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ICAEW technical round-up: January 2022

Author: ICAEW Insights

Published: 28 Jan 2022

This month’s top technical stories include the opening of the Statutory Sick Pay Rebate Scheme claims portal, and guidance to safeguard employers being caught out by complicated National Minimum Wage rules.

Need to know

Statutory Sick Pay Rebate Scheme: claims portal open: Following the announcement that small employers could once again claim refunds for coronavirus-related sick pay, HMRC’s claims portal is now live.

What happens if you miss the end of January SA deadline? Following HMRC’s announcement that it will provide a one-month penalty waiver for late-filing and late-payment penalties, ICAEW’s Tax Faculty shares guidance from HMRC on other implications of not meeting the 31 January deadline.

HMRC announces one-month self assessment penalty waiver: HMRC has announced that it will not charge late filing penalties for 2020/21 self assessment tax returns filed online by 28 February 2022. The easement operates in the same way as 2021.

HMRC briefing highlights its approach to tax fraud: ICAEW’s Tax Faculty reminds members about where to look for support in spotting risks and handling cases where tax fraud is alleged.

New VAT penalty regime deferred to January 2023: The VAT default surcharge was due to be replaced by new late submission and payment penalties and interest charges from April 2022. The introduction of the new regime has been deferred to January 2023 to allow HMRC more time to make the necessary systems changes.

ICAEW: corporate re-domiciliation needs more development: BEIS, HMRC and the Treasury propose introducing a facility for companies incorporated overseas to transfer their place of registration to the UK. ICAEW urges the government to consider the type of companies and activities it wishes to attract.

Non-taxable trust registration: TRS extension confirmed: Regulations to extend the deadline for registering non-taxable trusts to 1 September 2022 and to extend the ongoing regular deadline to 90 days have been laid before parliament. ICAEW’s Tax Faculty explains the details.

Auditing pension figures in statutory accounts: Auditing pension figures in statutory accounts can be extremely complex. ICAEW’s Audit and Assurance Faculty has created a new guidance hub to outline good practice.

OECD releases model rules for 15% global minimum tax: Model rules released by the OECD will provide governments with a template to assist in the implementation of a minimum tax rate from 2023.

Sustainability and climate change

Plastic Packaging Tax: everything you need to know before April: The Plastic Packaging Tax comes into force in less than three months. ICAEW, in partnership with RSM, outlines the essentials.

The public sector must play its part in sustainability reporting too: ICAEW’s public sector team examines the public sector sustainability reporting landscape in the UK, outlining key developments in both the private and public sectors.

Sustainability to be at the heart of corporate reporting in the transition to net zero: Reporting on sustainability is the focus of a special edition of the Financial Reporting Faculty’s January edition of By All Accounts, now accessible to all ICAEW members.

Other technical news and updates

Consultation on proposed changes to ICAEW’s disciplinary framework: The IRB is holding a consultation on proposed changes to the disciplinary framework in 2022.

Businesses reminded to declare COVID support grants in tax returns: Companies and unincorporated businesses are taxable on COVID support grants and payments. ICAEW’s Tax Faculty provides a summary of available resources to help ensure tax returns are correctly completed.

Member helpsheets and guidance

NMW rules – more complicated than you think: A number of high-profile employers have been caught out by the National Minimum Wage rules. ICAEW has resources to help members keep their employers or clients compliant.

2021/22 reporting: new guidance for preparers: Several factors will be a focus for investors and regulators this 2021/22 reporting season. Preparers will need to keep them in mind.

Understanding the VAT One Stop Shop: HMRC notice allows businesses trading below the VAT registration threshold to use the One Stop Shop for distance sales of goods from Northern Ireland to the EU.

VAT second-hand margin schemes: new HMRC guidance: HMRC replaces three VAT notices with new guidance on second-hand margin schemes.

HMRC publishes guidance on CGT on UK property disposals: Reporting of capital gains tax on disposals of UK residential property has been beset by problems since its introduction in April 2020. ICAEW’s Tax Faculty highlights new guidance published in HMRC’s manuals and other available information.

Is your accounting firm registered for money laundering supervision?: ICAEW’s Tax Faculty explains the various bodies that may be supervising the firm.