HMRC Stakeholder Digest - 20 April 2023

Please see the following message from HMRC, which we are sharing for information:

This HMRC Stakeholder Digest provides a round-up of our latest news and updates, which we’d be grateful if you could share with your clients, customers or members.

Tax Administration and Maintenance Day

In the Spring Budget 2023, the government said they would bring forward a further set of tax administration and maintenance announcements later in the spring at a Tax Administration and Maintenance Day.

We are pleased to confirm that the government will set out these announcements on Thursday 27 April.

This will outline the action the government is taking to further progress tax simplification, tackle the tax gap and modernise the tax system.

We will send you a digest on the day, providing a link to the announcement on GOV.UK and explaining key measures.

Updates

Our new Advance Valuation Ruling Service

We will soon be introducing a new Advance Valuation Ruling Service.

This will provide traders with legal certainty on the valuation method of goods they are importing into the UK, for a period of three years. 

Traders do not have to use this service, but it will provide reassurance that a chosen valuation method is correct and will assist in the completion of customs declarations. 

To prepare, they need to obtain the following: 

• A Government Gateway ID 
• EORI number

We will provide further guidance before the new service goes live. 

Encouraging small businesses to complete the Tell ABAB Survey

The annual Tell ABAB Survey 2023 runs for two weeks from 19 April to 2 May 2023.

The Administrative Burdens Advisory Board (ABAB) is an independent body who support HMRC to make the tax system quicker and simpler for small businesses.

The survey provides crucial insight on the big issues faced by small businesses in the tax system.

Small businesses include sole traders, self-employed, micro-business and organisations or agents with fewer than 51 employees.

The survey only takes 10 minutes to complete – we’re particularly keen for those aged 34 and under to complete the survey to increase representation from this group.

Results from the survey will be published in the Tell ABAB Report on GOV.UK in June 2023.

Cost of Living Payments

One million customers receiving tax credits and no other means-tested benefits will get their first 2023-24 Cost of Living Payment of £301 from HMRC between 2 and 9 May. Eligible customers don’t need to apply or contact us to receive the payment, as they’ll be paid automatically in the same way they usually get their tax credits.

This is the first of three payments in 2023-24 to help with the cost of living, totalling up to £900 throughout the year for those eligible and on means-tested benefits. Eligible customers receiving qualifying benefits other than tax credits will be paid by DWP between 25 April and 17 May.

Find out more information, including eligibility criteria for the £301 payment, on GOV.UK.

Plastic Packaging Tax – Spring Budget and Finance Bill 2023 

As announced at Spring Budget, the PPT rate increased from £200 to £210.82 per tonne in line with CPI from 1 April 2023.

The new rate applies to all plastic packaging manufactured or imported into the UK on or after 1 April 2023. Any packaging manufactured or imported before 1 April 2023 will be charged at £200 per tonne.

The government is also implementing technical changes to PPT penalties via the Finance Bill. These will simplify the late payment penalty regime for PPT and applies to all late payments in relation to accounting periods from 1 April 2023 onwards.

Your members can find out more by visiting Plastic Packaging Tax collection on GOV.UK.

2023 to 2024 National Insurance rates and thresholds

New National Insurance rates and thresholds for 2023 to 2024 have been published on GOV.UK.

Self-employed people are reminded that if they have registered for National Insurance their Class 2 contributions can be paid, or treated as paid depending on their level of profit, when they file their Self Assessment tax return. 

Consultations

Border Target Operating Model (TOM)

The government recently published the Border Target Operating Model (TOM) in draft form, setting out a new model for importing goods into the UK from countries inside and outside the EU.

A six week engagement period will now take place, with the final Target Operating Model to be published later this year. Stakeholders are encouraged to provide their feedback on the proposals via the online portal. Further details of how to take part can be found in the ‘How we will gather stakeholder feedback’ section of the TOM.

The TOM proposes a new approach to security controls (applying to all imports, and certain outbound movements) and biosecurity controls (applying to imports of animals, animal products, plants and plant products).

We will introduce full customs controls for EU and non-qualifying NI goods moving from Ireland to GB from 31 October 2023. This means that arrangements will change for goods arriving into GB ports from Irish ports. We will make sure that Northern Ireland businesses will continue to have unfettered access when moving goods within the UK.

Tax Administration Framework Review discussion document published

As announced at Spring Budget 2023, the government has published a discussion document exploring how HMRC can simplify and modernise HMRC's Income Tax services through the tax administration framework as part of its Tax Administration Framework Review. 

This sets out HMRC’s intention to move to a digital by default approach for some of its outputs, seeks views on improving Pay As You Earn (PAYE) processes, and launches a review of the Income Tax Self Assessment (ITSA) criteria.

Changes to HMRC statistics publications outcome published

We held a consultation exercise to propose changes to our large range of statistical publications, which closed on 16 January 2023. We actively approached known users of our statistics to encourage responses, to ensure a wide range of views were received.

We are grateful for the engagement of stakeholders in this consultation and have taken account of responses from statistics users in finalising our plans. 

The outcome of the Consultation on changes to HMRC statistics publications can be found on GOV.UK.

Sharing on behalf of other government departments

UK-wide test of Emergency Alerts system

As you may be aware, the Emergency Alerts system is now operational and there will be a UK-wide test on Sunday 23 April 2023.

The government has developed a toolkit and assets and are asking all organisations to amplify these by sharing them via their channels.

This will help ensure that there is wide awareness of the alerts among the general public before the test date.

Non-Domestic Alternative Fuels Payments Scheme

Higher users of kerosene, defined as over 10,000 litres per year, are eligible to apply for payments based on the amount purchased.

Payments range from £750 to £5,800 based on the volume purchased with further payments for users of over 150,000 litres.

Organisations such as commercial businesses, charities and public sector organisations that are not on the gas grid can apply.

Please note that these payments are for kerosene users only and do not cover other fuels such as liquefied petroleum gas (LPG), gas oil or red diesel. Anyone in any doubt about the fuel they use should contact their supplier.

The scheme will close on 28 April 2023. More information on how to apply for energy bill support for non-domestic properties can be found on GOV.UK.

New requirement for voters to show photo ID at some elections

The government has introduced a requirement for voters to show photo ID when voting at a polling station at some elections. This new requirement will apply for the first time in England at the local elections on Thursday 4 May 2023.

We would appreciate your help promoting this information with your networks.

Voters can use any of the following forms of ID:

• Passport
• Driving licence (including provisional license)
• Blue badge
• Certain concessionary travel cards
• Identity card with PASS mark (Proof of Age Standards Scheme)
• Biometric Immigration document
• Defence identity card
• Certain national identity cards

If voters don’t already have an accepted form of photo ID, or they’re not sure whether their photo ID still looks like them, they can apply for a free voter ID document, known as a Voter Authority Certificate on GOV.UK.

More information can be found on the Electoral Commission website, or voters can call their helpline on 0800 328 0280.