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.

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 in addition to the most recent Cabinet Office Borders bulletin which recently returned from a break. The Minister of State has written to the Chair of the House of Lords Protocol Sub-Committee providing an update the on the implementation of the Windsor Framework (“WF”) and this Committee has recently launched a new inquiry into regulatory divergence and the WF. Miscellaneous updated guidance etc.   The following updated guidance, and publications relevant to EU exit are available:-  Check if a business holds Authorised Economic Operator status;  Apply to use Simplified Import VAT Accounting;  CDS Declaration Completion Instructions for Exports;  Split consignments: Tariff classification and import procedures;  Known error workarounds for the Customs Declaration Service (CDS);  Apply for an Advance Tariff Ruling;  Data Element 2/3 Documents and Other Reference Codes (National) of the Customs Declaration Service (CDS);  Additional Information (AI) Statement Codes for Data Element 2/2 of the Customs Declaration Service (CDS);  Customs Declaration Completion Requirements for The Northern Ireland Protocol;  Customs Declaration Service (CDS) waiver codes for imports replacing 999L;  Authorisation type codes for Data Element 3/39 of the Customs Declaration Service; and Split consignments: Tariff classification and import procedures.

The Finance (No.2) Bill 2023 as amended in Committee Stage has been published. The amendments include draft legislation for the exemption from leasing of farmland and a new capital gains tax relief for investment in innovative enterprises (angel investors). Section 664 TCA 1997 provides a relief from income tax from leasing of farmland. The proposed amendment will impose a 7-year holding requirement in respect of purchases of farmland on or after 1 January 2024, thereby restricting the availability of the income tax relief so that it does not become immediately available to such purchasers of farmland. The new capital gains tax relief for angel investors is to attract investment for Irish SMEs. It will allow early-stage investors avail of a reduced rate of capital gains tax, where the qualifying investment has been held for a minimum of three years prior to disposal. There is a lifetime limit of €3 million on gains that may avail of the reduced rate. The Report Stage of the Bill is scheduled for 21 and 22 November 2023. We will keep you updated in our weekly newsletter.

HMRC recently continued its communication campaign on Pillar 2. In the UK, Pillar 2 will have effect in respect of in-scope groups’ accounting periods beginning on or after 31 December 2023. Letters to businesses are being sent to the Large Business (“LB”) population in addition to Wealthy and Mid-sized Business (“WMB”) taxpayers. The continuation of the communication campaign also includes letters to agent representatives, and articles in both the November 2023 Agent Update and HMRC Stakeholder Digest.   According to HMRC, steps have been taken to expand the avenues which correspondence is being issued to and HMRC is also encouraging potentially affected taxpayers to sign up to receive digital correspondence in future if they have not already done so.  The specific activity being undertaken commenced at the end of last month and is as follows:-  From Monday 30 October, letters began to issue to LB taxpayers that had not signed up to receive email updates;  From Friday 3 November, a bulk email was then issued to LB and WMB taxpayers, and to agents and representatives bodies who had signed up to receive email updates;  From Monday 6 November, letters began to issue to any remaining WMB taxpayers who had not previously signed up. 

HMRC’s latest schedule of live and recorded webinars for tax agents is available for booking. Spaces are limited, so take a look now and save your place.  

Do you use HMRC online services? Don’t be caught out by the planned downtime to some services. HMRC are warning about the non-availability of specific services on the HMRC website, a range of services are impacted. Check the relevant page for information on planned downtime.  

The extended phoneline hours this week for the ROS Technical Helpdesk, Business Taxes (Income Tax) and the Collector General’s Division (including ROS Payment Support) to support filers of ROS Form 11 and IT38 are available here. The phonelines will be open until 8pm on Monday and Tuesday. The ROS Technical Helpdesk and Business Taxes (Income Tax) phonelines will remain open until midnight on Wednesday, 15 November 2023, with the Collector General’s Division phoneline open until 8pm.

Check out the latest items on the Agent Forum. Remember, in order to view each item, you must be signed up and logged in.  All agents, who are a member of a professional body, are invited to join HMRC’s Agent Forum. This dedicated Agent Forum is hosted in a private area within the HMRC’s Online Taxpayer Forum. You can interact with other agents and HMRC experts to discuss topical issues and processes. 

The Minister for Finance intends to introduce an amendment at Report Stage of the Finance (No. 2) Bill 2023 to provide that, where individual General Practitioners (GPs) enter into General Medical Service (GMS) contracts with the HSE and provide those services in the conduct of a partnership profession with other individual GPs, that income can be treated for income tax purposes as income of the partnership. The proposed amendment, which the Institute under the auspices of the CCAB-I, has lobbied extensively for, reverses the proposal to treat such income as solely income of the individual partner from 1 January 2024. While the proposed amendment is subject to Cabinet approval, Revenue has published a revised Tax and Duty Manual to provide guidance on the correct tax treatment of income received by medical practitioners under the GMS contract entered into with the HSE, taking into account the proposed amendment. While the proposed amendment does not extend to employed GPs, we are pleased to see the change as it relates to individual partners. Readers will be aware that  CCAB-I, has engaged extensively with Revenue and the Department of Finance on this matter over the last two years. For further information see eBrief no.237/23.

CRH were announced as the overall winner of this year’s Chartered Accountants Ireland Leinster Society Published Accounts Awards (PAA) for the second year in a row. The awards, sponsored by Euronext, highlight companies across the island of Ireland for excellence in corporate reporting. Special guest MC Colm O’Regan announced the winners at the ceremony which took place in the Shelbourne Hotel on Thursday 9 November. At the ceremony, PAA Chair, Lisa Gilligan said, "As a Society we are immensely proud of the Published Accounts Awards, which is a cornerstone event in our calendars. As well as showcasing the “Best in Class” in corporate reporting, the Awards continue to recognise companies for their achievements across areas such as Sustainability, Diversity & Inclusion and Branding.  Through these Awards we seek to recognise and congratulate the work done by our members in their roles in companies, state bodies and charitable organisations, large and small throughout Ireland. All the judges agreed that the standard of annual reports, across all areas, has improved vastly over the last number of years, making it very difficult to choose the winners."  Commenting at the ceremony on the trust in Chartered Accountants evidenced in recent Edelman survey findings, Leinster Society Chair, Des Gibney, said, "This evening in the shortlisted entries, we see evidence of this work and trust across many types of organisations. As Leinster Society members, you have the strength in numbers to continue and grow this positive reputation".  Head of Admission, Debt, Fund & Entity Listing at Euronext, Aisling McArdle, commented, "The PAA help foster excellence and continued improvement in financial reporting for investors and stakeholders. In uncertain times such as these, outstanding communication and reporting is more important than ever. The PAA presents the perfect opportunity to recognise and reward the companies that have demonstrated their determination and commitment to improving in this area over the past year". 2023 represents the 46th year of the awards which have expanded to include categories beyond financial reporting.  A total of 28 private and statutory companies and 10 not-for-profit organisations featured on the shortlist across 14 award categories. As well as being overall winners, CRH also won the Euronext Dublin (Large cap > €1bn) award. Glenveagh Properties scooped the Euronext Dublin (SME < €1bn) award, also for the second year in a row. Other winners who have held their titles this year were DCC (Company listed on a foreign market); ESB (Statutory or unlisted entity (IFRS)), and Coillte (Statutory or unlisted entity (Non-IFRS)), while Origin took the Euronext Growth Award. Not-for-profit categories this year were taken by Barnardos (Large not-for-profit) and Barretstown (Small/Medium not-for-profit). The awards have evolved over the years to include categories reflecting the changing nature of business and reporting requirements. The Sustainability & ESG Reporting Award (Listed entity) went to Bank of Ireland, while CIÉ won the Sustainability & ESG Reporting (Unlisted entity) award. Dalata won the Diversity & Inclusion Award (Listed or unlisted entity), and Concern won the equivalent prize for a not-for-profit organisation. The Branding, Communication and Digital Award went to daa. Award 2023 winner   Euronext Dublin (Large Cap >€1bn) CRH plc  Euronext Dublin (SME <€1bn) Glenveagh Properties plc  Company listed on a foreign market DCC plc Euronext Growth Award Origin Enterprises  Statutory or Unlisted Entity (IFRS) ESB  Statutory or Unlisted Entity (Non-IFRS) Coillte CGA  Large Not-for-Profit Barnardos  Small / Medium Not-for-Profit Barretstown  Sustainability & ESG Reporting Award (Listed Entity) Bank of Ireland  Sustainability & ESG Reporting Award (Unlisted Entity) CIÉ Group  Diversity & Inclusion Award (Listed or Unlisted Entity) Dalata  Diversity & Inclusion Award (Not-for-Profit) Concern  Branding, Communication & Digital Award daa  Overall winner CRH plc View photos from the event here.  

Seasonal corporate gifting is standard in business but can it be done responsibly? Feena Kickhamm outlines her advice on sustainable gift-giving for Irish businesses this Christmas Sustainable corporate gifting is an excellent opportunity to demonstrate a company’s sustainability commitments, including environmental and social responsibility. Businesses can inspire their employees, build a positive brand image, and contribute to a better world by choosing sustainable gifts. There are several issues to bear in mind when trying to keep your gifting green. Define your values: Clarify the criteria most important for your corporate gifts, e.g. environmental impact, supporting local communities or fair trade. Local sourcing: Support local SMEs and social enterprises. This supports the local economy and reduces carbon emissions from shipping. Eco-friendly materials: Choose gifts with a good environmental footprint, such as made from recycled or upcycled materials and consider reusable or recyclable packaging.   Education: Raise awareness with information about the sustainability and ethics of your chosen gift to recipients.   There is a wealth of small, creative, and sustainable businesses to choose from in Ireland. Here are several that are worthy of your support this holiday season: Social Enterprises We Make Good has products that are designed by some of Ireland’s best designers and made by people facing social challenges who have been supported to develop valuable skills and gain employment.   Rediscovery Centre is an eco store providing a wide range of upcycled and reused circular economy products.   ReThink Ireland contains a directory listing social enterprises you can support in Ireland.   Going green Ireland currently recycles 31 percent of all plastics, which needs to increase to 50 percent by 2025 under EU Legislation. There are shops that can help us reach this goal. Reuzi, Faerly, and Pax are just some of the zero-waste businesses in Ireland providing a range of gifting solutions to encourage minimal-waste living.  Jimmy Eco Toys is a toy company retailing and distributing eco-friendly toys. Hometree plants native woodland in Ireland to help with land regeneration and biodiversity. You can pledge or donate for trees planted in Ireland.  Of course, you can also give e-gift cards, experience gifts or donations to a local charity to guarantee your gift doesn’t end up in a landfill. Ethical food Coffee and chocolate production are often linked to environmental and human rights challenges, but there are many companies actively working to overcome these issues. Moyee Coffee offers fair chain coffee, meaning more value stays in coffee-growing countries through the creation of quality employment and provision a living income for farmers. Tony's Chocolonely is a Dutch chocolate brand committed to eradicating child labour in the global chocolate supply chain.   Imbibe Coffee is organic, socially conscious coffee that is giving back. One percent of its coffee sales go to Women’s Aid, one percent to projects at coffee origins they buy from and a further one percent is shared among its staff.  Making the effort Sourcing sustainable and ethical corporate gifts may take time and have a slightly higher upfront cost, but it demonstrates your commitment to responsible business practices and can have a real positive impact on smaller businesses.   We recognise there are many more great small businesses and social enterprises not listed here, and we encourage companies to expand their corporate gifting search a little this year to support as many as possible. Feena Kickhamm is Sustainability Adviser at Business in the Community Ireland 

As the winter sets in and temperatures drop, your staff may become more vulnerable to illness. Gemma O’Connor explains how to help reduce the spread of infection in your workplace While you can’t stop staff from getting sick, you can take steps to lower the risk of employee illness impacting your operations. The following steps can help keep your business up and running all winter. Clamp down on presenteeism While absenteeism causes its own problems, it’s a good idea to let staff know that it is okay to be ill. Many employees continue going to work while they’re unwell and infectious out of fear that not turning up will have a negative impact on their prospects with the organisation. This “presenteeism” (i.e. the pressure to be present at work) can be very damaging for you and your employee, however. Employees who continue working while ill will likely struggle to perform, prolong their illness, and pass it on to others. So, while you don’t have to manage without an absent employee in the short term, you could end up having more people off work sick in the weeks following their illness. Ventilate your workplace As a general rule, you should make sure your workplace is well-ventilated – especially in enclosed areas. If your staff work in a poorly ventilated enclosed space, it’s far more likely that infectious illnesses will spread. Ensuring your workplace has access to fresh air will help reduce the transmission risk. If you can’t open windows, you should have an air conditioner installed. The Health and Safety Authority has recently released a Code of Practice for Indoor Air Quality that goes into greater detail on how to maintain acceptable indoor humidity levels. Encourage staff to maintain a clean working environment Maintaining good hygiene practices at work will also help to reduce the risk of viruses spreading. It’s important to remind staff to be responsible for their hygiene by washing hands, covering their mouths when sneezing or coughing, and keeping surfaces clean. You could put signs around the office to remind staff to practise good hygiene, leave hand sanitiser on desks or provide a communal sanitiser, and offer protective equipment to staff. Review your sickness and absence policy If you don’t currently have a sickness and absence policy, you must set one up to comply with the Sick Leave Act 2022. Whether you have a standalone policy for sickness – or one policy outlining how you deal with all types of absences – it’s essential to have it in writing and to communicate it to staff. Having a policy gives you and your staff a process to follow if they think they might not be well enough to work. In your policy, you should outline: how to report a sickness absence; how often you’ll be in touch while your employee is off work; how you support employees who are returning to work after a sickness absence; and your statutory sick pay policy as required under the Sick Leave Act 2022. For 2023, your staff have a statutory entitlement to three days of paid sick leave. This entitlement is scheduled to increase to five days of paid sick leave in 2024. Your sick leave policy should set out the minimum payments for periods of certified sick leave, which is 70 percent of the employee’s usual daily earnings up to a maximum of €110 a day. Gemma O’Connor is Head of Service at Peninsula Ireland