Guidance

Issue 142 of Agent Update

Published 16 April 2026

Technical updates and reminders

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

Tax

Borders and Trade

Making tax Digital

HMRC Agent Services

Tax

New rates for the National Minimum Wage

According to legal requirements, the National Minimum Wage (NMW) and National Living Wage (NLW) are the minimum hourly rates that employers must pay their workers, irrespective of the size of their workforce.

Rates increase on 1 April each year. Your clients must use the new NMW rates and NLW rates from the first pay period starting on or after 1 April 2026.

Avoid mistakes when applying the rates

NMW and NLW are more than just hourly rates — they are calculations. Many employers unintentionally underpay workers due to errors in calculating pay rates. For instance, making deductions that reduce employees’ wages below the minimum wage, or failing to compensate them for all hours worked.

To learn more about this and to help your clients avoid mistakes, we have a collection of recorded National Minimum Wage videos and webinars on the GoToStage website brought together to educate employers on how to correctly pay the minimum wage. This also covers topics such as salary sacrifice and the NMW, working time and the NMW, helping employers get things right, NMW common mistakes and how to spot them and many more.

Small Employers’ Relief compensation rate increased from 8.5% to 9%

The small employers rate increased to 9% on 6 April 2026. Your clients who qualify for Small Employers’ Relief — if they have paid £45,000 or less in Class 1 National Insurance contributions — can reclaim 100% of all statutory payments they pay except Statutory Sick Pay which cannot be reclaimed, plus an additional 9% compensation. This means small employers can now reclaim 109% from HMRC.

The compensation rate applies to:

• Statutory Maternity Pay
• Statutory Paternity Pay
• Statutory Adoption Pay
• Statutory Parental Bereavement Pay
• Statutory Neonatal Care Pay
• Shared Parental Pay

All other employers paying Class 1 National Insurance contributions, can claim back 92% of the statutory payments they make.

Further information for your clients is available on:

• PAYE and payroll for employers

• Rates and thresholds for employers 2026 to 2027

• Employment Allowance — what you’ll get and check if you’re eligible

• Employment Allowance — further guidance for employers including details on connected companies, connected charities, single-director companies, employers of care and support workers

• Get financial help with statutory pay — what you can reclaim

Removal of the tax relief for non-reimbursed homeworking expenses

Since 6 April 2026, employees can no longer claim Income Tax deductions from HMRC for additional household costs when required to work from home.

These costs include increased household utility costs and business telephone calls. The amount that can be claimed can either be based on actual expenditure, with evidence, or at a fixed rate of £6 per week without providing receipts.

Employees are still able to make a claim for the previous 4 tax years where they are eligible and have not previously made a claim.

This change does not affect the current rules that allow employers to reimburse eligible homeworking costs without deducting Income Tax or National Insurance contributions.

Read more information on removal of tax relief on non-reimbursed homeworking expenses.

Student and postgraduate loans — thresholds and rates

The new student loan plan and postgraduate loan thresholds and rates effective from 6 April 2026 are as follows:

• Plan 1 — £26,900

• Plan 2 — £29,385

• Plan 4 — £33,795

• Plan 5 — £25,000

• Postgraduate loan — £21,000

Deduction rates from 6 April 2026 are as follows for:

• plans 1, 2, 4 and 5 remain at 9% for any earnings above the thresholds for these plans

• postgraduate loan remains at 6% for any earnings above the threshold

The student loan and postgraduate loan repayment guidance for employers has been updated with the new thresholds.

Student and postgraduate loan start notices

If you or your client receive a student loan and or postgraduate loan start notice (SL1 or PGL1) from HMRC, it is important that you check and use the correct:

• loan or plan type on the start notice

• start date shown on the notice

This makes sure that employees do not pay any more or less than they need to.

If the employee’s earnings are:

• below the respective student loan and postgraduate loan thresholds, you or your client should update the employee’s payroll record to show they have a student loan and or postgraduate loan and file the start notice — you do not need to return this to HMRC

• above the respective student loan and postgraduate loan thresholds, and deductions have not been taken, HMRC will send a notification service prompt as a reminder — if deductions still have not started, we may contact you or your client directly

You should make sure that HMRC has the right correspondence and email address for your clients. Keep making deductions unless HMRC tells you to stop.

Updates to the starter checklist for student loans

The starter checklist for PAYE has been updated to include Plan 5 and to clarify options for customers with multiple loan types.

Important changes to the checklist are:

• plan 5 checkbox added to the PDF and online version

• employees can only select one plan type — 1 or 2 or 4 or 5 on the online version, however they can still select postgraduate loan at the same time as plan type loans

Additional guidance has been added in the forms to support customers with multiple loans and to help employees identify their repayment loan type. 

Digital tax code changes trial

Since 18 March 2026, your clients may see a new digital tax coding notice when they log into their online account. This is part of HMRC’s 3 month trial which aims to evaluate simplified language for communicating tax code changes and to clarify how such changes affect take home pay.

Other online improvements include:

• information on what makes up their tax codes
• an explanation of each coding item

Only clients who have simple tax circumstances and meet the following criteria may see the new tax code notice:

• if they have only one live employment or occupational pension at the time of logging into the PAYE service
• if they do not have a special code (such as BR, D0, CD1) as either their previous or new code
• if they have had at least one change to their coding

The results of the trial will help influence how HMRC improves the tax code notification for more customers.

If your clients notice incorrect information in the tax code notice such as estimated pay, they can download the HMRC app and update details. They can also do this through their HMRC online account.

Guidelines for Compliance — help with VAT place of supply of services in the oil and gas sector — GfC18

HMRC has recently published new Guidelines for Compliance — Help with VAT place of supply of services in the oil and gas sector — GfC18.

These guidelines are for VAT registered businesses in the oil and gas sector and may also be helpful to businesses operating in wind, carbon capture and storage.

They explain HMRC’s recommended approach to deciding the place of supply of services in this sector.

They provide practical support by explaining the:

• special place of supply rules most relevant to the sector
• general place of supply rules
• fixed establishment rules
• other factors that may affect the VAT treatment

Guidelines for Compliance (GfC) are part of HMRC’s ongoing commitment to publishing practical support for customers. They are designed to complement existing HMRC guidance by clarifying our position in complex, widely misunderstood, or novel areas of the tax rules.

Read more information on Guidelines for Compliance.

Statutory Sick Pay changes — what employers need to know

From 6 April 2026 the Employment Rights Act 2025 introduced changes to Statutory Sick Pay (SSP) that you need to be aware of when advising employer clients. 

Removal of the Lower Earnings Limit

All eligible employees are now entitled to SSP regardless of income. SSP is paid at 80% of normal weekly earnings or the weekly flat rate of £123.25, whichever is lower. 

This change means more lower paid employees will be eligible for SSP. You should be aware that this may affect employer payroll costs and employee eligibility discussions.

Removal of the waiting period 

SSP is now paid from the first full day of sickness absence, not from day 4.

Employers may see an increase in SSP claims for short-term absences. You may wish to highlight this change when supporting clients with payroll planning and sickness absence policies.

These changes make SSP more accessible and remove barriers for lower paid employees, and apply across the United Kingdom, including Northern Ireland. The applicable legislation depends on the date when the sickness absence began. Absences that started on or after 6 April 2026 will follow the new rules. Absences that started before 6 April 2026 will follow the previous system to determine eligibility and payment unless otherwise outlined in the legislation.

When advising employers, you should check the start date of the sickness absence, as this determines whether the old or new SSP rules apply.

What you should recommend employers to do to prepare for changes

HMRC has shared technical guidance, including transitional protections, with software developers and payroll providers to support implementation of these changes. Read the guidance on sickness absences that start before and end on or after 6 April 2026.

Support your clients and advise them:

• to ensure that their payroll software has been updated and that transitional protections are applied correctly
• to discuss these changes with their payroll provider, particularly if they run their own payroll or have not recently updated their systems

SSP guidance has been updated and should be used as the primary source when advising clients:

• guidance on SSP for employers
• Statutory Sick Pay for employees
• New employment rights: Guidance for businesses and workers

For technical queries about SSP changes that cannot be resolved through GOV.UK guidance, you can contact the team by email SSP.Team@DWP.gov.uk.

Changes to the claims process for the creative industries tax reliefs and expenditure credits

From 6 April 2026, all claims to the creative industries tax reliefs or expenditure credits must include the CT600P, a new supplementary page to the CT600 Company Tax Return. Companies must complete the CT600P alongside the CT600 and submit them at the same time.

HMRC is aware of a small validation issue affecting some companies filling out the CT600P. It will not affect the validity of companies’ claims. The changes and issues affecting the Corporation Tax online service is being updated to provide guidance on how to resolve issues. The service will be updated in April 2027 to fix the issue.

Companies must also complete an additional form to support your claim for claiming the tax reliefs or expenditure credits before or on the same day as submitting their tax return.

HMRC has launched an updated version of the additional information form to coincide with the introduction of the CT600P. The new version removes the section on expenditure credit redemption, which will now be covered by the CT600P.

The new version also updates the process for companies claiming Theatre Tax Relief, Orchestra Tax Relief or Museums and Galleries Exhibition Tax Relief. These companies will now only be required to provide full details for up to 10 productions, with a summary section covering any remaining productions.

HMRC’s guidance manuals have been updated to reflect the changes.

Act now — apply for approval for Vaping Duty to continue trading from October 2026

If you manufacture or import vaping products, or store products in duty suspension you can now apply for approval for Vaping Products Duty (VPD) and the Vaping Duty Stamps (VDS) Scheme. 

On 1 April, HMRC published new guidance on vaping products manufacturer approval, managing your Vaping Products Duty online and getting help and support. You can read the updated guidance on Vaping Products Duty and Vaping Duty Stamps Scheme: detailed information which explains what you need to do.

This guidance includes information on:

• how VPD is measured and when it becomes payable

• what records businesses must keep in order to submit returns and pay VPD from 1 October 2026

• specific requirements for imports and exports

Businesses need to provide information now, to apply for approval and start the process of applying for duty stamps.

Main changes from 1 October 2026 are:

• the information provided when applying for approval will be used to determine when duty becomes payable and businesses that are not approved will not be permitted to trade 

• VPD will be charged at a flat rate on all vaping liquids, with or without nicotine

• duty stamps must be affixed to the retail packaging of individual vaping products for the UK market 

Additional resources

You can use our Vaping products Duty and vaping Duty Stamps Scheme — communications resources to share information to help affected audiences, which now includes a timeline of activity.

You can also watch our short explainer YouTube video on Vaping Products Duty and Vaping Duty Stamps Scheme — what you need to know.

Reminder of important dates and processes for reporting Benefits in Kind (BiKs)

As part of wider legislative reforms to modernise and simplify how Benefits in Kind (BiKs) are reported, HMRC is preparing for future mandatory payrolling of most BiKs through payroll software, including voluntary registration.

Employers and stakeholders need to be aware of changes for this tax year 2026 to 2027, effective from 6 April 2026.

Registration to payroll BiKs are now closed

Employers should be aware that:

• the payrolling service for BiKs closed for registration for the 2026 to 2027 tax year on 5 April 2026 and employers must have registered in order to payroll BiKs for the 2026 to 2027 tax year
• no new registrations to payroll BiKs can currently be accepted for the 2026 to 2027 tax year and employers who did not register by 5 April 2026 cannot payroll their benefits for 2026 to 2027

What employers can do if they payroll BiKs

Employers who registered to payroll their benefits can:

• view the benefits they payroll
• view the employees they payroll benefits for
• exclude employees from their payrolling

What employers need to do if not registered to payroll BiKs

For the 2026 to 2027 tax year, any employer not registered to payroll BiKs by the 5 April 2026 deadline, must continue to report employee benefits using:

• P11D for each employee receiving a benefit
• P11D(b) to report Class 1A National Insurance contributions

These forms must be submitted by 6 July following the end of the tax year (5 April), in line with the current process.

New online training films for supervised businesses

Certain business sectors must register with HMRC for anti-money laundering supervision. There are day-to-day responsibilities for the business, including the obligation to train employees about the risks associated with the business model, the correct processes to follow, and to maintain that knowledge through refresher training.

To support supervised businesses with this training requirement, HMRC has recently published 2 educational resources for Anti-money laundering. This type of educational resource represents a new initiative from HMRC’s supervision team. Find out more at Anti-money laundering: communication resources.

Each educational resource consists of:

• a short, scripted film, showing how a fictitious business might make errors in applying the regulations
• a supporting ‘discussion document’ containing discussion questions which relate the events in the film to the viewer’s own workplace, and which links to formal HMRC guidance

These educational resources were developed to be used in a training session by a group of employees but can also be used by individuals.

The 2 films focus on the following topics:

• Framed — ­based on an art market business
• Closing Costs — based on an estate agency

Although focused on specific sectors, the lessons contained within these training products can be applied more broadly across HMRC’s supervised population.

Read more information about HMRC anti-money laundering supervision: detailed information including which business sectors are included and how to register.

Furnished Holiday Lettings — reminder of changes

The Furnished Holiday Lettings (FHL) tax regime was abolished on 1 April 2025.

With the new tax year approaching, agents may wish to remind affected clients about how these changes will apply going forward.

From April 2025, income from Furnished Holiday Lettings is no longer treated separately for tax purposes. Instead, it will be combined with a customer’s other UK or overseas property income and taxed under the same rules as other property income.

The new changes apply from:

• 1 April 2025 for Corporation Tax and Corporation Tax on capital gains
• 6 April 2025 for Income Tax and Capital Gains Tax

Starting with the 2025 to 2026 tax year, all property income, even income that was previously classified as FHL, must be declared according to the new rules on the Self Assessment tax return.

The first return reflecting these changes will be due by 31 January 2027.

Agents should ensure their clients are aware that FHL specific reliefs will no longer apply.

Read more information on the abolition of furnished holiday lettings tax regime.

Borders and Trade

Update — intermediary registrations for the VAT Import One Stop Shop (IOSS) scheme

In the March 2026 edition of the Agent Update, we updated you about the delivery of intermediary registrations for the VAT Import One Stop Shop (IOSS) Scheme in Northern Ireland.

Intermediary registration has been available since 1 April 2026.

As a reminder, your business must be registered for UK VAT and be based in Northern Ireland — if you want to register as an IOSS intermediary with HMRC. You will need to register as an intermediary first before registering each client you choose to represent.

For more information about:

• the registration requirements and the role of and obligations on IOSS intermediaries read VAT Import One Stop Shop scheme for an intermediary

• registering as an IOSS intermediary, you can contact the HMRC VAT IOSS team by email at vatoss.contact@hmrc.gov.uk

Making Tax Digital

Making Tax Digital for Income Tax is here

Making Tax Digital (MTD) for Income Tax started on 6 April 2026 for sole traders and landlords who earned more than £50,000 from self-employment and property based on their 2024 to 2025 tax return. If you have not done so already, you should sign up impacted clients now.

How to register

To sign up your clients for MTD, you will need to use an agent services account (ASA).

You can find guidance on creating an ASA if you do not have one yet. Then follow the steps in our video to add all your existing client authorities from Self Assessment to your ASA.

Next, follow the steps in our instructional video for guidance on how to add existing client authorisations to your agent services account.

Once you have your ASA details, you will be able to register your clients for MTD for Income Tax.

What you need to know

In the unlikely event that sign up fails, we may need to check your client’s record. Contact our Agent Dedicated Line to request a client record check, we cannot complete this online for security reasons. 

When registering, you must include all client income sources such as self-employment, UK property businesses and foreign property businesses.

Sources of self-employment will be pre-populated using information based on the last known Self Assessment return. You should check to verify that these trades are still relevant and that no entries are missing. Note that you will also need to add the property sources as these will not be pre-populated.

Consider giving all trades a relevant name, to make it easier to identify for quarterly update submission. You should avoid using the taxpayer’s name as the trade name.

Software requisitions

Check that you have MTD compatible software to send your quarterly updates and submit your end of year tax return. You can use one software product or multiple, but you must make sure they work together to meet all your MTD requirements, both in year and at year end.

Use our software finder tool to find compatible MTD software to find recognised software that meets your needs.

Resources that will help you and your clients get ready are:

• MTD agent step by step guide — follow our 7 steps to help you understand what you need to do before, during and after you sign up your client for MTD
• MTD agent toolkit — includes content to help you understand the changes and advice on preparing your practice and clients; it also includes copies of our customer letters
• Agent tab of the MTD campaign page — a dedicated tab, giving you direct access to tailored guidance and resources
• Register for specialist MTD support — these sessions give you direct access to HMRC specialists for tailored MTD readiness agent support
• Sign up for a webinar for MTD for Income Tax — get ready for MTD by joining a webinar which covers planning steps, actions to take now, how to sign up clients, Q and A and provides access to our recorded HMRC webinars

How to notify HMRC of cessations for the year 2025 to 2026

Your client’s circumstances may have changed in the past year, meaning that they may no longer be required to use MTD for Income Tax, as their relevant income sources have ceased

The action they need to take depends on whether they have ceased all their self-employment and property income sources or just one of these.

All relevant sources ceased in 2025 to 2026 — customer no longer needs to use MTD

If your clients have ceased all self-employment and property income sources since the end of the 2024 to 2025 tax year, then you need to contact HMRC to inform us. Our advisers will then update their obligations and confirm they are no longer required to use MTD for Income Tax. If you contacted us, both you and your client will receive a confirmation letter. However, if your client contacted us, then only they will receive this letter. 

One (but not all) relevant source ceased in 2025 to 2026 — customer still needs to use MTD

If your client has ceased one source of self-employment or property income since the end of 2024 to 2025 but continues to receive income from another of these sources, they still need to start using MTD for Income Tax from 6 April 2026.

After signing up, your clients (or yourself as their agent) will be able to record the cessation using HMRC online services. Agents can do this through ASA and customers through their new Making Tax Digital for Income Tax service.

In all circumstances, your client (or yourself, if you are acting on their behalf) will still need to submit a 2025 to 2026 Self Assessment tax return as usual, to confirm the cessation.

Read more information on:

• how to work out your qualifying income for MTD for Income Tax

• what your clients need to do if their circumstances change after they started using MTD

HMRC Agent Services

Update — guidance on HMRC’s enhanced powers to tackle tax adviser facilitated non-compliance

Since 1 April 2026, HMRC has stronger powers to tackle tax advisers who intentionally help clients pay less tax than they owe. These powers will help to raise standards across the sector, ensuring taxpayers get more reliable advice. In the long term this will create a fairer market for taxpayers and advisers who play by the rules.

HMRC have published the following guidance on:

• how we may investigate and deal with tax advisers suspected of “sanctionable conduct”

• separate new guidance on when and how HMRC may publish certain information relating to misconduct by an adviser

• first tranche of detailed technical guidance CH176000 — Sanctionable conduct by tax advisers: contents on how the powers will be used in practice

Further guidance will follow over the coming months.

Agent services to help with unresolved queries 

HMRC offers two dedicated services to help tax agents resolve queries that have not been successfully resolved through the usual channels. These services are designed to support agents in navigating complex or delayed issues, while ensuring that formal complaints are only made when necessary. 

Agent Account Managers service

The Agent Account Managers (AAM) service has recently been improved and is available to help resolve ongoing queries across all tax areas, including Self Assessment, PAYE, VAT, Corporation Tax and more.

It includes repayment chasing but cannot provide technical advice or interpret tax legislation. 

Before using the service, agents must:

• make sure that the query relates to a specific client that they are formally authorised to represent (supported by a valid 64-8)

• attempt to resolve the query at least twice through HMRC’s standard communication routes including relevant helplines, webchat services, and contact points listed in the dedicated helplines and contacts for tax agents page

• Check when they can expect a reply from HMRC and allow at least 20 working days to pass from the reply date given by the tool as queries that have not exceeded the 20 working days will be rejected

• If the query relates to a tax regime that is not listed in the tool, they should follow the standard communication routes for that regime — such as the relevant helplines or contact points — and clearly state in the AAM submission that the tool does not apply to the query

• confirm that no formal complaint or appeal has been submitted — if one is lodged, it will supersede the AAM referral, and the query will no longer be considered

Agents can raise a query using the online form. HMRC will acknowledge the query within 2 working days, and provide progress updates every 5 working days, or sooner if resolved. We will aim to resolve the issue within 20 working days or make an action plan if this is not possible.

Personal Tax Query Resolution Service for Agents

The Personal Tax Query Resolution Service for Agents in The Tax Agent’s Handbook — HMRC agent escalation and resolution services is specifically for PAYE and Self Assessment queries for individuals.

This service excludes repayment chasing and does not cover employer related queries.

Before using the service, agents must:

• Check when they can expect a reply from HMRC and allow at least 20 working days from the reply date given by the tool

• try at least twice to resolve the query by contacting the Agent Dedicated Line or use agent webchat

• confirm that no formal complaint has been initiated relating to the query

Agents will be directed to use the service in the Check when they can expect a reply from HMRC tool if the query is eligible. HMRC will acknowledge the query within 48 hours and provide an update by phone every 5 working days. We aim to resolve the query within 20 working days or make an action plan if this is not possible. 

Top tip when using either service

To get the best out of either of these services, agents should make sure that they are meeting the eligibility criteria. It is also helpful to list a second contact in case we are unable to get in touch with them over the phone – for example, if the main agent is away. 

Agents are encouraged to use our resolution services prior to submitting a formal complaint, as queries cannot be progressed through these services once a complaint has been lodged.

Changes to how HMRC carries out Business Risk Reviews for Large Business customers

From April 2026, HMRC has introduced a new internal approach to its Business Risk Review (BRR+) process for Large Business customers that is more focused and reduces unnecessary duplication.

Some of your clients may notice shorter narrative sections in their BRR+ or reduced narrative information for certain regimes. This reflects a more targeted way of preparing BRR+ reviews where customers have demonstrated sustained low risk behaviour.

All regimes will still be risk assessed, and HMRC will continue to consider all 24 indicators as part of each review. Where concerns are identified, they will continue to be recorded, discussed and acted on.

Any affected customers will be informed directly by their Customer Compliance Manager about what the change means for them. HMRC will continue to monitor the new approach to ensure the BRR+ process remains robust, consistent and proportionate.

Self Assessment Individual and Partnership specials and exclusions 2026

The Self-Assessment (SA) Specials Document for Individuals, Partnerships and Trusts, which sets out whether SA customers should file a paper tax return rather than an online one, has been updated. This document is produced for software developers working with SA online services, but we know that some tax agents also find them useful when dealing with clients with complicated tax affairs.

You can read more about Self Assessment technical specifications 2026:

• Self Assessment technical specifications (2026) for individual returns
• Self Assessment technical specifications (2026) for partnership returns

Trusts technical specifications are expected to be updated by the May Agent Update.

Employment Related Securities (ERS) reporting requirements for short term business visitors (STBVs)

A company that grants share options or awards shares to employees must submit an ERS end of year return to HMRC.

As announced in Employment related securities bulletin 64 (February 2026) HMRC will no longer require companies to submit an ERS end of year return for non-tax advantaged schemes and awards, in circumstances where the employee is an STBV covered by an EP Appendix 4 arrangement. No UK Income Tax or National Insurance contributions would be due in this instance. This also applies to previous tax years.

ERS reportable events, such as options granted or awards of shares to individuals covered by an EP Appendix 8 arrangement, must still be reported on the ERS end of year return. 

Tell ABAB survey — 2026

The annual Tell ABAB survey is now open for completion. The survey takes roughly 15 minutes to complete, and it will be open until 29 April 2026. Results from the survey will be published on GOV.UK by Autumn 2026, in the Tell ABAB report. 

The survey is commissioned by an independent body, the Administrative Burdens Advisory Board (ABAB), providing crucial insight on the big issues faced by small businesses, including those who identify as tax agents in the tax system.

ABAB are passionate about listening to and understanding the needs of the small business community. Board members come from a range of businesses and professions, and their goal is to support HMRC to make the tax system quicker and simpler for small businesses.

ABAB challenges HMRC on its performance, providing robust scrutiny against important initiatives, such as Making Tax Digital and improving customer experience. Their annual report, which is sent directly to Treasury ministers, reviews HMRC’s progress against ABAB’s priorities.

The survey is your opportunity to provide ABAB with insight on the tax system which they can then use to support you.

If you have any questions about the 2026 survey, email the advisory board adminburdenadvisoryboard@hmrc.gov.uk.

The tax rules for non-UK domiciled individuals have changed

From 6 April 2025, tax rules for non-UK domiciled individuals have changed. The concept of domicile status in the UK tax system has been replaced by a system based on tax residence.

This change in the concept of domicile status affects:

• anyone who had a non-UK domicile or deemed UK domicile status
• new arrivals to the UK who have non-UK assets or foreign income and gains

This month, we will be contacting customers by email or letter to help them understand the changes and what they mean for their tax affairs.

The communication will provide information on the following:

• arising basis of taxation
• foreign income and gains (FIG) regime
• Temporary Repatriation Facility (TRF)
• Capital Gains Tax rebasing
• removal of trust protections
• Overseas Workday Relief (OWR)

Links to relevant guidance on GOV.UK will be included for additional support and to help you in your discussions with clients.

Changes to overlap relief online service from 1 June 2026

HMRC currently provides an online service Get your overlap relief figure to help customers check their overlap relief figure for the 2023 to 2024 tax year.

From 1 June 2026, this online service will close, as it was only relevant to the 2023 to 2024 tax year and is now needed in very few cases.

If a customer needs information about their overlap relief after 1 June 2026, they should first check their own records, such as previous tax returns or calculations. They can also use the calculator to work out their overlap relief figure which will continue to be available and is not affected by this change.

If customers are unable to locate the information on their own, HMRC may still be able to assist by offering it through contact options available using the link within this article.

The GOV.UK page will be updated ahead of June to reflect this change.

Corporation Tax late filing penalties — temporary delay to notices

From 1 April 2026, late filing penalties for Corporation Tax will increase. To make sure the correct amounts are used, we are updating the Corporation Tax system.

The system updates are planned to finish by 30 June 2026. Until then, we have paused issuing automatic notices, so customers do not receive penalty letters showing incorrect amounts.

Companies that file a return after the deadline will still be charged a penalty, and further penalties may apply if the return remains outstanding.

Your clients should be aware that they:

• should continue to file their Corporation Tax returns on time to avoid penalties at the increased rate
• may receive a penalty notice later than usual if they file late — a delayed notice does not mean no penalty applies
• do not need to contact HMRC if they have not received a penalty notice but believe one is due — notices will be issued automatically from July 2026

You can help by sharing this information with affected clients.

New dedicated Trusts helpline number

On 9 April 2026, HMRC introduced a new dedicated number for Trusts queries only. Agents should now use this number when contacting HMRC about Trusts matters.

The existing Inheritance Tax helpline will continue to operate as the helpline for Inheritance Tax queries. 

Reason for this change 

The previous joint helpline used shared automated options, which confused customers and agents causing misdirected calls and delays. 

The introduction of a separate Trusts helpline, with clearer options, has made it easier for callers to reach the right service and get the support they need. 

GOV.UK guidance has been updated to reflect this change.

Multi-factor authentication for agent accounts

HMRC will be introducing multi-factor authentication (MFA) for agent accounts. This added layer of security will help protect both you and your clients’ information.

The Tax Agent’s handbook provides more information, such as:

• how to prepare
• use of third party software
• how to get an access code
• remember me function

Providing feedback on HMRC Manuals

HMRC manuals contain technical guidance for HMRC staff and tax professionals. Their primary purpose is to explain HMRC’s interpretation of relevant legislation, which is the basis on which the department makes decisions.

To tell us whether a page is useful, suggest improvements or report a problem with a page, you can use the:

• feedback routes in the footer of all pages on GOV.UK
• contact GOV.UK form

The HMRC Manuals Team review all items of feedback on HMRC manuals from internal and external users.

Within the last 12 months we received 1,519 feedback comments and 59% led to guidance improvements. However, the volume is still low compared to the overall usage. Help us improve the content by providing feedback, even if it is to indicate that a page is useful.

Contact Information for professional and representative bodies

• AAT: wt@aat.org.uk

• ACCA Jason Piper: jason.piper@accaglobal.com

• AIA David Potts: workingtogether@aiaworldwide.com

• ATT: atttechnical@att.org.uk

• CIMA: prof.standards@cimaglobal.com

• CIOT Technical: technical@ciot.org.uk

• The CIPP’s Policy and Research Team: Policy@cipp.org.uk

• CPAA Alison Hale: ahealey@cpaa.co.uk

• IAB: Compliance@iab.org.uk

• ICAEW Tax Faculty: taxfac@icaew.com

• ICAS Tax Team: tax@icas.com

• ICB Steven Worrall: steven@swaccountants.co.uk

• ICPA: admin@icpa.org.uk

• IFA: membership@ifa.org.uk

• VATPG Rebecca Porter: rebecca@thevatteam.co.uk