In this week’s detailed miscellaneous updates which you can read more about below, HMRC has sent an email explaining the recent issues with child benefit payments being erroneously stopped for some claimants and emails are being sent to agents about company tax returns submitted before April 2025 that show future repayment dates for certain loans. A reminder has also been sent about paying employees earlier than usual in December. In other news this week: The minutes from the September 2025 Joint VAT Consultative Committee, which Chartered Accountants Ireland is represented on, are available, The Institute for Fiscal Studies has published a podcast ‘How to fix wealth taxes’, The House of Commons Library has published a further research briefing on the Autumn Budget 2025 and the Finance Bill 2025/26 and on 4 December 2025, members of the House of Lords debated the Budget, 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. Email from HMRC on child benefit payments HMRC has sent the following email about child benefit payment erroneously being suspended for some claimants. “We’re very sorry to those whose Child Benefit payments have been suspended incorrectly. Anyone affected should call the dedicated number on the letter we’ve sent them so we can confirm their eligibility and reinstate payments. We will no longer suspend any payments until we have checked with the recipient first, giving them a month to confirm if they are still eligible. This strikes the right balance between protecting taxpayers’ money and ensuring payments are only suspended when appropriate. Key background information        Having reviewed our processes, we will now be checking claims with customers first, by writing to them before suspending any payments, giving them one month to call us or write back. We are also streamlining the information we ask for from customers to prove their continuing eligibility, so they’re able to respond promptly. We have also re-introduced PAYE employment checks, meaning fewer people will be sent letters in the first place. We’re doing everything we can to ensure Child Benefit payments are only suspended when appropriate, and that any errors identified are rectified promptly, including resuming payments and making any backdated payments, so no-one is left out of pocket. Currently 23,489 letters have been issued. This means around 0.34% of child benefit claimants have had an enquiry opened and their payments suspended. We’re confident that the majority have been suspended correctly. Customers who have been sent one of these letters and who believe they are still eligible should call the number on the letter. We have now set up a dedicated team to handle their cases and a streamlined process for confirming their eligibility. These letters are not a scam. Child Benefit is paid to over 6.9 million families, supporting 11.9 million children. It is one of the most widely accessed forms of benefit in the UK. If a claimant is outside the UK for more than eight weeks, payments may stop unless there are exceptional circumstances.   Our specialist team is using international travel data, where this shows that customers have left the UK and may not have returned. Claimants must inform HMRC if they are outside the UK for 8 weeks or longer. A successful pilot saw thousands of people who had left the UK but carried on claiming removed from the system - with around £17m in wrongful payments prevented. A new specialist team is continuing this work and is expected to stop around £350 million in Child Benefit fraud and error over the next five years. It’s crucial that we undertake this work to protect taxpayers’ money.” HMRC emails to agents about company return with certain loans Last month HMRC began sending emails to around 1,300 Agents about corporation tax returns submitted before April 2025 which showed future repayment dates for directors’ and participator loans.  If the loans have not been repaid, then your client might not be due relief for the Section 455 tax which is due. The purpose of the email is to support agents to help clients get their returns right. These emails have already been added to the “genuine email” page on GOV.UK. Paying employees earlier in December Some employers need to pay their employees earlier than usual in December. This can be for several reasons, such as businesses closing during the festive period and needing to pay workers earlier than normal. This is to remind you of the permanent easement on reporting Real Time Information (RTI) that applies during this time. If you do pay early over the Christmas period, you must report your normal or contractual payment date on your Full Payment Submission (FPS). For example, if you pay on 19‌‌‌ ‌‌December 2025 but your normal payment date is 31 ‌‌‌December 2025, please report the payment date as 31‌‌‌ ‌‌December 2025. In this example the FPS would need to be sent on or before 31‌‌‌ ‌‌December 2025. Doing this helps to protect employees’ eligibility for income-based benefits such as Universal Credit, as an early payment could affect current and future entitlements. HMRC has published important updates and information for employers on GOV‌‌‌‌‌‌‌‌.UK, which includes: the October Employer Bulletin 2025 which reminds employers of the permanent easement on reporting RTI over the Christmas period, and help which can be found in CWG2 where a regular payment is made early at Christmas. The overriding PAYE reporting obligation for employers is unaffected by this exception and remains that you must report payments, on or before the date the employee is paid.  

In this week’s cross-border trading corner, we bring you the latest guidance updates and publications. The most recent Trader Support Service bulletin is also available as is the latest Brexit and Beyond newsletter from the Northern Ireland Assembly EU Affairs team. HMRC has also asked us to share an email on the Trader Integration Micro Service (TIMS) in support of ICS2 for Great Britain to Northern Ireland movements from the end of this month. The Poultry Health Scheme (PHS) handbook has also been updated. ICS2 and the TIMS HMRC has sent a further reminder about the implementation of ICS2 from the end of December in addition to FAQs and a document on arrival and presentation of goods notifications. “Email from HMRC You can use Import Control System 2 (ICS2) now to submit entry summary (ENS) declarations if you’re ready to do so. If you need more time, you must work with your supply chain to make sure you’re ready to start using ICS2 as soon as possible. This must be no later than 31 December 2025 when ICS2 becomes mandatory for all movements from Great Britain to Northern Ireland. Preparing to submit Arrival and Presentation notifications for GB-NI movements using the Trader Integration Micro Service (TIMS) We’re continuing to work towards the release of the free-to-use Trader Integration Micro Service (TIMS) and will confirm the release date soon. TIMS will facilitate the submission of ICS2 Arrival and Presentation of Goods notifications on your behalf for Roll-on/Roll-off (RoRo) movements from GB-NI only. If you already use the Trader Support Service (TSS) to auto-generate your Goods Movement Reference (GMR), you do not need to take any further action. If you don’t use the TSS to auto generate your GMR and wish to benefit from using TIMS, you should start to prepare now by ensuring you enter the ENS movement reference numbers (MRNs), when prompted, in the Goods Vehicle Movement Service (GVMS). No registration is required for TIMS and there is no cost to use it – once it is released, as long as your ENS MRNs are included in the relevant GMRs, TIMS will automatically submit your ICS2 Arrival and Presentation of Goods notifications for you for movements from GB-NI only. TIMS is not the only method for submitting your arrival and presentation notifications for your GB-NI movements. However, if you have included your ENS MRNs in your GMR, then TIMS will automatically submit these notifications. You won’t need to submit separate ICS2 Arrival and Presentation of Goods notifications for these MRNs.  Choosing not to include ENS MRNs in your GMRs? If you choose not to include ENS MRNs in your GMRs for GB-NI movements, you’ll need to purchase or develop your own software to submit Arrival and Presentation of Goods notifications, which are a mandatory part of the ICS2 requirements. Read the attached guidance to find out more about this. While we do not expect you to be submitting Arrival and Presentation of Goods notifications until TIMS has launched, if you’re planning to use another method we recommend preparing now. In the meantime, continue to use the Customs Declaration Service (CDS) or another customs process to fulfil Arrival and Presentation notifications requirements for your RoRo movements. Visit GOV.UK for more information on: ●using ICS2 Make an entry summary declaration using the Import Control System 2 – GOV.UK ●using TSS Sign up for the Trader Support Service - GOV.UK” Updated PHS handbook The Poultry Health Scheme (PHS) facilitates the export of poultry and hatching eggs by ensuring high standards of health and biosecurity. To ensure continued compliance with the scheme’s conditions, the PHS handbook has been updated. The full email from Government on this is as follows: “What’s New or Changed: A revised version of the PHS handbook has now been published. This update includes: New guidance for egg distribution centres Clarity on testing requirements for newly approved flocks and the 6-week wait period   Clarity on biosecurity, routine testing, record keeping and clinical examination A new summary of testing schedules The updated handbook is available on the Poultry Health Scheme page on GOV.UK. Actions Needed: All PHS members are advised to: Review the updated handbook in full Ensure your practices and documentation align with the revised guidance Contacts: For any questions or feedback, please contact the Customer Service Centre – One Health Team within Animal and Plant Health Agency (APHA): Email: CSCOneHealthPHS@apha.gov.uk Telephone: 03000 200 301.”

The latest UK tax tidbits features special rules on foreign travel and how to make a complaint about HMRC. Special tax rules on foreign travel (490: Chapter 7), Make a complaint about HMRC, Check genuine HMRC contact that uses more than one communication method, Register for Corporation Tax through a dependent agent permanent establishment, Register a non-resident company who disposed of UK property or land for Corporation Tax, Register an unincorporated association for Corporation Tax, Register an offshore property developer for Corporation Tax, Register a non-UK incorporated company for Corporation Tax if you're a UK resident, Find payroll software that is recognised by HMRC, Soft Drinks Industry Levy returns and records (notice 2), Submit your Soft Drinks Industry Levy return, Search the register of customs agents and express operators, Apply for Marriage Allowance by post, Signing up , Use Making Tax Digital for Income Tax, Check if an email you've received from HMRC is genuine, Check if a text message you've received from HMRC is genuine, Transfer of residence to the UK, Install Basic PAYE Tools onto a networked computer.

Revenue has updated its guidelines for determining employment status for taxation purposes to highlight the publication of the revised Code of Practice on Determining Employment Status in November 2024 by the Department of Social Protection, Revenue and the Workplace Relations Commission. Further minor updates have been made to reflect the publication of the EU Platform Work Directive.

The guidance on the residential premises rental income relief (RPRIR) guidance has been updated to  confirm that an individual who was tax compliant on 31 December 2024 can claim the RPRIR tax credit for that year provided they hold a tax clearance certificate when filing their income tax return. All other conditions of the relief must also be met.

Revenue has updated its guidance on the review of opinions or confirmations to provide information to taxpayers who wish to continue to rely on an opinion or confirmation issued by Revenue between 1 January and 31 December 2020 in respect of a transaction, period, or part of a period occurring on or after 1 January 2026. A taxpayer who wishes to continue to rely on such an opinion/confirmation is required to make an application for its renewal or extension on or before 31 March 2026. The guidance has also been updated to summarise the details relating to the review of opinions and confirmation issued between 2012 and 2019 into a table in section 2.3.  Details relating to applications for the renewal or extension of opinions or confirmations issued prior to 1 January 2012 are no longer included in the guidance.

We have compiled the latest updates to various VAT legislation, publications, briefs and guidance. Revenue and Customs Brief 4 (2025): VAT deduction on the management of pension funds How VAT affects charities (VAT Notice 701/1) How to claim a repayment of import duty and VAT if you've overpaid VAT Construction Direction under regulation 25(4AA) of the Value Added Tax Regulations 1995 (SI 1995/2518), Cancelling your VAT registration (VAT Notice 700/11) Check if you can claim VAT relief on goods imported into Northern Ireland for onward supply to the EU How to claim VAT relief on goods imported for onward supply to an EU country Overview of VAT on Low-Value Imports Check when you can account for import VAT on your VAT Return How late payment penalties work if you pay VAT late Who should register for VAT (VAT Notice 700/1) Personal Export Scheme (VAT Notice 707) Buildings and construction (VAT Notice 708) Investment gold coins (VAT Notice 701/21A)

Revenue has published new guidance on the VAT deductibility for insurance and reinsurance supplies providing relevant information in respect of supplies to policyholders located within and outside the EU. The guidance outlines the VAT deductibility rules for investment activities and general overheads and includes several relevant examples. The guidance also provides information on the meaning of insurance and reinsurance for the purposes of VAT deductibility. The VAT Deductibility for Life Insurance Companies manual has been marked as no longer relevant.

Revenue has updated its guidance on the Cooperative Compliance framework for the Large Cases Division (LCD) and High Wealth and Financial Services Division (HW&FSD) to outline the updated group turnover criteria for assignment to the relevant Revenue divisions. The guidance outlines that group turnover for assignment to LCD and HW&FSD is now €350 million, (previously €190 million) and there has been a removal of the group tax threshold requirement of €18 million.  As was the case previously, certain sector specific cases continue to be managed by LCD and HW&FSD, irrespective of the Group turnover figure.

Revenue has updated guidance on the age tax exemption and marginal relief available for individuals aged 65 or older providing additional details on claiming the exemption and the method by which the exemption is granted. The guidance clarifies that the age exemption is available where total income does not exceed the relevant exemption limit, and outlines that the four-year rule for making a refund claim applies where the taxpayer believes the exemption was due and was not applied. A new example has been included to outline a scenario where marginal relief is not beneficial to a taxpayer and other examples throughout the manual have been updated to reflect the standard rate tax bands and personal tax credits in place for the 2025 tax year.

The European Commission has published a report assessing the tax gaps in the EU and its Member States. The report highlights the benefits of reducing tax compliance gaps, including fostering fairer tax systems and sounder public finances.

Revenue has published new guidance providing details on the VAT treatment of extended warranties, manufacturers warranties and commission payments to retailers. The guidance outlines that the supply of an extended warranty is a VAT exempt supply of an insurance service where it meets the definition of insurance. The guidance contains relevant examples and outlines the meaning of insurance, extended warranties and manufacturers’ warranties.