additional consideration. Autonomy, freedom, respect, privacy, and dignity Individuals must be able to make their own decisions, take their own actions, and make their own choices. Processing of data should not constrain human beings in how they want to live their lives. Autonomy for individuals to control how their data is processed should be ensured. The processing of the data should be respectful of human values. Specifically, when the processing is carried out through AI, the outcome should not dehumanise individuals. Sustainability AI innovations should be evaluated to consider their effects on the environment and their ability to sustain through periods of time. These innovations should align with the organisation’s sustainability goals. Colm McDonnell is Partner of Risk Advisory at Deloitte

On Wednesday, the Chancellor of the Exchequer, Rachel Reeves announced the Labour government’s first Autumn Statement. The government has set out to restore balance in the public finances, however businesses are concerned that they will bear the burden of this rebalancing act. While the need to balance public spending is key to the government’s decisions, the innovative tax policies needed to drive long-term growth and sustainability are not evident in the package announced this week. Chartered Accountants Ireland is particularly concerned that the increase in employers’ National Insurance will not be sustainable for many businesses. While the allowances may provide some protection for the most affected businesses, it is adding to businesses’ already bulging employment costs. You can read our coverage of this week’s Autumn Statement in our Special Tax Newsletter which issued on Wednesday evening. You can also read our press release which issued following the Budget announcement.

As businesses navigate a new landscape, the CSRD challenges them to comply, but also to seize the opportunity for growth through sustainability, writes Dave O’Shaughnessy Embarking on a new era of transparency and accountability, the European Corporate Sustainability Reporting Directive (CSRD) is set to revolutionise the way large and publicly listed companies disclose their environmental, social, and governance (ESG) practices. Phase 1 of the CSRD targets large companies meeting at least two of these criteria: over €50 million in net turnover, more than €25 million in balance sheet totals, or an average of 250 employees annually.   This directive unfolds progressively through to 2029, with the goal for entities to measure, understand, and communicate their ESG impacts in a transparent, consistent, and comparable way. The scope of the directive, in terms of the amount of data needed and the specific requirements, including presentation, digital tagging, comparative data analysis, and digital submission, is broad and detailed. There are more than 800 individual data points within CSRD, of which almost 200 are mandatory.  CSRD incorporates quantitative and qualitative metrics, to measure the impacts, risks, and opportunities of upstream, own-operations and downstream activities, based on a thorough double materiality assessment. Moving beyond compliance Companies now have the chance to extend their vision beyond mere compliance requirements by leveraging the wealth of data and analytics at their disposal to unlock a multitude of untapped opportunities. Preparation and presentation of comprehensive ESG reports provide organisations with actionable insights about their business that they did not previously have. Organisations are increasingly recognising that a well-defined sustainability strategy is essential for long-term success. As they develop and refine these strategies, the need for technology that not only supports but also enhances their sustainability goals becomes clear. These strategies should be adaptable and scalable, evolving in tandem with the organisation’s growth and sustainability ambitions. By integrating advanced data management systems, organisations not only meet their ESG reporting needs but also provide a platform for performance monitoring and management, as well as scenario modelling to shape future initiatives. The right technology is a catalyst, propelling organisations towards their sustainability objectives and unlocking new opportunities for responsible growth. For assurance, it’s essential to have systems in place that can accurately track and document ESG initiatives, allowing for third-party verification. This helps to confirm that the reported data is complete, accurate, and consistent with relevant standards and frameworks. Assurance processes also provide stakeholders with confidence that the organisation’s ESG disclosures are trustworthy and that it is committed to transparency and accountability. Delivering value through technology Scalable, adaptable, and flexible technology should provide the backbone of every organisation’s ESG strategy. Organisations require a technology solution that will streamline the data integration process and automate the collection, collation, analysis, and reporting of ESG data for relevant reporting frameworks. Implementation of a comprehensive data management system will not only help companies streamline data integration and automate ESG data handling for reporting frameworks but also meet their ESG reporting and assurance requirements.  A 2023 NASDAQ research report that interviewed 150 global sustainability, finance, and legal executives found that investment in ESG software is helping to improve organisational collaboration, mitigate risks, and meet ambitious ESG and sustainability goals. One of the predominant challenges that we are seeing for many organisations relates to value chain reporting. The need to share detailed, potentially sensitive, data between value chain partners, from raw material extraction to end-of-life disposal and recycling certainly brings an added level of complexity. Value chain reporting requirements for scope 3 emissions and on social areas, such as child labour and modern slavery, challenge the traditional definition of an organisation’s boundaries. As well as the processes and systems needed to capture accurate and reliable data, the related governance and cultural implications of this fundamental shift are complex and challenging.  To meet these challenges, companies need to leverage technology that is adaptable to different frameworks including all the necessary integration capabilities with internal systems. A future-proof solution that meets today’s reporting and ESG management needs, while also incorporating additional evolving regulatory requirements and others that may follow, is needed. Looking beyond reporting CSRD is in force and although the new sustainability reporting requirements may seem vast and onerous, the opportunity it provides to look beyond reporting and to explore new and innovative options is compelling. The need for an ESG reporting solution that is adaptable, scalable, and integrated is clear. Dave O’Shaughnessy is Sustainability Reporting Partner at EY

The introduction of Enhanced Reporting Requirements on 1 January 2024 has resulted in increased scrutiny of the taxability of employee benefits and expenses, writes Jillian O’Sullivan We have seen a shift in Revenue focus during PAYE interventions not only to matters within scope of Enhanced Reporting Requirements (ERR) reporting but also to staff entertainment. It is, therefore, critical that employers now consider whether they are required to submit a PAYE Settlement Agreement (PSA) application before the 31 December deadline. This process enables employers to account for income tax, Universal Social Charge (USC) and PRSI due on taxable employee benefits and expenses that have not been accounted for via the PAYE system during the year, to ensure payroll tax compliance is managed appropriately. What is a PAYE Settlement Agreement? Many employers provide benefits and expenses to employees, such as staff entertainment, vouchers and other gifts. Unless these benefits and expenses fall within the terms of specific tax exemptions or Revenue concessions, they are liable to payroll taxes on a real-time basis. PSAs are an administrative arrangement that allows employers to pay taxes on behalf of their employees on benefits and expenses that are ‘minor and irregular’ in nature in one annual settlement on a grossed-up basis. Deadlines A written application must be submitted to Revenue by 31 December 2024 for the PAYE year 2024. Taxes due under the agreement must then be paid over by 23 January 2025. Included PSA items The benefits or expenses to be included must be non-cash, minor in nature and amount, and irregular with regard to the frequency the benefits or expenses are provided. Examples of taxable items that could be included in a PSA are: Staff entertainment; Staff lunches/drinks/meals; Staff awards and prizes; and Staff gifts where the small benefit exemption has otherwise been utilised, e.g. wedding, birthday, baby, Easter and Christmas gifts. Get proactive With the increasing scrutiny by Revenue on payroll tax compliance, it is essential for employers to proactively assess their obligations regarding PSA. Ensuring that all taxable employee benefits and expenses, including staff entertainment and gifts, are accounted for can help avoid potential penalties and maintain good standing with Revenue. The 31 December deadline for PSA applications for the 2024 PAYE year is a critical date that employers should not overlook. By meeting these requirements and preparing well in advance, businesses can streamline their tax processes, reduce administrative burdens, and foster a compliant and transparent work environment. Jillian O’Sullivan is Corporate Compliance Partner at Grant Thornton

As we observe Stress Awareness Week 2024, it’s crucial to highlight the challenges faced by all of us in the accountancy profession—a high-stakes, detail-oriented field that often grapples with tight deadlines, heavy workloads, and complex regulatory environments. Whether you're a seasoned accountant or just starting your career, managing stress is essential for both your mental health and professional performance. Stress is a natural part of life, but when it becomes chronic, it can significantly impact your health, well-being, and ability to perform at work. In the context of accountancy, stress might arise from managing intricate financial data, navigating regulatory compliance, or balancing multiple client demands. So how can we manage workplace stress and, more importantly, our personal stress while maintaining a healthy work-life balance? 1. Recognise the Signs of Stress The first step in managing stress is recognising when it’s becoming an issue. Stress manifests differently in everyone, but some common signs include irritability, fatigue, difficulty concentrating, muscle tension, and trouble sleeping. It’s easy to ignore these symptoms in the rush of meeting deadlines, but doing so can lead to burnout—a state of emotional, physical, and mental exhaustion caused by prolonged stress. In the accountancy profession, the pressure to avoid errors while delivering results on time can create a cycle of stress that builds up over time. It’s essential to pay attention to the warning signs and address them before they escalate. 2. Prioritise Time Management and Organisation One of the leading causes of stress in accountancy is the constant juggling of tasks and deadlines. Time management is crucial in minimising stress. Developing effective organisational habits, such as maintaining an up-to-date calendar and using project management tools, can help accountants keep track of deadlines, prioritise tasks, and allocate time for each project efficiently. Breaking down large tasks into smaller, manageable steps can also reduce the overwhelming feeling of having too much to do. For example, when working on an audit, plan specific stages of completion with realistic deadlines. This approach can reduce the pressure of delivering everything at once. 3. Set Boundaries to Maintain Work-Life Balance In today’s always-connected world, it’s easy to blur the lines between work and personal time. For accountants, especially during peak periods like tax season, this can lead to long hours and an inability to fully disconnect from work, both physically and mentally. Setting clear boundaries between work and personal life is essential to maintain balance. This might mean turning off work notifications after a certain hour or designating a specific time for personal activities, such as exercise, family time, or hobbies. By respecting these boundaries, you can recharge your energy levels and return to work more focused and productive. 4. Self-care isn’t selfish – take control of your own well-being Mindfulness and relaxation techniques can be powerful tools in managing stress. Techniques such as deep breathing exercises, meditation, and yoga can help you stay grounded during stressful moments. In a fast-paced work environment, taking just a few minutes to breathe deeply or meditate can significantly reduce stress levels. Additionally, regular physical exercise, whether it’s a morning run, or a lunchtime walk, can help clear your mind and boost your energy. Physical activity is proven to reduce cortisol, the body’s stress hormone, and increase endorphins, which improve your mood and mental outlook. 5. Seek Support When Needed Accountants may feel the need to keep up a professional facade and handle stress on their own. However, it’s vital to recognise that seeking support is a sign of strength, not weakness. Stress is an unavoidable part of any profession, especially in a demanding field like accountancy.  Many organisations are increasingly recognising the importance of mental health support in the workplace and offer employee assistance programs (EAPs), which provide confidential counselling services and resources to help employees manage stress and other personal challenges.  Here at Chartered Accountants Ireland, the Thrive wellbeing team can help you take that first step to seeking help from a professional – get in touch to talk to them in complete confidence. In summary, by recognising the signs of stress, prioritising time management, setting boundaries, and seeking support, when necessary, accountants can build resilience and maintain a healthy balance between work and personal life.

Professional Standards Department is pleased to publish its AML Supervision Report 2023/24. This Report summarises our AML supervisory activities in both jurisdictions, ROI and UK for the period April 2023 – April 2024.

In Irish news, Minister Chambers publishes the report on the Funds Sector 2030 review, Revenue publishes the updated RICT Form and readers are reminded that next Thursday 7 November is the deadline for filing Vacant Homes Tax returns. In UK news, read this week's miscellaneous updates, including updates on the plastic packaging tax and the independent film tax credit.  In International news, the European Commission adopts a new proposal to help companies with their filing obligations under the EU Minimum Taxation Directive (Pillar Two).  Ireland 1. The Minister for Finance, Jack Chambers TD has published the report of the Funds Sector 2030 review. 2. Revenue has updated forms for Employment Investment Incentive Scheme. 3. Thursday 7 November 2024 is the return filing deadline for Vacant Homes Tax for the year ended 31 October 2024. UK 4. Read this week's miscellaneous updates, including updates on the plastic packaging tax and the independent film tax credit. International 5. The European Commission adopts a new proposal to help companies with their filing obligations under the EU Minimum Taxation Directive (Pillar Two). 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.