Under plans announced by the previous government, from April 2026 employers would have been required to provide more detailed employee hours data through PAYE Real Time Information. In our response to the original consultation which proposed this, the Institute argued that HMRC should not proceed with these plans and should instead ensure that it makes more effective use of the data it already collects. The Government has now announced in HMRC’s latest Stakeholder Digest that it is withdrawing these specific plans after listening to stakeholder feedback about the administrative burden these requirements would have brought. The requirements for the self-employed to provide start and end dates of self-employment and for company owner-managers to provide details of dividend income paid by their company in self-assessment tax returns are going ahead as planned. These requirements will come into effect from 2025/26 for which guidance will be published in due course.

Revenue has updated the Tax and Duty Manual Universal Social Charge (USC) to reflect Finance Act 2024. The main changes to the manual are to reflect the increase in the rate thresholds and the reduction in the USC rate of four percent to three percent. Relevant examples in the manual are updated for these changes. The list of payments exempt from USC has also been updated.

The Taoiseach, Micheál Martin, has appointed Maura Kiely as Revenue Commissioner to succeed Gerry Harrahill. Maura joined Revenue in 2017 and previously worked with the Central Bank and in private practice.

In this week’s miscellaneous updates, HMRC is holding a webinar tomorrow on the national minimum wage (NMW) for seasonal workers and a further webinar is being held next week on the NMW and apprentices. A number of webinars are also being held for employers, details of which are set out below. HMRC has also published a new release of guidance for consultation on Pillar Two. The minutes of the November Wealthy External forum, which the Institute is represented on, have also been published on GOV.UK and finally HMRC has started at trial which involves emailing ‘guidance packages’ to taxpayers following the submission of research and development (R&D) tax relief claim notification and additional information forms. New Pillar Two guidance consultation HMRC has published a consultation document containing supplementary pages of draft guidance. This release includes pages that had not previously been published, including pages on flow-through entities, joint ventures, and additional top-up tax amounts. It also includes pages created/revised to reflect amendments to the UK’s Pillar Two legislation in the current Finance Bill, including to the Under Taxed Profits Rule. Responses can be provided on any guidance content, including previously released pages, and these will be reviewed before publication of the final manual. Please email responses to pillar2.consultation@hmrc.gov.uk including the page reference number where applicable. For further information, see the introduction page in the consultation document. Webinars for employers HMRC is holding the following live webinars for employers over the next few weeks: 4 February - getting payroll information right, 5 February -  employer filing obligations, 11 February - statutory maternity and paternity pay, 12 February-  statutory sick pay, and 19 February - taxing employee's benefits and expenses through your payroll. HMRC’s collection page for new employers contains further information and links to previously  recorded webinars. New R&D guidance trial HMRC has started a trial which involves emailing ‘guidance packages’ to taxpayers after the submission of R&D tax relief claim notification and additional information forms. This aims to provide key pieces of guidance and support when making R&D tax relief claims. According to HMRC: the emails will be sent on a random basis, the content of the email will differ depending on the form(s) submitted. However, it will include contact details for HMRC if the recipient was not aware that the form(s) were submitted, and there is no requirement to respond to the email.

Revenue has confirmed that they are aware of the difficulties the recent exceptional weather may have caused for the timely tax compliance of adversely impacted taxpayers and businesses. Revenue has also indicated that when agreeing flexible payment arrangements, they will take into consideration the financial circumstances of those impacted and particularly those who are experiencing temporary cash flow difficulties. The Press Release confirms that impacted taxpayers and businesses should contact the Collector-General’s office once their situation permits, to agree mutually agreeable arrangements for restoring timely tax compliance.

Revenue has informed us that notices will be issued to taxpayers who are currently registered for income tax or corporation tax and who have not filed income tax or corporation tax returns for years up to and including 2023. The notice is a Level 1 Compliance Intervention in accordance with Revenue’s Compliance Intervention Framework. Revenue is reminding taxpayers that the non-filing of a required tax return can result in a more detailed review by Revenue and is a prosecutable offence.   Agents will receive a single notification in their ROS inbox, listing their clients who have been issued the notice, together with a reminder for agents to file any outstanding returns for their clients.

Last week, the Institute, under the auspices of the CCAB-I, responded to the public consultation on the tax treatment of interest in Ireland. In our response, we stated the need for significant reform in order to remain competitive within the global race for talent and investment. As such, our most important proposal was our recommendation for a direction of travel which ends in a system which allows all commercial interest as a tax-deductible expense, whether trade-related or not, subject to the limitations described in the Interest Limitation Rule and the Anti-Hybrid Rules. The key policy rationale for such a move is the inherent protection afforded to the tax base in these rules. In our view, such a move presents an opportunity for a world-class and robust system to govern the taxation of interest in Ireland. The consultation looked at the taxation of both interest income and interest expenses, with every aspect of the Taxes Consolidation Act 1997 relevant to interest considered. The overall structure of the consultation was twenty-seven questions across the following broad headings: Taxation of Interest Income Interest Deductibility ATAD Interest Limitation Rule Anti-avoidance provisions and other restrictions Financial Services Transactions Withholding Tax Reporting Obligations Reforming Existing Interest Regime We made recommendations under each heading, however we have also been conscious of the need for caution in what is a complex and carefully balanced area of taxation. Our proposal for a system based around the Interest Limitation Rule and the Anti-Hybrid rules reflects the opportunity to choose a new way of taxing commercial interest which should not prejudice taxpayers and their existing arrangements. We hope that this consultation will form part of a wider and ongoing process of stakeholder engagement in the months and years ahead. As always, we will keep you updated via Tax News.

In this week’s post EU exit corner, we bring you the latest guidance updates and publications relevant in the post EU exit environment. 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 sent a guidance email about how to prepare for the next stage in the Windsor Framework which commences from 31 March for parcels and freight moving from Great Britain to Northern Ireland. A new WF guidance page was also launched last week which aims to provide information and resources to help businesses deal with any changes. Miscellaneous guidance updates and publications Notices made under the Taxation (Cross-border Trade) Act 2018, Notices under The Customs Transit Procedures (EU Exit) Regulations 2018, Search the register of customs agents and express operators, External temporary storage facilities codes for Data Element 5/23 of the Customs Declaration Service, Authorised Consignee Temporary Storage (ACTS) location codes for Data Element 5/23 of the Customs Declaration Service, Transit newsletters — HMRC updates, and Attending an inland border facility.

A series of Virtual Training to Advance Revenue Administration (VITARA) reference guides have been developed based on the content of the VITARA online modules. The recently published VITARA Reference Guide on The Audit Program focuses on how an audit program fits into the overall set of activities a tax administration undertakes to promote and enforce compliance with its tax laws.

The European Commission is taking action against 27 Member States for not communicating how they have incorporated eleven EU directives into national law. These directives cover areas such as the environment, financial stability, justice, taxation, and transport. The Commission has sent formal notices to these countries, giving them two months to respond and complete the transposition. If they fail to do so, the Commission may issue a reasoned opinion. The infringement procedures include failure to transport the Directive on the special VAT scheme for small enterprises and Ireland has been included on the list.

The International Monetary Fund (IMF) has published a working paper, Strengthening tax governance through legal design. This working paper develops an analytical framework which can be used to identify the key legal features that should be embedded in tax administration and tax procedure laws, to ensure a balance between tax administration powers and adequate taxpayer protections.

  In this week’s Sustainability/ESG Bulletin read about the Small-scale Renewable Electricity Support Scheme, sustainability and innovation in a new leadership programme for SMEs resources for creating a sustainable business, and a new nature recovery fund for Northern Ireland. Also covered is the sustainability implications for businesses of the new EU Competitiveness Compass, the new standards and guidance from IAASB and IESBA to strengthen sustainability reporting and assurance, and well as the usual articles and upcoming events.   Ireland news Small-scale Renewable Electricity Support Scheme The Small-scale Renewable Electricity Support Scheme (SRESS), the renewable electricity scheme without an auction, operated by the Department of the Environment, Climate and Communications, opened for applications this week (27 January). Small-scale renewable energy projects are defined as renewable electricity generation technologies with an electricity output greater than 50kW, but smaller than typical commercial generators. The SRESS will be operated on the basis of a policy lifetime out to 2030 and includes a 15-year tariff support lifetime for successful export applicants.   CSO figures on 2022 fossil fuel subsidies released CSO figures released this week show a 68% increase in fossil fuel subsidies in Ireland in 2022, from €2.8 billion in 2021 to €4.7 billion in 2022, including direct subsidies to households and tax rate reductions on petrol and diesel. Separately, 2024 was confirmed by the Copernicus Climate Change Service (C3S) to be the warmest year on record globally. Human-induced climate change remains the primary driver of extreme air and sea surface temperatures, with fossil fuel use one of the key contributing factors. Sustainability and innovation in new Dynamic Leadership SME programme Enterprise Ireland, in partnership with Dublin City University (DCU), has launched Dynamic Leadership: Roadmap to Growth. The leadership development programme is designed to equip senior leadership teams of Irish SMEs with the tools, strategies, and insights required for sustainable growth and international success. Programme highlights include a focus on innovation and sustainability, workshops on digital transformation, sustainability, and calculating carbon footprints. Resources for businesses to optimise energy usage and reduce costs The Sustainable Energy Academy Ireland (SEAI) has launched two free new eLearning modules through the SEAI Energy Academy platform: www.seaienergyacademy.ie/. Designed to help businesses optimise their energy usage and reduce costs, the modules are: The new "Fundamentals of Hot Water" module provides comprehensive guidance on managing hot water systems effectively across various business settings. While particularly valuable for sectors with high hot water demands—such as hospitality, manufacturing, and healthcare—the module offers insights relevant to businesses of all sizes.    "Introduction to Building Management Systems," focuses on the increasingly important role of Building Energy Management Systems (BEMS) in modern business operations. This module demonstrates how BEMS technology can revolutionise the way businesses control their building services and reduce energy waste.  Women in Finance Charter 2025 Annual Survey underway The 2025 Annual Survey is now underway for Signatories of the Women in Finance Charter, an initiative to promote greater gender equality in the financial sector. Firms signing the Charter commit to achieving greater gender balance across their organisations, set targets appropriate to the company, and formulate an action plan to achieve these targets. The closing date for the survey is 9 February and further details on the Charter and guidelines for signatories will be available on the Balance for Better Business website. Case Studies for sustainable businesses The Department of Enterprise, Trade and Employment (DETE) has published case studies on how businesses are becoming more sustainable. Three businesses are profiled, including Sweet N Green café, Stories by Ola, and Laundry Lab. For more information on all the supports available to business visit the National Enterprise Hub on neh.gov.ie.    Northern Ireland/UK news Northern Ireland launches nature recovery fund A new fund to support Nature Recovery environmental projects, the first of its kind, across Northern Ireland, has been launched by Environment Minister Andrew Muir. Councils and voluntary organisations can now apply for the Nature Recovery Challenge Fund Competition 2025/26 – 2027/28 which will offer a minimum grant award of £50,000. More details are on the DAERA website. UK government announces offshore infrastructure measures The UK government has announced measures to accelerate the construction of offshore infrastructure, with up to 13 major offshore wind projects expected to generate up to 16GWs of electricity, create employment in the offshore wind sector, and potentially unlock £20-30bn of investment in clean power. Earlier in January the government announced measures to support nature recovery at scale in for the Planning and Infrastructure Bill  as part the government’s Plan for Change. Aligning transition planning and financial planning- resource Accounting for Sustainability (A4S) has developed a resource on transition plans, with support from ICAEW. The resource, Aligning Transition Planning and Financial Planning: key questions for finance teams, outlines key questions for finance teams to help understand the different transition planning activities that may have financial implications. Transition plans can have many benefits, such as delivering new revenue streams, but to turn them into action they need to be supported by adequate financial resources.   Europe News The European Commission has launched its Competitiveness Compass framework, a strategic initiative which aims to “rekindle economic productivity and secure the EU’s competitive edge”. It aims to promote sustainability through an Affordable Energy Action Plan, a Clean Industrial Deal, an Industrial Decarbonisation Accelerator Act and through tailor-made action plans for energy intensive sectors, such as steel, metals, and chemicals. It further sets out an approach and a selection of flagship measures to achieve the three transformational imperatives identified in the Draghi report, i.e. around innovation, decarbonisation and competitiveness, and security. One such measure is the Simplification Omnibus Packages, which aim to reduce the reporting obligations for businesses by up to 25 percent (and up to 35 percent for SMEs), and align various EU regulations related to sustainability, such as the Corporate Sustainability Reporting Directive (CSRD) and the EU Taxonomy. It is anticipated that the Competitiveness Compass will help smaller companies integrate sustainability into their operations without facing excessive administrative burdens. World news IAASB and IESBA unveil new standards and guidance to strengthen sustainability reporting and assurance The International Auditing and Assurance Standards Board (IAASB) and the International Ethics Standards Board for Accountants (IESBA) have launched an integrated effort to support effective implementation of their landmark standards aimed at advancing trust and transparency in sustainability reporting and assurance. Taken together, the IAASB and IESBA sustainability-related standards, as well as the new IESBA standard on using the work of experts, provide a unified global approach to address the growing demand for trustworthy sustainability information to support stakeholder decisions. Report highlights carbon pricing as essential for green hydrogen growth A report from the Potsdam Institute for Climate Impact Research has shown that the growth of green hydrogen is unattainable without carbon pricing. The report, Green hydrogen: Big gaps between ambition and implementation, emphasises the need to focus more on demand-side measures to increase the number of green hydrogen consumers, rather than concentrating solely on supply-side measures. It highlights legislation like the EU’s Renewable Energy Directive, which mandates that green hydrogen must constitute 42 percent of all hydrogen used in industry by 2030, as a crucial step forward. Additionally, it advocates for carbon pricing to account for the environmental costs of producing hydrogen with fossil fuels. Planetary Insolvency report - Risk management and policy decisions A new report has identified an increasing risk of ‘Planetary Insolvency’ – severe societal and economic disruption caused by a breakdown in critical ecosystem services.  The report, Planetary Solvency - finding our balance with nature, brings together risk management techniques, the latest climate science, and systemic risk assessment methodologies assesses the ability of our planet now, and in the future, to support human society and the economy. It is the latest in a series of papers focussing on climate risk from the Institute and Faculty of Actuaries (IFoA) and the University of Exeter, and highlights how risk management techniques, informed by the latest science, can help to guide policy decisions to support future prosperity. Technical Roundup (From our colleagues in Professional Accounting) The FRC has published a thematic review of Climate-related Financial Disclosures by Alternative Investment Market (AIM) and large private companies, following their first cycle of mandatory reporting in the UK.   EFRAG has published a document mapping the voluntary Eco-Management and Audit Scheme against the ESRSs.   Accountancy Europe has set up a tracker that monitors the transposition of the CSRD across the European Economic Area.   (update) Accountancy Europe has also published a FAQs webpage addressing common questions about sustainability reporting assurance. It’s organised into two sections: 1. key concepts of assurance in sustainability reporting and 2. EU regulatory framework.   Articles Why businesses must lead the charge on climate action (Accountancy Ireland - Briefly) The ESG divide in 2025 (Accountancy Ireland - Briefly) What has to happen next for the circular economy to become established in Ireland? (Irish Times) New sustainability reporting rules could hurt Ireland’s reputation, law firms warn (Irish Times) Trump’s Week One Ends With a Heap of Climate Rollbacks (Bloomberg) Administrative burden reduction: Accountancy Europe’s first specific recommendations (Accountancy Europe) What’s the Business Outlook for Nature in 2025? (Business for Biodiversity Ireland) Building credibility and trust in sustainability reporting and disclosure (ICEAW Insights) How accountants can create sustainable value (CPA Canada) Events A4S, The Sustainability Value Triangle The webinar includes exclusive findings from research with professionals: The sustainability actions with the highest perceived impact on value; Insights into overcoming barriers to cross-functional collaboration; The role of mandatory reporting in fostering integration. Expert panelists include: Brad Sparks, A4S;’ Dr. Robert Eccles, Saïd Business School, University of Oxford; Mardi McBrien, IFRS Foundation Virtual, 6 February, 16.00 GMT   Chartered Accountants Leinster Society, 𝗣𝗲𝗿𝘀𝗽𝗲𝗰𝘁𝗶𝘃𝗲𝘀 𝗼𝗻 𝗖𝗦𝗥𝗗 𝗶𝗺𝗽𝗹𝗲𝗺𝗲𝗻𝘁𝗮𝘁𝗶𝗼𝗻  Discover how the implementation of CSRD will present both challenges and opportunities for companies in Ireland from Deloitte's Hollie Keating, Director and Sustainability Reporting & Assurance Lead, and Gareth Martin, Audit Managing Director Virtual, 12 Feb | 1-2pm | FREE Queen’s Business School, QBS Business Breakfast Insights: Sustainability 2030 and beyond Queen’s Business School is hosting the Business Breakfast Insights series, offering insights to help businesses navigate economic and environmental challenges. This first event will explore sustainability in business, with a focus on digital sustainability and sustainability reporting. In person, 13 February, 8.30-10.30, Queen’s Business School, Riddel Hall, Belfast, BT9 5EE   A4S, Sustainability in Action Webinar: Management Information This interactive webinar, aimed at finance professionals, will provide practical insights on how to refocus management reporting and management information by introducing a more integrated approach. Information drives decisions – our speakers will show how considering social and environmental factors results in better information that drives better decisions. Virtual, 25 February, 16.00 GMT Jobs Trinity College Dublin seeks a researcher/project manager for Ecosystem Accounting project (Link to job details)   Sustainability Centre You can find information, guidance and supports to understand sustainability and meet the challenges it presents in our online Sustainability Centre.