Hello,
There are several important updates this week, despite the world of tax having been slightly quieter. As we previously reported, Multi-Factor Authentication (MFA) will soon be required for all HMRC agent accounts, including the Agent Services Account and Online Services Account. Individuals and organisations who access HMRC services are already subject to MFA.
Although the final implementation date for MFA on agent accounts is unknown, it is strongly recommended that agents familiarise themselves with the upcoming change, review internal processes and formulate a plan to ensure the transition is as smooth as possible.
This week, we have published a new subscriber guide on agent MFA to help advisers prepare for implementation. We will keep this updated as further announcements are made.
In other news, further detail on the changes to Employment-Related Securities (ERS) reporting requirements for short-term business visitors can be found in HMRC's latest ERS Bulletin. This expands on the announcement made in February 2026.
The single case we cover this week looks at a Land and Buildings Transaction Tax (LBTT) decision of the First Tier Tribunal for Scotland, which found that a Victorian townhouse and a mews building were non-residential property for LBTT purposes. This decision is relevant outside Scotland, as the Stamp Duty Land Tax rules contain equivalent legislation.
More updates below, including our newly published property profits & losses toolkit for 2026-27.
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Quick News
Employment-Related Securities Bulletin 66: May 2026
HMRC have released Employment-Related Securities (ERS) Bulletin 66, which focuses on the taxation of ERS and reporting requirements for individuals who come to the UK to work temporarily.
Tax Cases
Victorian townhouse was not a dwelling
In Bagshaw Limited v Revenue Scotland [2026] FTSTC 4, the First Tier Tribunal (FTT) for Scotland found that two Category A listed properties in Glasgow, a Victorian townhouse and a mews building, were non-residential property for Land and Buildings Transaction Tax (LBTT) purposes.
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.
P11D: Reporting benefits and expenses
How do you report benefits and expenses? What is the P11D deadline?
Globally mobile employees: PAYE reporting obligations toolkit
This toolkit helps determine what your PAYE reporting requirements are when sending an employee to work overseas or having an employee come to work in the UK from overseas.
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
Property profits & losses: Toolkit (2026-27)
NEW: Our Property Profits & Losses toolkit takes HMRC's version as its starting point and adds a great deal more information about what you can claim as an individual landlord.
HMRC's Multi-Factor Authentication for agents
NEW: HMRC are introducing Multi-Factor Authentication (MFA) for agents using HMRC online accounts. How will this be implemented? How do agents set up MFA? What preparations will need to be undertaken by agents for MFA?
Self-employed
Medical & dental costs
Are medical costs allowed for tax? When and why might they be disallowed? What case law is there?
Directors & Companies
EIS: Enterprise Investment Scheme (Subscriber guide)
When can EIS relief be claimed? What are the conditions for EIS relief? What are the benefits of EIS relief?
Employers
Mandatory payrolling of benefits from 2027: Briefing
UPDATE: The government has announced that the mandatory payrolling of Benefits In Kind and taxable employment expenses will not come into force until 6 April 2027. This replaces the earlier date of 6 April 2026, allowing employers more time to prepare for the changes.
Private Client & Estate Planning
Winter Fuel Payment recovery
UPDATE: It was previously announced that eligible individuals would automatically receive the Winter Fuel Payment (WFP) for 2025-26, but it would be recovered by HMRC when a person's income exceeded £35,000. HMRC have published updates on how WFP recovery will work in practice. We take a closer look.
Land & Property
Freeports
What are Freeport special tax sites? Where are they located? What are the tax advantages?
Overseas & Residence
Non-Resident Landlord Scheme
What is the Non-Resident Landlord scheme? How does it work? Who does it apply to? How can I apply to receive rent without a withholding tax deduction?
Penalties & Compliance
Mandatory tax adviser registration with HMRC
UPDATED: From May 2026, all tax advisers who interact with HMRC on behalf of clients will be required to register with them. Who will be required to register? What conditions must be met? What are the consequences of non-compliance with 'mandatory tax adviser registration'?
Calendar of tax deadlines and new tax measures
When do common recurring tax deadlines fall? What other tax-significant events are upcoming? What do I need to remember this month?
VAT
Client communication: VAT reduction for children's meals, tickets and family attractions
To help accountants in communicating the temporary reduction in the rate of VAT charged on children's meals in restaurants and family leisure activities over the summer, we are giving rossmartin.co.uk subscribers exclusive one-off access to 20:20 Innovation's client newsletters, which cover the changes: Tax E-news and Business News.
Domestic Reverse Charge VAT: Construction Industry Scheme (CIS)
What is the CIS VAT reverse charge? How do you account for VAT? Can you still cash account for VAT? What administrative changes do I need to operate the reverse charge?
Continuing Professional Development (CPD)
Recent and upcoming webinars include:
- Monthly Tax Update - June 2026
- Mandatory HMRC Agent Registration Part 2 – Where We Are Now
- Practice Insight - May 2026 (free)
- Monthly Tax Update - May 2026
- Practice Insight - April 2026 (free)
- Mandatory HMRC Agent Registration Part 1 – Getting Started Before May 2026
- 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 28 May 2026
- Increase to mileage rates marks first change in 15 years
- VAT temporarily reduced for children's meals, tickets and family attractions
- Agent Update 143 May 2026
- Deceased NS&I accounts tracing issue
- Advisory fuel rates from 1 June 2026
- Consultation on High Value Council Tax Surcharge
- Dip pots back on the menu
- Capital taxes round-up: 2026-27 NEW
- Scottish Taxes: What's New 2026? NEW
- Statutory Payments: Employer's guide NEW ...More
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