Hello,
Close company directors within Self Assessment have additional reporting obligations in their 2025-26 tax returns. We have expanded our commentary on the new requirements in our 'Self Assessment Return 2025/26: What's new?' guide this week, including how percentage shareholdings should be calculated. Do take a look, as the rules might not be as expected.
This week’s news has something of an administration/compliance theme, with updates from HMRC on digital tax coding notices, the implementation of Multi-Factor Authentication for agents, and suspensions, sanctions, and appeals under the mandatory tax adviser registration rules. The second two of these subjects will be important for tax agents over the coming months, so be sure to read our coverage of the latest guidance.
Our case summaries this week include that of Gerrit Wals v HMRC, in which the First Tier Tribunal (FTT) revisited and remade its earlier decision. This time, the FTT found that HMRC could not charge late-filing penalties for voluntary Self Assessment tax returns (i.e. returns for which no notice to file had been issued). This is a point which can easily be missed.
Two more of our ‘What’s new?’ subscriber guides for 2026-27 have been published this week, this time exploring VAT and Corporation Tax. These add to the growing list of our 2026-27 ‘annuals’, providing a concise summary of new and emerging issues in their topic areas. These guides are a great resource to get up to speed on a particular subject, whether for tax planning, compliance, or ongoing CPD. You can expect several more such guides to come out over the next few weeks.
More news, cases and updates below.
Online PRACTICAL tax resources for accountants and tax advisers BY accountants and tax advisers.
Quick News
New sanctions guidance on mandatory tax adviser registration
HMRC have released new guidance on what happens if an unregistered or suspended tax adviser interacts with HMRC. Further guidance has also been released on what advisers can do if they disagree with HMRC's decision about their registration.
HMRC trials simplified tax coding
Some taxpayers may have noticed changes to their digital tax coding notice when they log in to their accounts. HMRC began trialling the changes from mid-March and it will continue into June.
HMRC release new guidance on Multi-Factor Authentication for agents
HMRC have updated their Tax Agent Handbook in anticipation of the introduction of Multi-Factor Authentication (MFA) when logging into Agent Accounts.
Tax Cases
No late filing penalties for voluntary tax returns
In Gerrit Wals v HMRC [2026] TC09855, the First Tier Tribunal (FTT) found that late filing penalties could not apply to voluntary Self Assessment tax returns, for which HMRC had not issued a notice to file.
CoA rules loan to EBT not earnings
In HMRC v MR Currell Limited [2026] EWCA Civ 445, the Court of Appeal (CoA) agreed with an Upper Tribunal (UT) decision which ruled that a loan to an Employee Benefit Trust was not taxable as earnings.
Editor's Choice
This week's Editor's Choice was selected by Andie Ross. You can meet our team of editors and writers here: Meet the team.
Globally mobile employees: Travel expenses for employees performing duties overseas
What travel expenses can an employee claim when they are working overseas? Is there any relief for travel expenses for visiting family members?
P11D: Reporting benefits and expenses
How do you report benefits and expenses? What is the P11D deadline?
Residence v non-residence: tax treatment
What are the differences between being UK resident and non-UK resident for UK tax purposes?
Guides & Updates
New This Week
Company Tax: What's New? FY2026
NEW: This Corporation Tax update takes you through key new measures and changes that apply from 1 April 2026, also referred to as FY2026.
VAT: What's new 2026-27?
NEW: What's new in VAT for 2026-27? What are the recent cases? What policy changes have HMRC announced?
Self-employed
Accommodation costs
Can accommodation costs be claimed for tax purposes? When are they disallowable? What is the relevant case law?
Board and lodging adjustments
What private use adjustment should be made for board and lodging where a taxpayer lives at the business premises?
Directors & Companies
Valuation: Companies
When might a tax valuation be required? What are the main principles in valuing unquoted companies?
Groups
What qualifies as a group for tax purposes? How do you form a group? Which definition of a group applies to different types of tax? What are the benefits of being in a group?
Employers
Tips, gratuities and troncs
How are tips, gratuities and troncs taxed? What are the rules for National Insurance Contributions (NICs)? What impact does the Employment (Allocation of Tips) Act 2023 have?
PAYE Settlement Agreements
What are PAYE Settlement Agreements? How do they work? What can be included?
Private Client & Estate Planning
Self Assessment Return 2025/26: What's new?
UPDATE: 2026 Self Assessment toolkit: top tips for completing tax returns for the year ending 5 April 2026.
Trusts & Estates: Exit charge reporting requirements
What is an exit charge, or proportionate charge, and when does it apply?
Land & Property
Freeports
What are Freeport special tax sites? Where are they located? What are the tax advantages?
Investment Zones
What is an Investment Zone? Where are Investment Zones located? What are the tax advantages of running a business from an Investment Zone?
Overseas & Residence
SRT: Split Year Treatment
What is Split Year Treatment? When does it apply?
VAT
Partial exemption & input VAT
How do you calculate the amount of input tax you can recover under the VAT partial exemption rules? What are the de minimis rules?
Continuing Professional Development (CPD)
Recent and upcoming webinars include:
- Practice Insight - May 2026 (free)
- Monthly Tax Update - May 2026
- Practice Insight - April 2026 (free)
- Monthly Tax Update - April 2026
- Mandatory HMRC Agent Registration Part 1 – Getting Started Before May 2026
- Monthly Tax Update - March 2026 (Spring Forecast)
- Inheritance Tax Planning for 2026/27 and Beyond
- Ethics and PCRT for Tax Advisors
Need Tax Support?
Virtual Tax Partner© Support
Have a tax query? Need a second option? Open a ticket and ask a question. A team of tax experts with a wide range of expertise: covering direct and indirect tax, as well as accounting, reorganisations and much more.
Missed the Last Tax Update?
Ross Martin Tax: SME Tax Update 30 April 2026
- Spotlight 63a: Property business arrangements involving hybrid partnerships and indemnities
- Taxpayers find benefits of multiple agents hard to list
- R&C Brief 3 (2026) on VAT and public funds for further education institutions
- One-to-many letters: Tracker
- Gift hampers proved to be basket case for HMRC
- Political donations were IHT transfers of value
- Even NHS doctors can't work nine-day weeks
- Capital Allowances: What's new 2026-27? NEW
- Welsh Taxes: What's new 2026-27? NEW
- Working from home (self-employed) UPDATE
- Termination, redundancy and leaving payments UPDATE ...More
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