New penalties to apply to taxpayers testing making tax digital

[ad_1] HMRC has explained how penalties will be charged where volunteers testing making tax digital income tax self assessment are late in making a payment or submitting a return. HMRC has published guidance on the late submission and payment penalties that apply where a person volunteers to test making tax digital income tax self assessment […]

Making tax digital testing to be launched

[ad_1] Agents will be invited to sign up clients later in April for making tax digital income tax self assessment. ICAEW will consider the pros and cons in a webinar. Making tax digital income tax self assessment (MTD ITSA) requires a taxpayer to keep digital records and send quarterly updates to HMRC using compatible software.   […]

Legislative changes allow HMRC to move to digital by default

[ad_1] The government has announced improvements and legislative changes intended to increase the use of HMRC’s online income tax services. If this article is supporting your professional development, it can count towards your verifiable CPD hours. Use the pop up at the bottom right corner of your screen to add reading this article as an […]

HMRC consults on draft making tax digital regulations

[ad_1] ICAEW’s Tax Faculty is seeking feedback on draft regulations and notices on MTD ITSA. The faculty has highlighted four key points for members to consider. Following the announcement on making tax digital income tax self assessment (MTD ITSA) at Autumn Statement 2023, HMRC has published revised draft regulations and notices for a short technical consultation.  […]

Digital scheme for DIY housebuilder VAT refunds launched

[ad_1] Taxpayers building their own home can now claim back VAT incurred through an online service. HMRC has launched an online service to reclaim VAT for DIY housebuilders. This follows an announcement at the Spring Budget 2023 and an update at the Autumn Statement 2023. The VAT DIY housebuilders scheme allows taxpayers building their own home to […]

Admin burden reduced for UK-resident digital sales platforms

[ad_1] A European Commission regulation ensures that a UK-resident platform hosting EU-resident sellers may only need to report data to HMRC. Reporting rules for digital platforms come into force in the UK on 1 January 2024. These rules require UK-resident digital platforms to report information to HMRC on the activities of sellers based on their […]

Where are the gaps in HMRC’s digital services?

[ad_1] ICAEW’s Tax Faculty wants to get your thoughts on the top priorities for the development of HMRC’s digital services. HMRC is seeking to promote a channel shift, away from phone and post to digital services. Most agents would prefer to interact digitally with HMRC, but agents do not have access to all the services […]

HMRC guidance on digital records and signatures

[ad_1] HMRC confirmed its position on digital records and signatures in agent update 110. ICAEW’s Tax Faculty is encouraging HMRC to conduct a wider review of this area. ICAEW and other professional bodies have sought clarity from HMRC on a number of issues concerning digital record keeping and signatures. There is scope for greater consistency […]

EU VAT in the digital age package: ICAEW responds

[ad_1] ICAEW’s Tax Faculty members provide comments on the European Commission’s legislative proposals. The EU commission recently consulted on its legislative proposals to implement its VAT in the digital age (ViDA) package. The commission made proposals for a directive, a regulation and an implementing regulation with respect to the introduction of its proposals.  The ViDA […]

Self assessment taxpayers to be moved to digital filing

[ad_1] HMRC is contacting almost 135,000 taxpayers who currently file paper self assessment (SA) tax returns to tell them that they will need to phone HMRC if they require a paper form. The SA forms will no longer be available to download from As part of HMRC’s digital by default approach, HMRC is contacting […]