UK-India social security agreement
HMRC has updated its guidance on the UK-India DCC, which came into force on 15 July 2026, to reflect an arrangement made under Article 12 of the DCC.
NIM 33262 explains that, under the arrangement:
- “Indian employees who were already temporarily working in the UK on 15 July 2026 will not be subject to UK social security legislation until they have been working in the UK for 52 weeks. They do not need a certificate of coverage from the Indian authorities to demonstrate this. They will become subject to UK social security legislation and start to pay Class 1 NICs from the start of the contribution week following the 52-week exemption period.
- UK workers in India on 15 July 2026 can request a UK certificate of coverage in respect of Article 12 to continue to pay UK NICs for the remainder of their first 52-weeks period of work in India, should they wish to continue paying Class 1 NICs for this period.”
Further information
- NIM33252 - Special Cases: India - Transitional situations - HMRC internal manual - GOV.UK
- UK-India social security agreement comes into effect | ICAEW
HMRC service performance
HMRC has updated its performance data for the year to 31 March 2027 to include data for August 2026. Key figures include HMRC’s “average speed of answer” for telephone calls, which was 8 minutes and 20 seconds for August 2026, compared to 13 minutes and 25 seconds for August 2025. ICAEW will look at HMRC’s service performance in more detail when the figures for the quarter ending 30 September 2026 are available.
Parliamentary scrutiny
The House of Lords Finance Bill Sub-Committee has launched an inquiry into the following areas of the draft Finance Bill 2026–27:
- modernising the correction of errors;
- mandatory reporting of benefits in kind in real time information from April 2027; and
- reforming customs rules for low value imports.
For further information on the draft Finance Bill 2026/27, see the article ICAEW responds to draft Finance Bill provisions | ICAEW.
Separately, the government has responded to the recommendations made by the Public Accounts Committee in its July 2026 report on the work of HMRC’s large business directorate. An earlier article provides a summary of the recommendations.
Promotion of certain tax avoidance schemes
HMRC has published compliance checks factsheet CC/FS91. The factsheet explains the consequences of promoting arrangements that are in breach of the prohibition of promotion of certain tax avoidance arrangements legislation (chapter 1, Part 6, Finance Act 2026).
Special measures regime
HMRC has published a manual explaining the special measures regime (Part 3, Schedule 19, Finance Act 2016).
Plastic packaging tax
HMRC has published a technical consultation seeking views on draft regulations and a supporting document for the plastic packaging tax mass balance approach for chemically recycled plastic. The consultation closes on 21 December 2026. If you have feedback that could help inform ICAEW’s response to the consultation, please contact Ed Saltmarsh by 13 November 2026.
How to build better tax system
ICAEW outlines the five institutional pillars needed to ensure the proper functioning of the UK tax system.
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