This toolkit stands as a comprehensive guide, arming managers with crucial insights, strategies, and best practices to cultivate a thriving and dynamic team. Above all, it emphasises the critical need to build resilience and purpose within the workplace, contributing to a more productive, rewarding, and compassionate work environment. Together, let's pave the way towards a brighter future for the Chartered Accountancy profession by prioritising mental health and fostering a culture of holistic wellbeing. Download CAW's Wellbeing Toolkit for managers in the accountancy profession. Acknowledging the profound impact of mental health on work performance, relationships, and the overall quality of life, CAW delves into the importance of fostering employee wellbeing in our fast-paced industry. Depression and anxiety, prevalent mental health conditions, exert a significant economic toll, amounting to US$ 1 trillion each year on the global economy. The Gallup Global Employee Survey paints a concerning picture, revealing that less than a quarter of the world's employees feel they are thriving at work, underscoring the urgency to address this growing challenge. The McKinsey Health Institute's extensive survey across 15 countries and 15,000 employees unearths a stark reality - 59% of the workforce grapples with mental health challenges, highlighting the imperative for employers to intervene and support their teams. This holds true for the Chartered Accountancy profession as well, where stress and burnout are prevalent issues, affecting over half of Chartered Accountants. Managers within this industry play a pivotal role in shaping a conducive work environment that fosters mental, emotional, and physical health. Recognising the direct link between comprehensive support and heightened engagement and productivity, it becomes both an ethical and strategic responsibility to manage wellbeing effectively. The Chartered Accountants Worldwide global wellbeing taskforce acknowledges this imperative and is proud to introduce our wellbeing toolkit for managers. This toolkit stands as a comprehensive guide, arming managers with crucial insights, strategies, and best practices to cultivate a thriving and dynamic team. Above all, it emphasises the critical need to build resilience and purpose within the workplace, contributing to a more productive, rewarding, and compassionate work environment. Together, let's pave the way towards a brighter future for the Chartered Accountancy profession by prioritising mental health and fostering a culture of holistic wellbeing.

At the September meeting of the TALC Direct and Capital Taxes Sub-committee, practitioners noted issues arising when filing returns for Reliefs for Investment in Corporate Trades (RICT). RICT returns are due for filing by 30 April each year and an error arose in respect of the 30 percent spend fields in the Return.  In a recent email from Revenue, they have advised the following:  “Further to our recent guidance in relation to the issues experienced by users which prevented the upload of the RICT return ahead of the filing deadline of 30 April 2023 due to errors arising whereby the provision of a date by which 30 percent of the investment was spent on a qualifying purpose was required in order to complete the return for investments made on or after 1 January 2022, we wish to provide the following update:  The ‘lock’ that is currently placed on the return which does not allow for filing of the return for 2022 investments after 30 April 2023 is to be lifted within the next week following which it will be possible to file returns in relation to 2022 investments. We will send a further update when that has happened.    The resolution of the 30 percent spend issue outlined above will however take longer to complete.    Once the lock has been lifted, and pending the resolution of the 30 percent spend issue, companies and practitioners may insert the date of share issue as the date of having met the 30 percent spend requirement to allow for completion and uploading of the RICT return and the generation of Statements of Qualification.” 

The time limit for making a claim under the Temporary Business Energy Support Scheme (TBESS) expired on 30 September 2023. Revenue has published preliminary statistics which provide breakdowns of TBESS registrations, approved claims and payments by economic sector, employment size, trade and county. In total, 31,309 businesses registered for the scheme, with 62,478 approved claims valued €145.32 million. 

Revenue is aware that its online services are not suitable for some taxpayers due to either ability or access issues. To assist taxpayers that cannot use its online services, an Access Supports Marker is available to taxpayers on an opt-in basis. This marker will be applied where taxpayers advise that they have a need for additional supports and assistance in managing their tax affairs.   Guidelines for the application and use of the Access Supports Marker for taxpayers who have difficulty in accessing Revenue's digital services are contained in a new Tax and Duty Manual recently published by Revenue. 

As previously reported, the size of individual files that can be uploaded as part of the eCG50 process is increased to 11 MB. In this regard, Revenue has published an updated Tax and Duty Manual to advise users how to split or compress files (which exceed the maximum file upload size). Further details are available in eBrief No.207/23. 

Revenue has updated the Stamp Duty Manual that provides guidance on a number of exemptions and reliefs from the charge to stamp duty. Section 86A SDCA 1999 provides for an exemption from stamp duty on the transfer of stocks or marketable securities admitted to the Euronext Growth Market operated by Euronext Dublin. The guidance has been updated in paragraph 18 to reflect the fact that this exemption is an EU State Aid, granted under the general de minimis Regulation, and therefore must comply with the rules set out within that Regulation. 

Revenue has updated the Tax and Duty Manual that provides guidelines for Phased Payment Arrangements (PPAs) as follows:  The debt warehousing link has been updated to include payment options for warehoused debt repayments (paragraph 2).  Completion of the ePPA1 form is a mandatory requirement for all PPA applications. Paragraph 4 sets out changes to supporting documentation required to be uploaded with the application, depending on the value of debt is outlined.  Personal Insolvency Arrangements guidance has been updated to reflect current work practices (paragraph 14).   The letter to Personal Insolvency Practitioner, previously at appendix 5, has been removed as it is no longer in use. 

The Minister for Finance, Michael McGrath TD and the Minister for Public Expenditure and Reform, Paschal Donohoe TD, will announce Budget 2024 on Tuesday 10 October 2023. We will issue our Budget 2024 newsletter tomorrow evening covering all the main points. You can keep up-to-date with the announcements by visiting the Institute's Budget 2024 landing page.  

Last week the Institute met with HMRC’s VAT policy team to discuss in detail feedback received from our members and their clients that the 31 October 2023 deadline for selling second-hand cars bought from Great Britain and moved to Northern Ireland before 1 May 2023 should be extended. Under the current rules, such vehicles will not be able to use the VAT margin scheme if these vehicles are sold after 31 October 2023 meaning VAT must be charged on the full selling price. HMRC’s current view is that 31 October 2023 is still the deadline and dealers should make all attempts to sell these vehicles before that date. The Institute pressed HMRC to consider an extension and also said that if an extension is granted, this decision should be made and announced as soon as possible.  If your car dealer client has not yet sent in supporting evidence to demonstrate the ongoing difficulties being experienced in selling these vehicles, HMRC is still willing to accept such evidence which can be emailed to the Institute. We would recommend that this is done as soon as possible. By way of reminder, the information requested by HMRC is details or estimates in respect of the following:- The numbers of second-hand vehicles dealers in Northern Ireland had in stock on 1 May 2023 that were sourced from Great Britain;  How many of these remain unsold at present, and their estimated value;   How many are likely to be unsold on 31 October 2023, and their estimated value; and   If there is any category of vehicle that may be particularly affected by having a cut-off date of 31 October 2023 after which the margin scheme could no longer be used.   The Institute wishes to thank those members and their clients who have already provided information to support the need for an extension.   

The September Exchequer returns show tax receipts to end-September were €61.4 billion, up €3.5 billion, or over 6 percent higher, than the same period last year. Overall an Exchequer surplus of €1.1 billion was generated to end-September. This compares with a surplus of €7.9 billion for the same period last year, with the bulk of the difference generated by the transfer of €4 billion of windfall tax receipts to the National Reserve Fund earlier this year.   Corporation tax receipts were €14.4 billion to end-September, €0.6 billion, or 4.5 percent, higher than the same period last year but significantly behind profile by €0.7 billion. The underlying volatility in corporation tax is highlighted by the fact that this is the second consecutive month in which corporation tax receipts have declined on a year-on-year basis.  Reflecting a labour market that is operating at full employment, income tax receipts to end-September were €23.1 billion, up 8.2 percent on the same period in 2022 and in line with expectations. VAT receipts to end-September totalled €16.8 billion, up €1.5 billion, or 9.7 percent on the same period last year but slightly below profile.   Commenting on the figures, the Minister for Finance, Michael McGrath TD, said:  “The tax data to end-September demonstrate the need for caution as we finalise Budget 2024. The underlying strength of our economy remains evident in the steady growth in income tax and VAT receipts. However, the sharp underperformance of corporation tax is more evidence that, as I have warned many times, these receipts cannot be relied upon.  This Government has taken a number of important steps to address our exposure to corporation tax receipts, including transferring €6 billion in windfall receipts to the National Reserve Fund and committing €2¼ billion of windfall receipts to fund capital projects. In addition to this, work is at an advanced stage on proposals for a longer-term investment fund that will enable us to use some of these receipts to prepare for future fiscal pressures.  Ultimately, however, the best way to guard against exposure to windfall receipts is by pursuing a budgetary policy that strikes the correct balance between addressing the challenges of today and ensuring our public finances remain sustainable over the medium-term: it is on that basis that Budget 2024 will be framed."   

At the end of September, the UK government published additional draft legislation which contains further amendments to the UK’s Pillar 2 draft legislation. Representations on the amended draft legislation, including the additional updates (summarised below), should be made by 25 October 2023. It is also confirmed that officials are reviewing comments already received, which do not need to be resubmitted.  According to an email from HM Treasury, the amended draft legislation reflects stakeholder observations on the draft Finance Act and July 2023 L-Day publication on this draft legislation, in addition to the OECD administrative guidance released in February and July 2023. This includes amendments in respect of the following areas:-   Currency conversion rules;  Tax credits;   Substance-based Income Exclusion;   Qualified Domestic Minimum Top-up Tax (“QDMTT”); and   QDMTT and Transitional UPTR (Under Taxed Profits Rule) Safe Harbours. 

This week we bring you news about a pragmatic approach being taken by HMRC to enquiries into off-payroll working compliance and action is needed by certificate of tax deposit holders by 23 November 2023. A new interactive guidance HMRC tool is available to establish if national insurance contributions must be paid whilst working abroad and HMRC has published guidance in its International Exchange of Information manual on the new mandatory disclosure rules which took effect from 28 March 2023. Updated guidance has also been published in HMRC’s Employment Income manual on issues in relation to electric vehicles which confirms that no taxable benefit in kind arises if an employer reimburses the employee for the cost of charging a company-owned electric car. And finally, in a recent meeting of HMRC’s VAT Registration forum, which the Institute participates in, it was announced that from mid-November 2023, HMRC will no longer be providing paper VAT registration forms on GOV.UK. This will only be available on request from the VAT helpline (more information on this will be provided in due course).  Off-payroll working enquiries  We are aware that HMRC are currently taking a pragmatic approach to enquiries into the off payroll working rules by offering deemed employers the opportunity to pause any settlement, as currently this legislation does not allow for offset of any taxes already paid by the contractor or their personal service company. This is because HMRC has been consulting on legislation which may allow a limited set-off for these taxes.   However, it is not currently guaranteed that this legislation will be introduced. The ability to pause any settlement is subject to certain conditions, which are set out in a letter to deemed employers from HMRC.  Certificate of Tax Deposit holders 23 November 2023 deadline  The deadline for using Certificates of Tax Deposit is 23 November 2023. The Certificate of Tax Deposit Scheme allowed you to deposit money with HMRC and use it later to pay certain tax liabilities. The date that you bought your certificate is known as the effective date of payment.   On 22 November 2017, HM Treasury gave notice of the scheme’s closure. This means the Certificate of Tax Deposit scheme closed for new purchases from that date. HMRC will continue to honour existing certificates until 23 November 2023.  HMRC recommends holders to contact the Certificate of Tax Deposit team before the scheme closes to tell HMRC how you want to use your certificate. If you think you will still have any certificates after 23 November 2023, you should contact the team as soon as you possible to arrange a refund.  After 23 November 2023 HMRC will try to repay the balance of any certificate which remains unpaid and unclaimed. If it is unable to (for example, because HMRC is unable to contact the current certificate holder after reasonable effort), HMRC will consider the balance as forfeited.  A detailed email has been sent to us by HMRC setting out this information, which you can read here.