Policy paper

How HMRC works with agents

Updated 23 January 2023

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What are tax agents

Tax agents are agents and advisers based in the UK or in other countries, who are acting professionally in relation to the tax affairs of others. This includes third party agents and advisers, whether acting in respect of UK or offshore tax affairs, and to all dealings they have with HMRC.

It does not apply to Trusted Helpers.

HMRC Charter and strategies

We respect the wish of any taxpayer to be represented by an agent, provided the correct authorisation is in place as set out in the HMRC Charter.

Authorisations of agents are founded on mutual trust and respect.

The agent must follow the HMRC standard for agents.

The HMRC tax administration strategy acknowledges the importance of assuring and, when necessary, raising the standards of tax agents and intermediaries in order to build trust and confidence in the tax administration system.

Use of HMRC’s agent online services is also conditional on following the HMRC online services terms and conditions.

We recommended that all agents familiarise themselves with the principles in these documents.

How HMRC helps agents help their clients

In accordance with the principles set out in these documents, we welcome the value good tax agents bring to the tax administration system.

We support and assist them through delivery of the agent strategy and in a wide variety of ways, including:

  • introductory emails for tax agents who register with HMRC, which provide information on products designed to help and support agents, and signpost to news, information and updates in legislation
  • monthly Agent Update publications
  • blog posts
  • tax agent talking points
  • webinars
  • a dedicated online agent forum
  • dedicated helplines and contacts for tax agents
  • a range of self-serve agent toolkits that help agents make sure their clients get their tax returns right, as well as online guidance and manuals available for the public to consult
  • separate email updates on specific topics

You can find out more about HMRC’s email updates, videos and webinars for tax agents and advisers.

Agents that have been properly authorised by taxpayers to act for them, and who are compliant with the HMRC standard for agents, benefit from full access to HMRC’s agent services.

These services will continue to be developed so that agents can increasingly see and do everything that their clients can, in order to fulfil their clients’ tax obligations as easily as possible.

Find out how clients can authorise agents to act on their behalf.

Although agents may be following the HMRC standards for agents, there may be occasions when we need to contact them about their clients tax affairs.

If agents do not meet the HMRC standard for agents

We will not tolerate poor agent behaviour which causes harm for taxpayers and our staff, and has a negative impact on public revenue.

We will encourage agents to improve their behaviour, impose sanctions to address poor behaviours, limit what they can do or prevent them from acting for clients altogether.

When an agent does not meet the standard for agents, we will take action as quickly as possible, the action taken will be:

  • proportionate

  • reasonable

  • justifiable

  • lawful

  • procedurally fair

We have a range of approaches, policies and powers for addressing poor agent behaviour. These powers are summarised in ‘Raising standards in the tax advice market — HMRC’s review of powers to uphold its standard for agents’.

We can limit an agent’s access to online services, or block that access altogether.

Further action may also be considered, ranging from dialogue with the agent, through to statutory powers (including criminal investigation and prosecution).

Other action may include:

  • disclosure of misconduct to any professional regulatory body an agent is a member of, under section 20(3) of the Commissioners of Revenue and Customs Act 2005
  • dishonest conduct notices and related file access notices, financial penalties and publication of any penalties imposed under schedule 38 of the Finance Act 2012
  • refusing to deal with an agent altogether

When appropriate, we will act under the anti-money laundering powers.

We will enforce the promoters strategy and take action in line with the criminal investigation policy.

This could be as well as, or separately from, other action taken under the HMRC standard for agents.

Because authorisation of an agent is based on mutual trust and respect and we are not legally bound to recognise an agent authorisation, if we determine that an agent is behaving poorly or breaching the HMRC standard for agents, we reserve the right to disregard the authorisation and deal with the client directly.

Your rights as an agent

If you disagree with a decision made by HMRC, you can ask for a review, make an appeal to an independent tribunal, or take both actions. We will notify you of your rights in any given situation.

Find out how to complain about HMRC.

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