Guidance

Issue 121 of Agent Update

Published 17 July 2024

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This publication is available at https://www.gov.uk/government/publications/agent-update-issue-121/issue-121-of-agent-update

Technical updates and reminders

Developments and changes to legislation and allowances relating to UK tax including:

Tax

Making Tax Digital

HMRC Agent Services

Details of live consultations and links to responses, changes to HMRC service and guidance, including:

Agent online forum and engagement

Latest updates from the partnership between HMRC and the main agent representative bodies. Including:

Tax

Guidelines for Compliance — Help with Football Agents’ Fees and Dual Representation Contracts

HMRC has recently published new Guidelines for Compliance — Help with Football Agents’ Fees and Dual Representation Contracts.

These guidelines are aimed at all UK football clubs, agents, players, and coaching staff. They set out HMRC’s view of the tax position when an agent represents both a club and player during a transfer or contract negotiation. This is known as ‘dual representation’.

The guidelines are a practical product for customers to refer to. You should read them alongside HMRC’s existing guidance.

The guidelines:

  • set out HMRC’s views on dual representation contracts
  • help clubs, players and agents lower their compliance risk
  • detail evidence and documents that customers should keep to support any tax position
  • explain HMRC’s view of the latest FA Football Agent Regulations published on 1 January 2024
  • set out any payroll reporting obligations

Guidelines for Compliance are part of HMRC’s ongoing commitment to publishing practical guidance to support customers. They can help you better understand what HMRC considers to be good practice. They can clarify our view in complex, widely misunderstood or new areas of the tax system.

More information on Guidelines for Compliance, including our other publications can be found on GOV.UK.

P11D and P11D(b) Filing and Payment Deadlines  

You need to tell us about any Class 1A National Insurance contributions that your client owes for the tax year ending 5 April 2024 by 6 July 2024 at the latest. You also need to send us any P11D forms by 6 July 24, failure to do so may result in a penalty for your client. Any Class 1A National Insurance your client owes must reach us by 22 July 24.

 You or your client must submit P11D and P11D(b) forms online. Remember it is important that you complete P11Ds and P11Db’s correctly first time. If you make a mistake, you must now complete the online P11D or P11DB amendment form to send a correction.

The July Employer bulletin contained more detailed information about what and how to submit. 

You will only need to tell us your client does not need to make a return if we sent you or your client, an electronic notice to file a P11D(b) or a reminder to file a P11D(b) letter. You can declare a no return of Class1A National Insurance contributions on GOV.UK.

Payrolling Benefits in Kind

Agents can now register their client to payroll benefits in kind. You must register before 5 April 25 to be able to payroll benefits for the upcoming 2025 to 2026 tax year. This means you will not need to send P11Ds for benefits that have been payrolled. 

You can find more information on how to use the payrolling benefits and expenses online service.

Basis period reform — reporting profits on a tax year basis

All sole trader and partnership businesses must now report their profits on a tax year basis, beginning with the Self-Assessment return due by 31 January 2025 (covering the tax year 2023 to 2024).

Any business that previously had a non-tax year accounting period must declare profits from the end of their basis period in 2022 to 2023 up to 5 April 2024, with the additional profit (after overlap relief) being transition profit. The transition profit will be spread by default over 5 years including 2023 to 2024.

Accounting periods ending on 31 March will now be treated as equivalent to those ending on 5 April. This also applies to property businesses. We have recently updated the Property Income Manual to reflect this and other impacts of basis period reform.

Businesses remain free to choose their accounting date. Any business that continues to have a non-tax year accounting period after 6 April 2024 will need to apportion profits from their accounting periods to the tax year.

We have now launched a full package of online interactive guidance to support completion of the return and working out transition profit for these cases. Any computations entered on the interactive guidance do not form part of the return itself — it is there to guide completion of the boxes on the return. Notes to the tax return and help sheets should be consulted as in previous years.

We are aware that some third-party software providers have had difficulties calculating profits correctly where businesses have either long accounting periods or a change of accounting date in 2023 to 2024. For information, there is no restriction in legislation on the length of an accounting period, and spreading of transition profit is available to all businesses with basis periods longer than 12 months in 2023 to 2024. Customers should contact their software provider regarding any issues with their software packages.

We have provided an online service to ask HMRC what the overlap relief figure is according to our records.

We have recently seen a major increase in demand and at present response times are not as quick as we would like, but we are now clearing the backlog of requests. If you have applied and have not heard please do not contact us, as we expect to have cleared the current backlog in the coming weeks. Please help us by only using the online form if it is necessary, it is not intended to be used to ‘check’ a figure that you already hold and there is no requirement to use the service before filing a return. As an example, we have seen cases where the client started trading within the last 3 years where the overlap figure is known to the agent. Dealing with such cases can slow down our response times for all.

We have had some queries about how the Self Assessment return reflects the basis period changes for partnerships. Where such returns are made for a partnership there are no changes to the partnership return (the SA800). This is because all adjustments for transitional profit and overlap relief are made on the individual partners’ returns. If the partnership shortens its accounting period to align with the tax year this may lead to 2 accounting periods ending in the tax year, requiring the preparation of a second set of “trading and professional income” pages and a second set of partnership statements. This process is unchanged from previous years. Agents should consult the Self Assessment notes and help sheets for further details.

Customers can find further guidance and support for basis period reform on GOV.UK.

Non-Resident Company Tax Rates

In April 2023, the main Corporation Tax rate was increased from 19% to 25%. A small profits rate (SPR) of 19% for profits below £50,000 and marginal relief (MR) was introduced for profits between £50,000 and £250,000 which can be used by certain company types. 

Non-resident companies without a permanent establishment within the UK are not eligible to use the SPR or apply MR and must use the main tax rate when calculating the tax on any profits. 

The few exceptions can be found by searching GOV.UK and are outlined in: 

To assist customers, we have published a message on our Service Issues page. 

If you’re aware of clients who may have filed using SPR or applied MR, please encourage them to submit an amended Company Tax Return to report the correct rate of tax.  

If we identify the error, we will correct the return and issue a Notice of Correction (CT620) advising the additional liability to pay.  

 Expanding the Cash Basis

From the 2024 to 2025 tax year, the cash basis will become the standard way to calculate income and expenses for self-employed people and partnerships who are completing and submitting their Income Tax Self Assessment return. If businesses wish to use traditional accruals accounting, or they are excluded from using the cash basis, from 2024 to 2025 they will need to opt out of the cash basis when submitting their Self Assessment return. The first return for which this will be required is the 2024 to 2025 return, due by 31 January 2026.

What is the Cash Basis

The cash basis is a method of accounting that self-employed people and partnerships can use to calculate trading profits for Income Tax purposes, as an alternative to traditional accruals accounting.

It is a simplified regime that reduces the complexity of keeping records, calculating profits, and reporting income to HMRC while still providing an appropriate measure of profits for many businesses.

Cash basis changes from the 2024 to 2025 tax year

  1. The cash basis will be the default way of calculating taxable profit, with an opt-out available to use traditional accruals accounting.
  2. The turnover limits of £150,000 and £300,000 will be removed, allowing eligible self-employed people and partnerships of any size to use the cash basis.
  3. Loss restrictions have been removed so both the cash basis and accruals accounting businesses will be subject to the same tax rules. This will allow cash basis users to set their losses off against other income.
  4. Interest restrictions have been removed so both cash basis and accruals accounting will be subject to the same tax rules, allowing cash basis businesses to deduct all of their business interest.
  5. People with more than one business will be able to choose whether they use the cash basis or accruals accounting for each business they have, rather than having to pick one method for all their businesses.

More information on the changes to cash basis is available on GOV.UK.

These changes only apply to the cash basis for trading income; no changes are being made to the cash basis for property businesses.

Pensions for seasonal temporary staff  

Employers who take on extra staff over the summer must check if these workers are eligible for automatic enrolment into a workplace pension.  
Employers must individually assess any seasonal or temporary staff every time they pay them. This includes staff with variable hours and pay, whether they are employed for a few days or longer.

Employers who fail to comply with their workplace pensions’ duties may receive a warning notice with a deadline to comply. Those who continue to fail, risk a fine.
If an employer has staff who they know will be working for them for less than 3 months, they can use postponement to delay assessing those employees. This pauses the duty to assess those staff until the end of the 3-month postponement period.
Employers can find out more about postponement and who they need to enrol on our website.

Construction Industry Scheme (CIS) — Payment Deduction Statement

On the 1 July 2024, we stopped issuing Payment Deduction Statements (PDS) from the Construction Industry Scheme helpline. We’ve made this change to improve our processes and keep your data secure.

You can still get a Payment Deduction Statement by writing to us at the following address:


PT Operations North East England
HM Revenue and Customs
BX9 1BX

Subcontractors can also ask their contractor for a copy of any missing statements.

Supporting your clients to claim refunds for PAYE tax overpayments

Following the end of the tax year, we will be contacting customers if they have paid too much tax on their PAYE or pensions. From 31 May 2024, customers who are eligible for Bacs refunds will receive details on how to claim their refund online in their tax calculation letter (P800).  

For most of your clients, the quickest and easiest way to claim their refund is online, using GOV.UK or the HMRC app.

Customers who cannot claim their refund online can call us on the telephone number in the letter to request a cheque in the post. Please remind your clients that customers will not receive a refund automatically and need to submit a claim.

Share your views on HMRC’s communications about the new Alcohol Duty approvals, returns and payments digital service

We want to hear your views about HMRC’s communications on the new digital service to process Alcohol Duty Approvals, Returns and Payments — due to launch in 2025. Your feedback will help us improve the quality and relevance of the information we provide in future.

This survey will take you less than 5 minutes to complete. All answers will be kept confidential and anonymised when used in reporting.

To take the survey, please select the following Microsoft Forms.

Changes to the form R40

From 30 April 2024, all paid tax agents submitting an R40 form to claim a refund of Income Tax deducted from savings and investments on behalf of their clients may use the new standard HMRC form.

If you want to be the nominated third party receiving the repayment, you must use the HMRC version of the nomination section on the new standard form and include your Agent Reference Number (ARN). If you do not complete the nomination section, repayment for valid claims will be paid directly to the taxpayer. 

NOTE: A claim will still be accepted if it’s received on a different version of the R40 form, but any nomination will be disregarded, with any repayment calculated being sent directly to the customer.

Where the new form is available

The new R40 form is available for download on GOV.UK.

Changes made to the form

We have added a field which allows agents to complete their ARN within the nomination section, as well as a space where your client can confirm whether they have nominated a professional to act on their behalf.

When the new R40 form should be used

Agents can start using the new R40 form immediately.

Changes to Income Tax repayments process

From 30 April 2024, if you’re a paid tax agent submitting R40 claims on behalf of others and you want to receive repayment on behalf of your client, you will need to provide your ARN when submitting the form. There is a required field to complete your ARN.

Failure to complete the designated nomination section on the R40, including your ARN, on or after 30 April 2024 will result in repayments for valid claims being paid directly to the taxpayer, and not the nominated third party.

You will also need to make sure your client has completed the section which informs us whether they are nominating a professional to act on their behalf for the purposes of the repayment claim. Failure to select ‘Yes’ or ‘No’ in the appropriate section could also result in repayments for valid claims being paid directly to the taxpayer, and not the nominated third party.

Submitting evidence alongside R40 claims for interest paid on Payment Protection Insurance (PPI)

As communicated on 6 December 2023, HMRC now requires taxpayers, or agents representing them, to submit evidence of the original PPI payment as a supplementary item alongside their claim. Claims can continue to be made using the R40 form but evidence must be attached at the time of submitting the claim. You can find guidance on what qualifies as acceptable supporting evidence on a PPI claim on GOV.UK.

Clarifying the workplace nursery partnership requirement rules at section 318 ITEPA

The tax exemption for workplace nurseries was introduced in 1990 to encourage employers in providing nursery places for employees’ children on their own premises. The partnership requirements were introduced to extend the exemption to support smaller employers who may not have the resources to open a nursery on their own premises, but who wished to provide support with childcare to their employees by grouping with others. Employers may have multiple nursery scheme partnerships as required but the same criteria must apply to all partnership arrangements.

This benefit is usually provided to employees through a salary sacrifice arrangement. Generally, the amount of salary sacrificed by an employee in order to receive a benefit is liable to tax, but workplace nurseries are excluded from this.

For further information on the rules for exemption see guidance on GOV.UK.

To qualify for the workplace nursery tax exemption at section 318 ITEPA, certain conditions must be met.

For full details on these qualifying conditions see the guidance on GOV.UK.

As part of these conditions, the scheme employer must make the premises on which care is provided available or satisfy the partnership requirements.

Further details on the partnership requirements can be found on GOV.UK.

Under the partnership requirements, the employer may enter into partnership with a commercial nursery provider to provide the childcare, but they must still satisfy the requirement for the scheme employer to be wholly or partly responsible for financing and managing the provision of care.

Responsibility for Financing, either wholly or partly, means the employer must accept material financial responsibility. This requires more than purchasing places at a commercial nursery and making contributions to fixed costs. HMRC does not consider only paying fixed costs of ‘£x’ (such as a notional £100 per month per employee’s child) to a commercially run nursery already in existence satisfies the requirement. Employers must accept the financial risk associated with running a childcare facility, which is likely to take the form of contributing to overall costs and is such that there is also joint responsibility for any losses.

Responsibility for Managing, either wholly or partly, means taking responsibility for managing the provision of care. This requires input and influence from the employer on management decisions and the way in which the childcare is provided. This could mean monitoring the performance of staff providing childcare, deciding the conditions in which care is provided or allocating places.

Where an employee with a child is appointed to management board of the nursery as an agent HMRC expects evidence the employee is fully empowered to act for their employer and actually does so. This active participation would involve responsibilities such as liaising with the employer, co-ordination with other parents, agreeing action points and following them up.

Examples of actions that are not regarded as taking an active part in management include:

  • an employer occasionally being consulted by nursery providers on broad childcare-related policies
  • an employer having an occasional call with the nursery for a general update
  • an employee having a place on a committee that has no particular brief

HMRC’s view on these tests is explained in guidance on GOV.UK.

HMRC’s view on commercially marketed nursery schemes is in the guidance available on GOV.UK.

HMRC believe the majority of workplace nursery partnership schemes satisfy the requirements, we have been alerted to a small number of scheme operators advertising their services with HMRC approval, where the partnership requirements are not met.

HMRC will never give approval for a business to advertise that a scheme is tax compliant.

If the conditions around the partnership requirements are not met, then the exemption will not apply.

For further help please contact the Employer helpline.

Update on UK implementation of Multinational Top-up Tax and Domestic Top-up Tax

Previous editions of Agent Update (most recently Agent Update 114, Agent Update 111 and Agent Update 110 explained that work is ongoing at UK level to implement changes to the international corporate tax framework.

We know that agents have an important role to play in helping businesses meet their obligations. Therefore, we wanted to make you aware that we have recently:

  1. Published a new page on GOV.UK which is a collection of information about Multinational Top-up Tax (MTT) and Domestic Top-up Tax (DTT). This page brings together links to content published elsewhere on GOV.UK, and contains information previously contained in direct communications to groups with a UK presence that we believe are in scope of Pillar 2.
  2. Issued a further direct communication to groups believed to be in scope of the new taxes, which is our third direct update.

This latest update builds on the information given in previous messages, and contains further information on:

  • if a business is in scope, then it will still have reporting obligations, even if there’s no tax liability
  • a group’s filing member must submit both UK and Global Base Erosion (GloBE) returns, or an overseas return notification, to HMRC for every accounting period that the group in within scope of MTT or DTT
  • if a GLoBE Information Return (GIR) has already been submitted to a qualifying authority outside of the UK, then an overseas return notification will need to be submitted to HMRC instead of a GIR

UK compliance obligations and scope of MTT and DTT

If a business is in scope, then it will still have reporting obligations, even if there’s no tax liability.

A group’s filing member must submit both UK and Global Base Erosion (GloBE) returns, or an overseas return notification, to HMRC for every accounting period that the group in within scope of MTT or DTT.

If a GLoBE Information Return (GIR) has already been submitted to a qualifying authority outside of the UK, then an overseas return notification will need to be submitted to HMRC instead of a GIR.

HMRC online service

Groups can now register for the Pillar 2 top-up taxes digital service, using their Government Gateway user ID.

Agent credentials will not work for group registration.

The deadline to register is 6 months from the end of the accounting period in which the group becomes a qualifying group.

We expect to release the next stage of the online service in late 2024. Amongst other things this will allow customers to make payments and authorise agents to carry out future tasks on their behalf.

We are working with third-party software providers to provide the ability to submit UK Pillar 2 returns using existing third-party software products.

Guidance

We published more draft guidance in December 2023 including updates to pages previously released in June 2023. Further draft guidance will be published in the coming months

Legislation

The Finance (No.2) Act 2023 as amended by Finance Act 2024 Schedule 12 contains the UK legislation that implements MTT and DTT.

We’ll continue to amend our legislation, where necessary, so that it’s consistent with the UK’s international obligations.

Webinars

Webinars will take place in Autumn 2024 covering the scope of the legislation, reporting obligations and safe harbours.

Further details will be given nearer the time.

Transitional safe harbour

A transitional ‘safe harbour’ aims to reduce the compliance obligations for groups in the first years of the regime.  Draft guidance on safe harbours is at MTT15900 onwards.

The update contains a section on the operation of safe harbours, covering points such as:

  • qualifying for a safe harbour does not exclude the group from registering and filing returns
  • the safe harbour applies on a territory-by-territory basis and consists of 3 tests, which are calculated based on qualified figures from the Organisation for Economic Co-operation and Development (OECD) Country by Country (CbC) report
  • a group must make an election for the safe harbour to apply for a territory in an accounting period — this election is made annually on the GIR
  • the transitional safe harbour can still apply to groups who were not required to prepare a CbC report, using figures that would have appeared in a qualifying CbC report had they been required to prepare one

Questions and contact information

As mentioned previously, the Pillar 2 Compliance team are working with the agent community to help us understand any problems groups may have and what action we can take to overcome them.

If you have any questions, or suggestions about what you’d find useful to cover in future updates, please email us at pillar2mailbox@hmrc.gov.uk.

If you represent a group that is in scope of Pillar 2 and they have not received a letter, or if you would like to subscribe to our Pillar 2 updates, please email us.

Self-employed Class 2 National Insurance contributions — refund notification error

You may have received an amended Self Assessment (SA) calculation for some of your self-employed clients, who were incorrectly refunded their Class 2 National Insurance contributions through SA. The calculation would have shown a correction message saying they did not pay their National Insurance contributions on their tax return by 31 January. This is because a data file was processed later than intended which meant some customers were incorrectly refunded their Class 2 National Insurance contributions payment for 2022 to 2023.

If you received this notification and your client paid their Class 2 National Insurance contributions before 31 January, then please take the following action. If you did not receive a message then your client was not affected and you do not need to do anything, but if you want to be certain you can follow the actions.

Action

Check your clients SA statement to see if a SA repayment was issued from the payment made to HMRC, or no SA repayment was made, and there is:

  • a credit showing on their SA statement
  • the payment showing as allocated to an outstanding balance on their SA statement
  • the payment showing as allocated to a different SA debt on their SA statement

If the payment was incorrectly refunded, then please contact us to put it right.

We apologise for any inconvenience this may have caused. We are putting measures in place to make sure this does not happen again.

Making Tax Digital

Take part in Making tax digital for Income tax

Signing up for Making Tax Digital (MTD) for Income Tax testing on behalf of your eligible clients will help you build your knowledge and prepare for the MTD changes before they become a legal requirement from April 2026.

MTD for Income Tax will become a legal requirement.

From April 2026, you or your clients will need to use compatible software to keep digital records and submit quarterly updates to HMRC as part of the MTD for Income Tax changes.

Self-employed individuals and landlords with total income from self-employment and property over £50,000 will be legally required to keep digital records from April 2026. They’ll also need to send quarterly updates to HMRC using compatible software. Those with an income over £30,000 will be required to do this from April 2027.

After your client’s fourth quarterly update has been submitted, the compatible software will show their income and expenses for the whole of the tax year. Updates will help you to spread your workload throughout the year.

If you need to, you can make end of year adjustments to your client’s data using compatible software. Once this is done, you can add any personal income they have and submit their final declaration. This is the last step of reporting their income to HMRC and filing their Self Assessment tax return. 

Help when you volunteer for testing

If you join the testing programme, you’ll have access to HMRC’s dedicated MTD Customer Support Team. The team will help you and your client on MTD issues and with some of the individual’s wider personal tax affairs for the 2024 to 2025 financial year.

For more information, see Use MTD for Income Tax.

How to join MTD testing 

You can join MTD for Income Tax testing in 3 steps:

  1. Read the eligibility criteria and consider which clients can participate. When signing up, you’ll be asked some questions to confirm whether your client is eligible.

  2. Ensure you and your client’s record-keeping software is compatible with MTD and suits your needs. Before signing up, check available software options on GOV.UK and contact your chosen provider.

  3. Sign up your client(s) to the testing.

Notifying HMRC of changes to VAT registration details

From 5 August 2024, agents should make changes to client VAT registration details through authorised access to the client’s VAT Online Account and not using the VAT484 form.

Agents are reminded that changes to bank account details and client email addresses can only be submitted by the client through their VAT Online Account and should not be submitted by the agent on a paper VAT484 form or by any other postal or electronic means.

Using the digital route is quicker, more secure and will avoid any unnecessary delays.

For customers that are unable to access and use our digital services such as those who are digitally excluded or need assistance with digital services, HMRC will always provide a service to meet their needs, continuing to offer support through non digital channels such as the phone, including our ‘needs extra support ‘service.

We know some customers will still need to apply for a change to their details via post on a VAT484 form if they are digitally excluded or, for example, notifying us of taking over someone else’s VAT responsibilities. These customers can contact HMRC to ask for a form.

Updated guidance will be available at Change your VAT registration details from August.

HMRC Agent Services

Staying alert to malicious software

Agents are frequently targeted by criminals who attempt to trick them into downloading malicious software (or malware) onto their devices. This software can give fraudsters access to Agent tax accounts and, in some cases, the personal details of clients. If malware is not completely removed, even after a password change or even the creation of a completely new account, the criminals still retain access.

If we suspect that an agent has inadvertently acquired malware on one or more of the devices they use for their work, and that this has resulted in client data being compromised, we take immediate action to suspend the account.

If we suspend an agents account due to suspected malware, we write to the agent to advise them on the steps they need to take. This includes securing all affected devices before contacting HMRC’s Online Service Helpdesk to initiate the process of un-suspending their account.

Agents should regularly ensure that any software they use is up to date, check their antivirus protection is switched on and is up to date, and avoid selecting links or downloading attachments in suspicious or unexpected emails.

Nobody is immune from fraud. Criminals are great pretenders and will take any opportunity to steal information from customers and use this to access our systems. Before sharing personal or financial details, we always urge customers to visit HMRC phishing and scams on GOV.UK to check the sender or caller is genuine.

To help fight these crimes, forward suspicious texts claiming to be from HMRC to 60599 and emails to phishing@hmrc.gov.uk. Report tax scam phone calls to us on GOV.UK. You can find more information on cyber security at National Cyber Security Centre.

Customers’ correspondence address in the agent portal when receiving correspondence in an alternative format

We will be making a request to update the GOV.UK requesting information in a different format page once we are out of the pre-election period in July.

HMRC launches new VAT registration estimator tool

HMRC have launched a VAT registration estimator tool to support established and prospective small businesses to determine what VAT registration could mean for them.

The tool works anonymously and allows you to produce an estimate of business profits, based on a range of estimated costs and the associated VAT rates.

As an agent, you may wish to use the tool to help demonstrate the financial effects of VAT registration on your client’s business.

For the VAT registration estimator tool and more information, visit GOV.UK.

Check what registering for VAT may mean for your business on GOV.UK

Update to the HMRC Standard for Agents

An updated version of the HMRC Standard for Agents was published on GOV.UK on Friday 17 May 2024. The Standard has a new layout and some minor clarifications. It remains aligned with Professional Conduct in Relation to Taxation (PCRT), and the professional bodies that maintain PCRT were consulted.  

Act now and reap the benefits of filing your 2023 to 2024 tax returns early

More and more tax agents and customers are realising the benefits of submitting their tax returns well ahead of the January deadline. 

Here are 5 reasons why it’s a good idea to file now, which you can pass on to your clients so they can give you their tax information early:

  1. Customers will know how much they have to pay much sooner — giving them more time to plan for their tax bill which is due on 31 January 2025.

  2. Tax returns provide proof of income which your clients will need if they want to apply for a loan, mortgage, re-mortgage or claim benefits.

  3. Making a start on tax returns now means if you need help you’re more likely to get support quicker when demand for our services is lower than if you tried to contact us in December and January.

  4. Your clients, like you, are busy so it might be easier to get information from them now rather than during the festive season.

  5. We know agents and their clients want to get their tax right and it can be stressful, so starting the process early gives you more time to check tax returns and correct them if needed. 

More information on the benefits of filing tax returns early can be found in our news item.

Helping customers to get tax right

We’re writing to around 800 tax agents to ask them to check for any potential errors in their clients’ Self Assessment tax returns for 2022 to 2023 in relation to P14, P11D or the Higher Income Child Benefit Charge.

The letter is being sent to agents representing 20 or more clients (around 28,000 clients in total) and is part of our ongoing work to maintain compliance standards through working with agents.

Action by agents who receive a letter is entirely voluntary. The letter makes clear that this is not a formal enquiry or compliance check. Following the letter, the team coordinating this work will contact the agent to discuss the clients’ returns to assist with the correction process.

Before sending details of clients to agents, the team will confirm the agent is still acting for the clients, to make sure we are complying with General Data Protection Regulation (GDPR).

By working with agents in this way we aim to reduce instances of error and help agents help their clients to get their tax right, and avoid further action or penalties.

Support for customers who need extra help

We have principles of support for customers who need extra help. These set out our commitment to support customers according to their needs, and underpin the HMRC Charter. 

Find out how to get help and what extra support is available. 

Tax Agent Toolkits

HMRC have 26 tax agent toolkits available for you to download and use. They have been designed to address the most common errors seen from previous years. They include checklists of the key issues to consider and links to HMRC technical guidance and manuals.

Be aware that our toolkits are currently being updated.

Here is the breakdown of toolkits by category:

By identifying the most common errors this may prompt a conversation between you and your clients to ensure submissions are correct.

Contact

Complain to HMRC

You can complain to HMRC.

To make a complaint to HMRC on behalf of your client you must be appointed as their tax adviser.

Where’s my reply for tax agents

Find out when you can expect to get a reply from HMRC to a query or request you have made.

There is also a dedicated service for tax agents to: 

  • register you as an agent to use HMRC Online Services

  • process an application for authority to act on behalf of a client

Manuals

You can check the latest updates to HMRC manuals or subscribe to automatic notification of changes. You can also suggest improvements for pages of our manuals by using the feedback options in the page footer.

Online

You can find online training material and useful resources through the HMRC email updates and webinars for tax agents and advisers page.

HMRC videos on YouTube, online learning modules, and live and pre-recorded webinars are available for tax agents and advisers providing you with free help, learning and support on topical subjects.

Publications 

Countdown Bulletin 53 has been added to the Countdown bulletins for pension scheme administrators collection page.

The Revenue and Customs briefs can also be reviewed. These are briefs announcing changes in policy or setting out the legal background to an issue. They generally have a short lifespan, as announced changes are incorporated into permanent guidance and the brief is then removed.

Agent forum and engagement

Using incorrect Self Assessment (SA1) forms

Some agents and professional bodies are using links and PDFs for obsolete versions of the SA1 form. These old forms are out of date, and they include incorrect information for the helpline, return address and Self Assessment criteria. 

Please remove any old links and forms from your websites or online systems and replace them with the following: 

SA1 short form which agents can complete and submit online. Using the online service means you do not run the risk of using the wrong form or sending it to the wrong address. 

SA1 Print and Post (SA1 G-form) which is completed online and then printed and posted.

Agent Online Forum

The purpose of the Agent Forum is for the reporting of potentially widespread and systemic issues and steps are being taken to improve the service for agents and HMRC.

The introduction of the moderation stage onto the Agent Forum aligns it to our other offering, the Customer Forum. Implementation of this change has enabled us to filter out inappropriate posts and ensure the forum is operated within its published guidelines.

There has been a noticeable reduction in Agent Forum posts since this change and this allows widespread and systemic issues to be dealt with far more efficiently by the team and provides more available resource to deal with the increased demand on the Customer Forum. 

Forum processes have also been examined to determine where efficiencies can be made in the escalation of issues, to help improve clearance times and quality of answers. This has involved closer working with stakeholders such as the subject matter expert teams and colleagues in the Communications teams.

Continuing dialogue between HMRC and the agent community is essential to help identify and implement further improvements to the service, so feedback is very welcome.

Contact Information for professional and representative bodies

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