The August edition sets out a brief summary of the OECD’s two pillars with the latest anticipated implementation dates, and also highlights the expanded MTD for Income Tax pilot:
Pillar 1 and Pillar 2: the OECD intends Pillar 1 to enter into force in 2024, with a multilateral convention to implement the rules to be signed in the first half of 2023. HMRC notes that the UK ‘will start detailed preparations for the administration of Pillar 1 once the model rules are finalised’. Pillar 2 will have effect for accounting periods beginning on or after 31 December 2023, as previously noted. Draft legislation for the multinational top-up tax was included in the draft Finance Bill 2023 provisions on 20 July 2022 (‘Legislation Day’).
Making Tax Digital for Income Tax: HMRC is expanding the pilot, inviting agents to recommend clients who can help test the system. This follows concerns put forward by the professional bodies that further clarity was urgently needed.
Corrected guidance on first full payment submissions for new starters: HMRC has confirmed the correct treatment of P45s received late by employers, following an error in the guidance in Agent Update 96.
Changes to VAT compliance for overseas traders using online marketplaces: from September 2022, HMRC will issue assessments straight away rather than asking traders for information first of all, where information it already holds suggests that VAT returns are inaccurate.
Agent Services Account changes: HMRC is developing new ‘granular’ permissions which will allow agents to control of who in their organisation can access client records
Corporation Tax Service update: from 16 September 2022, the service will be updated to accept returns which include annual investment allowance claims over £200,000 and loans to participators claims under CTA 2010 s 455 with the new rate of tax of 33.75%
CT600L update: issues highlighted in Agent Update 95 regarding R&D claims will be fixed from 16 September 2022
The Trust Registration Service: a reminder that the deadline for registering most trusts on the Trust Registration Service (TRS) is 1 September 2022
The August edition sets out a brief summary of the OECD’s two pillars with the latest anticipated implementation dates, and also highlights the expanded MTD for Income Tax pilot:
Pillar 1 and Pillar 2: the OECD intends Pillar 1 to enter into force in 2024, with a multilateral convention to implement the rules to be signed in the first half of 2023. HMRC notes that the UK ‘will start detailed preparations for the administration of Pillar 1 once the model rules are finalised’. Pillar 2 will have effect for accounting periods beginning on or after 31 December 2023, as previously noted. Draft legislation for the multinational top-up tax was included in the draft Finance Bill 2023 provisions on 20 July 2022 (‘Legislation Day’).
Making Tax Digital for Income Tax: HMRC is expanding the pilot, inviting agents to recommend clients who can help test the system. This follows concerns put forward by the professional bodies that further clarity was urgently needed.
Corrected guidance on first full payment submissions for new starters: HMRC has confirmed the correct treatment of P45s received late by employers, following an error in the guidance in Agent Update 96.
Changes to VAT compliance for overseas traders using online marketplaces: from September 2022, HMRC will issue assessments straight away rather than asking traders for information first of all, where information it already holds suggests that VAT returns are inaccurate.
Agent Services Account changes: HMRC is developing new ‘granular’ permissions which will allow agents to control of who in their organisation can access client records
Corporation Tax Service update: from 16 September 2022, the service will be updated to accept returns which include annual investment allowance claims over £200,000 and loans to participators claims under CTA 2010 s 455 with the new rate of tax of 33.75%
CT600L update: issues highlighted in Agent Update 95 regarding R&D claims will be fixed from 16 September 2022
The Trust Registration Service: a reminder that the deadline for registering most trusts on the Trust Registration Service (TRS) is 1 September 2022
