Tax work has been divided into three categories under the revised Continuing Professional Development (CPD) Regulations, each with its own requirements. Find out what category your role falls into ahead of the changes coming into force.
From 1 November 2023, all ICAEW members subject to the CPD Regulations must first identify into which CPD category they belong, based on the type of work they do. To help members, ICAEW has produced a CPD self-assessment tool.
There are three CPD categories for members working in practice. Each CPD category sets out a minimum number of hours of CPD that must be undertaken, a proportion of which must be verifiable.
What are the CPD requirements for ICAEW members who work in tax?
Tax work has been divided into the three categories designed to reflect the risk profile and the complexity of the work. The three categories are as follows:
Those providing direct or indirect tax services to large companies, listed or international companies or groups, or high-net-worth individuals. For CPD purposes:
- a large company is one which does not meet the small or medium-sized company criteria in the Companies Act 2006; and
- a high-net-worth individual is one with net worth greater than £20m.
Those providing tax services that do not fall into category 1 or category 3.
Those only providing the following tax services:
- simple income tax self-assessment returns for individuals and partnerships who are UK resident, UK domiciled, and not high-net worth-individuals; and/or
- VAT compliance (not advice) for entities that are not large companies, listed or international companies or groups; and/or
- payroll administration.
If you do more than these services listed in category 3, but do not deal with the types of clients detailed in category 1, then you are within CPD practice category 2.
Members who undertake work in other areas (ie, not just tax work) might wish to look at the guidance published on the CPD categories to see how their CPD categorisation might be affected.
The CPD self-assessment tool also has a ‘general practice’ option which helps you to assess whether any of the services you provide would put you into CPD practice category 1 or 2.
The CPD minimum hours requirement
The number of hours depends on your category and whether or not you work in practice. The minimum hours requirements apply regardless of whether you are working part-time or full-time. If your work covers more than one category, then your CPD requirement will be based on the category with the highest number of hours.
What support can I get from ICAEW to meet my CPD requirements?
ICAEW’s Tax Faculty can keep you up to date with: tax news, practical articles in TAXline, TAXguides, webinars and events. ICAEW members have unrestricted access to these materials which can provide verifiable CPD and can join the Tax Faculty for no additional cost.
Alongside the faculty’s resources, ICAEW provides a range of other tax updates, including courses, events, webinars and tax discussion groups.
Members also have access to other faculty and community content covering a variety of technical accountancy areas and industries from agriculture to tourism. ICAEW also provides support on soft skills, such as communication and managing teams, which also count towards CPD.
Meanwhile, eligible ICAEW member firms have free access to Bloomsbury Professional’s comprehensive online library, comprising more than 60 titles from some of the country’s leading tax and accounting experts.
The service provides integrated and up-to-date legislation, HMRC manuals, case summaries and current awareness to support firms in advising clients.