Climbing your career ladder’ can mean many different things. It can mean adding a new skill set or moving from working with financial services clients into industry or getting into a sector that you're really passionate about. It's worth noting that not everyone aims for vertical career growth—priorities like homeownership, travel, and family can influence the pace of your professional journey. The grass isn't always greener on the other side and the key is to do your research. Then you are much better equipped to build the Career pathway for yourself. I have always been amazed by the fact that the people who have stellar careers are not necessarily the top 10 placed ACA’s but rather the ones who know how to read the market, are always discussing their career, looking for the next building block on their cv, and looking to get to know the right people. What extra skills and responsibilities can you squeeze out of your current employer for example sometimes looking internally to your current employer can be a very strong option. Additionally, if you have an internal sponsor in your current company who has your back and wants to see you succeed that can be very powerful. When building a career most of the ACAs I speak to indicate that increased salary and extra money is not necessarily top of their list - it's usually about third on the list. Why not look to get promoted in your current company? There was a great article in Accountancy Ireland last year on how to get promoted. It's a great thing to be able to say when going for interview that you have been earmarked for advancement to the next level based on your strong performance. Are there internal training courses in your current Organisation to avail of ? for example if you're in BIG4. Have you identified that you need more people leadership experience? If so, perhaps this is an extra responsibility that's your current employer can gift to you! Can you move into another division? Can you gain additional systems or ERP experience? If you're innovative by nature perhaps you can suggest and formulate new procedures and efficiencies for your finance division for Department. Remember all these opportunities will become feathers in your cap or small stories to sing your own praises about at interviews in the years ahead. The key is to make sure that the experience you are gaining constitutes the right building blocks for your chosen path and your ultimate goal ie. Your 5 or 10 year plan. Getting involved in PROJECTS can help you pivot off in a slightly different direction with your career and will give you visibility and profile in your organization. It will also  give you the reputation as someone who wants to get involved and get things done it looks great as a value-add on your CV : You develop a whole new set of management skills You gain exposure to new colleagues and senior management It gives your personal brand a major boost   Lateral moves -  Sometimes, a lateral move proves wiser than a hasty vertical leap, allowing for a more strategic career progression. Lateral moves can also involve less pressure and they reinforce your brand and consolidate your expertise in a sector. I see many members who (in a buoyant market) take on new roles which have super salaries and seniority and prestige but can often work out to be a step too far too quickly. In this context sometimes a lateral move can be the clever option and can be the way to scratch itchy feet so to speak … You can enhance your skill sets Gain exposure to new clients Get a broader understanding of your chosen area So for example, moving from a Senior Accountant role in a technology multinational to a Senior Accountant in a Pharma PLC could give you a whole new toolkit for the role pertinent to that new sector rounding you out as a strong experienced finance manager. It will also help you better understand the transferability of your skill sets. As a recently qualified or young professional the wide variety of opportunities and different types of roles available to you post qualification are extensive. Some of you may be in these roles already but for others it can be nice to see the diversity in different styles of opportunities available.   Branding Personal Brand and Networking go hand in hand ! As a young professional you do have a personal brand whether you realize it or not - you now have to guard it and grow it.  Your personal brand is how others perceive you, shaping your professional reputation and career prospects. Be visible in work but also with recruiters via LinkedIn and through your personal network. Raise your profile in your current job - this will become ammunition for interviews in the time ahead. Make sure you are recording and calling out your key achievements.   Ask your boss at reviews what you are doing well. Above all - Don't slip into a comfort zone and don't become invisible   Learn how to Showcase your outputs Be able to talk through your success stories comprehensively. Learn how to sing your own praises - many Chartered accountants need to learn and develop this skill! Always Try to be positive and passionate when discussing work Spend time deciding what you want your personal brand to be and what you want to be known for! Your personal brand basically forms the foundation of your career. Over the last decade or so I've always been amazed by ACA members who have taken control of their personal brand and promoted it well.  It really is the secret to advancement! Essentially your PB is what your colleagues say about you when you are not in the room : eg. “he's a technical genius” or “she knows everyone in the whole company” Or “he is a real people leader” or “she is a super communicator and presenter!” These “auras” or “brandings” that people attached to you can give you a real edge might be your differentiator when it comes to career steps.    Networking As a Chartered Accountant one of the most important and powerful things you can do at an early stage of your career is to build your personal network! A strong personal network is the spine of a successful career and without one your career climb will be far more challenging! Actively nurturing your network, both online and offline, lays the foundation for future career opportunities. When you reach FCA status the likelihood that you make a career move by leveraging your network is over 80% so start building it now! So how do I build and grow my network? Stay in touch with ex colleagues Find an excuse to touch base or pick their brains on something Like / connect / share / discuss- particularly in specific groups in LinkedIn (LinkedIn has a whole sub section of visibility and networking unto itself) Stay in contact with people who attend the same conferences and events as you.   LinkedIn     Platforms like LinkedIn offer powerful networking opportunities. Regular interaction, participation in industry groups, and endorsing others' skills can enhance your visibility and credibility. Embracing virtual networking events, especially in the current digital era, facilitates connections with peers and industry professionals.   Some brief points I would say about LinkedIn and networking : It's essential nowadays Make it a habitual weekly practice eg. connect with 10 people per week Be polite - use a polite connection message Get into key groups of interest to you and interact, pick brains, say hi, post messages Write recommendations for people Endorse peoples skill-sets Introduce other people to each other – They may refer you to a key contact by return some day. Ultimately the key is to embrace LinkedIn and harness its usefulness : it is your business card nowadays it's the appendix to your CV and it's a powerful online networking tool --------------------------------------------------------------------------------------------- VIRTUAL NETWORKING in general is the new way of interacting of course and so look for online events through the Institute or other organisations where you can interact with your peer groups. Eg IIA conference or Chamber of Commerce events. The ACA Professionals Group always has upcoming events and as a Newly Qual you should definitely get involved with the group.     CV Your CV is your marketing tool, highlighting your achievements and value proposition to prospective employers. Tailoring your CV to showcase your strengths and accomplishments effectively is crucial. It's advisable to seek feedback and refine your CV to ensure it resonates with potential employers. Know it inside out and be able to talk your way through it clearly Why not have a few versions of your CV with differing flavors also even a one page punchy resumé that you can forward to someone informally along with your LinkedIn profile. It should shout out the ‘Value Add’ that you are bringing to the new employer. One of the things we are always asked is whether you should name clients on your CV. I always say that if they are PLC clients there's no harm at all and can often look good in terms of branding on your CV.Alternatively, just describe the sector and size of the organization you worked on. Make sure to detail your key achievements and sell your skillsets. Review your own CV critically as if you are the employer asking yourself ‘So What?’ after each line !   If you need any guidance or review of your cv just send it in to the Careers Team and we can talk it through with you. 2 small points :   Your Profile Summary can be customized for applications but should be short, punchy and speak to what you are seeking eg “aiming to develop my career in Internal Audit”. Also, use the Other Interests section to help with ice breaking discussions and to indicate your personality.   The Interview :   So some basic key points about the interview :   Its my firm belief every single interview needs a customized interview prep Every Interview is different no two are the same ;  some are formal some informal, some competency based some CV based. It's usually best to be prepared for a competency based interview even if that means deciphering the competencies for yourself from the spec and then building your specific story-form answers. Star shaped answering is always ideal giving good structure to your examples..   The advantage of doing virtual interviews nowadays is that you can have your slippers on and your notes beside you and the fire on in the corner and even have your hand on a mug of coffee if that helps relax you! Face to face interviews are  coming back more and more in the market now however.   One thing I always find is a common thread in interviews particularly in a buoyant market is that an employer will hire a person for their attitude, energy, communication style, commercial acumen and or leadership style above all other things. So it's not always about having the right technical answer to an interview question sometimes it's simply how you carry yourself in the interview and what your body language is like in the meeting - Your smile / your eye contact etc essentially the rapport that you build during the interview can be hugely influential and worth  focusing on.    Another thing to remember is that most interviews are a subtle two way interaction with you also judging the interviewer.  Some interviewers are not very good and not very experienced at interviewing and you may need to allow for that. Equally you may be judging subtly whether you want to work for this person and do you like them. If the role is one you are really keen on why not let them know towards the end of the interview that you are being really selective in what you are interviewing for at the moment but this is one of your favourites!   Employers hire humans they ‘like’ as opposed to robots and that’s why I always tell members in Interview Prep to go and enjoy the interview and enjoy singing their own praises for once as you rarely get the opportunity.                                        Upon qualification make sure you connect with your ICAI Careers Team to map out the rest of the plan and review the wide variety of ACA paths and market opportunities. Dave Riordan (ACA) Recruitment Specialist & Career Coach https://www.charteredaccountants.ie/Career-Pathway  

In Irish news, Revenue publishes its Annual Report and Minister McGrath comments on the stability of Ireland’s corporation tax receipts. In UK news, we issue a final request for your views on HMRC’s tax agent regulation consultation, and update you on recent discussions with HMRC in respect of its services in 2024/25. In International news, a new report from the OECD highlights the impact of inflation on wages and after-tax income.  Ireland Revenue has published its Annual Report for 2023 confirming strong levels of voluntary compliance. Minister McGrath comments on the stability of Ireland’s corporation tax receipts. UK Tuesday 7 May is the final deadline for letting us know your views on the tax agent regulation consultation. Read our update on HMRC services. International A new report from the OECD highlights the impact of inflation on wages and after-tax income. 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.          

In a new report, Tax Wages 2024, the OECD highlights that effective tax rates on wages rose in most OECD countries in 2023. The report also highlights that workers earning the average wage saw a decline in after-tax income in 21 out of the 38 OECD countries. This decline in after-tax income is driven by the lack of automatic indexation of tax credits and bands across most of the OECD. As such, in periods of high inflation workers’ tax liabilities tend to increase as they are pushed into higher tax brackets.

The Minister for Finance, Michael McGrath TD, and the Minister for Public Expenditure, National Development Plan Delivery and Reform, Paschal Donohoe TD have published the Government’s Stability Programme Update for 2024. This document sets out macroeconomic and fiscal forecasts for the periods 2024-2025 and 2023-2027 respectively.  Modified Domestic Demand (MDD) is projected to grow by 1.9 percent this year and by 2.3 percent in 2025. The projected rate of inflation is 2.1 percent as a result of declining global energy prices.  A government surplus of €8.6 billion is anticipated, though an underlying deficit would be in prospect in the absence of ‘windfall’ corporation tax receipts.  Commenting on the figures, Minister McGrath said:  “Available evidence suggests the economy is in reasonably good shape, at least in aggregate terms. Looking ahead, some of the headwinds that have dominated over the past year are set to ease as the year progresses and this should support a pick-up in economic activity.  The brightest economic spot is undoubtedly the labour market, which has remained resilient throughout the period of high inflation and rising interest rates. There are now over 2.7 million people in employment. To put this in context, three-quarters of our working age population are in work, a near record level.  Crucially, the energy price shock is dissipating and the disinflation process is now well advanced, with headline inflation expected to average just over 2 per cent this year – consistent with price stability. Against this backdrop, consumer spending is expected to pick-up over the course of the year as lower energy prices and the associated easing in inflation support an improvement in real wages and household purchasing power.  MDD growth is expected to average 1.9 per cent for this year as a whole - a modest downward revision of 0.3 percentage points from the autumn forecast. As economic conditions improve over the course of this year, MDD growth is set to accelerate to 2.3 per cent next year.”  On the public finances, Minister McGrath said:  “On the fiscal side, we are projecting a headline surplus of €8.6 billion for this year, the equivalent of 2.8 per cent of national income. This is based on the assumption of tax revenue amounting to almost €92.1 billion, a growth rate of 4.6 per cent. However, I would caution that this surplus is heavily dependent on volatile ‘windfall’ corporate tax receipts which have grown from €4 billion to €24 billion in the space of a decade. When the windfall element of these receipts – estimated at around €11 billion, or almost half the projected corporation tax yield this year – is excluded, there is an underlying deficit in our public finances.  These receipts cannot be relied upon: we saw a marked slowdown in corporation tax over the course of last year, highlighting the volatility of this revenue stream. We can say with reasonable confidence at this point that the era of corporation tax over-performance is coming to an end.  That is why this Government has decided to establish the two new long-term investment vehicles – the Future Ireland Fund and the Infrastructure, Climate and Nature Fund. The objective is to invest windfall receipts to help prepare for future known fiscal challenges. The legislation establishing the Funds is currently progressing through the Oireachtas.  The SPU projections published today reflect the resilience of our economy and Government’s commitment to continuing to invest in our public services and the productive capacity of our economy. However, it continues to be important that we highlight the vulnerabilities that remain just below the surface: it is essential that fiscal policy is framed in a manner that is careful, balanced and sustainable.  The publication of the SPU today is an important milestone in the process of preparing Budget 2025. I now look forward to the National Economic Dialogue next month and then to the preparation of the Summer Economic Statement (SES) before the summer recess. The SES will involve making important decisions concerning the parameters of Budget 2025." 

Readers are reminded that taxpayers currently availing of the Debt Warehouse Scheme have until Wednesday, 1 May 2024, to engage with Revenue to agree arrangements to repay their warehoused debt. Revenue has emphasised that there is no expectation on businesses to have all their warehoused debt repaid in full by 1 May. However, they must have engaged with Revenue, by submitting an ePPA online via ROS, to agree a phased payment arrangement (PPA).  Where a business fails to meaningfully engage with Revenue by 1 May, the balance outstanding will immediately be subject to standard debt collection proceedings and the standard interest rate of 8 percent or 10 percent will apply.   As Revenue reports increasing numbers of businesses making contact to set up PPAs and discuss the flexible payment options, the Collector General’s Division has extended opening hours for its phone lines from 9.30am to 16.30pm on Monday 29 April to Friday 3 May. The Collector General’s Division can be contacted on 01 738 3663 or through MyEnquiries.   Revenue’s online 24/7 Phased Payment Arrangement application system can be accessed through ROS, by clicking on the ‘Other Services’ section. Businesses with warehoused debt of €50,000 or more will be required to submit supporting documents with their applications. Businesses can also pay their debt through one of Revenue’s online payment channels, in full or in partial payments, and can also use an approved refund or credit to pay their outstanding balance.  Speaking about the increasing level of engagement from businesses, Revenue’s Collector General, Joe Howley, outlined:  “Applications for Phased Payment Arrangements are being submitted on a constant basis and customers are also engaging with us via phone and MyEnquiries. As a result of this increased level of engagement, over 6,500 payment arrangements for warehoused debt have now been set up on our system, an increase of over 3,700 in the period since 31 March.   The level of warehoused debt which is not yet subject to an active payment plan is now below €1 billion and this balance will continue to reduce as we approach the key deadline of 1 May. We are actively progressing a further 1,300 Phased Payment Arrangement applications at present and we are aware that many customers have financially planned to pay their warehoused debt in full on or close to 1 May, in order to fully maximise the benefit of the 0% interest rate.”  A summary of the key actions required before 1 May 2024 can be found on the Revenue website, accessible here.  

Revenue has advised us that the facility to record advance payments for employee travel and subsistence expenditure is now available on ROS. As previously reported, the Tax and Duty Manual regarding the enhanced reporting requirements (ERR) for employers provides guidance on an optional administrative practice regarding advance payments of travel and subsistence.   Under this administrative practice, an advance travel and subsistence payment may be treated, in certain circumstances, as not being subject to tax via the payroll when paid, but instead treated as a payment where no tax is deducted in respect of travel and subsistence and therefore subject to ERR reporting at the time of payment. Then, when the expense is incurred and the claim submitted by the employee/director, the employer will be required to update their ERR submission to Revenue to reflect the actual travel and subsistence expense amount in respect of that employee/director. 

Following the publication of Corporation Tax – 2023 Payments and 2022 Returns by Revenue, the Minister for Finance, Michael McGrath TD, noted that corporation tax is now the second largest tax revenue stream for the State. Acknowledging that the high concentration of receipts among a small number of companies brings a significant amount of risk, the Minister noted steps taken by Government to mitigate this risk and protect the public finances into the future.  Highlights from the publication ‘Corporation Tax – 2023 Payments and 2022 Returns’ include:  Corporation tax receipts in 2023 were €23.8 billion (up 5.3 percent year on year), representing 27 percent of total tax receipts  85 percent of receipts were from large corporates with the top 10 corporation tax paying companies accounting for 52 percent of total net receipts (down from 57 percent in 2022)  Net receipts from smaller companies increased by €385 million compared with 2022, a growth of 9 percent  Manufacturing (38 percent), Finance & Insurance (15 percent) and ICT (17 percent) were the largest sectors where corporation tax was paid in 2023.    Commenting, Minister McGrath said:  “I welcome the publication of the Corporation Tax 2023 Payments and 2022 Returns report by the Revenue Commissioners.  This is an extremely valuable piece of work that highlights key trends in what is now the second largest tax revenue stream for the State. Last year we took in nearly €24 billion in corporation tax.  However, we must not forget that these receipts are highly concentrated with just a few firms paying the bulk of the tax. My Department has estimated that roughly half of the €24 billion could be windfall in nature. In addition, we have seen major changes in the corporation tax environment in recent years with the OECD BEPS process. Ireland has committed to the two pillar agreement and has fully implemented Pillar II and is fully engaged in negotiations on Pillar I.  What all this means is that we cannot afford to fund permanent increases in expenditure on the back of tax receipts that may be temporary in nature.  Government has taken steps to mitigate this risk. Government debt has fallen by around €15 billion from its peak of €236 billion during the pandemic and we are continuing to run strong Government surpluses.  I am currently bringing legislation through the Oireachtas that would establish two new long-term funds, the Future Ireland Fund and the Infrastructure, Climate and Nature Fund.  The Future Ireland Fund will have a long term investment focus and has the potential to grow to €100 billion by 2035. It will be used in the coming decades to pay for extra costs we know will occur due to demographics and the climate and digital transitions.  The Infrastructure Climate and Nature Fund will be used to maintain our high levels of capital investment during an economic downturn. This will ensure that critical pieces of infrastructure are delivered and that employment is supported at a time when the economy needs it most.  I expect that this legislation will be passed by the summer and the two new funds will be established later this year.” 

Revenue has published its Annual Report for 2023. The report reflects another year of strong performance for Revenue as it collected a record amount of tax and duty, with gross receipts amounting to €127.9 billion.   2023 also saw a continuation of high voluntary compliance rates, at over 99 percent for large cases and 98 percent for medium cases. Timely compliance rates for all other cases in 2023 was 91 percent, up from 88 percent in 2022. In the same period, Revenue completed over 291,000 compliance interventions with a yield of €787 million and 85 tax avoidance cases with a yield of €16.5 million.  Revenue also published a number of other research and statistical papers on Corporation Tax, Income Tax, VAT together with a survey of PAYE customers in 2023 and an evaluation of Budget 2023 compliance measures.   Commenting on today’s publications Revenue Chairman, Niall Cody, said:  “Continued strong levels of timely and voluntary compliance rates confirm that the vast majority of taxpayers pay the right amount of tax at the right time. Given the exceptional disruption which individual taxpayers, businesses and agents have experienced over the past four years, this is an extremely positive reflection on their continued engagement with their tax compliance obligations, and the importance that society generally places on a strong culture of voluntary and timely tax compliance.   We acknowledge and thank all taxpayers and their representatives for their ongoing engagement and co-operation.”  Read the full report for more information. 

Revenue has updated the Tax and Duty Manual which provides guidance on the operation of Ireland’s bilateral Advance Pricing Agreement (APA) programme. The programme provides certainty to taxpayers regarding the process involved in applying for a bilateral APA and the ongoing reporting and administrative requirements once an APA has been entered into. The updated Guidelines take into account international best practice in relation to bilateral APAs as identified by the OECD Forum on Tax Administration (September 2022).  The main changes to the guidelines are as follows:  Including prospective years in an APA term in situations where most of the years proposed to be covered by an APA have passed by the time an agreement is reached between the competent authorities (Part 3.3).  Position to be adopted by a taxpayer in corporation tax returns filed in the period from when an APA application is submitted to Revenue until the APA is concluded (Part 4).  Electronic submission of APA applications (Part 4.2 and Part 8).  Timeframe for Revenue to make a decision in relation to the acceptance of an APA application into the APA programme (Part 4.2).  Annual reporting requirements (Part 4.5).  Timeframe for a taxpayer to notify Revenue in situations where it ceases to apply the terms of an APA (Part 4.5).  Amendment by a taxpayer, where necessary, of previously filed tax returns following the revision, revocation or cancellation of an APA (Part 5).  Relationship between transfer pricing audit and the APA process (Part 6). 

Over the course of several editions of Chartered Accountants Tax News in March and April, we summarised the proposals in HMRC’s consultation “Raising standards in the tax advice market – strengthening the regulatory framework and improving registration” and asked for your feedback. This week we’re issuing a final reminder to let us know your views, especially on the three options presented, mandatory membership of a professional body, a hybrid HMRC and industry enforcement model, or regulation by an independent statutory body. The Institute has condensed all the proposals in this consultation into one document and encourages members to send their feedback to us by close of business on Tuesday 7 May. Email tax@charteredaccountants.ie to let us know your views.  Members may also wish to respond to the consultation themselves (closing deadline is 29 May 2024). To facilitate this, HMRC has launched a consultation survey. Alternatively, you can email raisingstandardsconsultation@hmrc.gov.uk.  

Readers will be aware that last month HMRC announced a series of permanent changes to its helplines which were to begin from 8 April 2024. However, on 9 April, HMRC  announced that the changes were being halted while HMRC “considers how best to help taxpayers harness online services”. Chartered Accountants Ireland recently discussed this with HMRC at its most recent Representative Body Steering Group (“RBSG”) meeting, the highest-level forum meeting for the Professional Bodies. Read on for an update on that discussion and key messages for members.  At the RBSG meeting, HMRC staff made clear that quarters one and two of 2024/25 are likely to see a further decline in services whilst HMRC considers the way forward. A bespoke meeting is expected to take place next month with the Professional Bodies (including the Institute) to discuss further.  Last week HMRC’s Chief Executive and First Permanent Secretary Jim Harra appeared in front of the Treasury Select Committee to provide oral evidence on HMRC service levels. Mr Harra did not rule out returning to the proposed helpline changes but did say that HMRC is reviewing its strategy and that it should have ‘taken more time to go through the evaluation of last year’s trial and spent more time explaining how people would be supported’. Mr Harra also confirmed that from 1 April 2022 to the end of the current financial year, HMRC expects to have to reduce the size of its customer service group by about 5,000 staff but confirmed that there really is only one alternative plan, and that is to deploy more helpline resources. HMRC “currently do not have the funding to do that, but we are of course in discussions with Ministers, following the decision not to go ahead with these changes, about what we will do.”  The Institute and its NI Tax Committee is monitoring this issue and will be attending next month’s bespoke meeting. However, we are disappointed that a request for a bespoke meeting before the formal announcement was made by HMRC last month was rejected and only now is one being set up to discuss our concerns in more detail. Feedback on HMRC services can be sent at any time to the Institute.  The Administrative Burdens Advisory Board (“ABAB”) 2024 Tell ABAB annual survey on HMRC is also currently open until tomorrow 30 April 2024 to feedback on HMRC performance and tax compliance. The survey provides crucial insight on the big issues faced by small businesses in the tax system and is commissioned by the ABAB, an independent body who are passionate about listening to and understanding the needs of the small business community. Results from the survey will be published in a report, which is targeted for publication on GOV.UK in September 2024. 

Last week HMRC picked up a new VAT email scam associated with a QR code. HMRC has posted about this on its social and digital media channels to issue a warning. Essentially HMRC became aware of a small number of cases where the paper bank details variations form (VAT484) has been wrongly used in an attempt to gain access to a business’s VAT repayments.   According to HMRC, action is being taken to address any cases identified to date, including writing to businesses to confirm changes made to their details since January 2024, and putting in place solutions to minimise any further instances. The warnings issued last week are available here:-  X - https://twitter.com/i/status/1782803752388342084; and  Facebook - https://fb.watch/rDBLKlAsfd/.  Anyone receiving any type of phishing attempt should report this to HMRC.