CIOT logo

CIOT: Tax engagement letters – joint bodies’ guidance updated

CIOT: Tax engagement letters – joint bodies’ guidance updated

As a result of the major change by HMRC to the PAYE system from April 2013, known as Real Time Information (RTI), the main tax and accounting bodies have issued updated guidance on letters of engagement for tax practitioners.

The revised guidance was published on 25 February 2013.

What is RTI?

RTI is the new system for reporting tax, national insurance and other details to HMRC, submitting the data at the same time as payment is made to your employees instead of once a year.

What has changed in the guidance on letters of engagement?

Amendments have been made to the Payroll Services Appendix B6 incorporating Real Time Information to help practitioners prepare for transition to the new system.  The main body of the guidance and all other appendices remain unchanged.

Practitioners are encouraged to review their existing engagement letters and update as appropriate.

The guidance and engagement letters are available at http://www.tax.org.uk/Standards/General+Guidance and http://www.att.org.uk/Standards/generalguidance

Notes for editors

Members of the tax engagement letters working party:
Paul Benney, Chairman –  ICAEW
Charlotte Ali, Secretary – CIOT and ATT
John Barnes – CIOT (formerly IIT)
Peter Bickley – ICAEW
Heather Brehcist – CIOT and ATT
John Cassidy – ICAEW
Glenn Collins – ACCA
Karen Eckstein – CIOT and ATT
Patricia Gallacher – ICAS
Julian Nelberg – CIOT and ATT

George Crozier
External Relations Manager

D: +44 (0)20 7340 0569
M: +44 (0)7740 477374

The Chartered Institute of Taxation
Registered charity number 1037771
www.tax.org.uk

The Association of Taxation Technicians
Registered charity number 803480
Registered company number 2418331
VAT Registration Number 497 5390 90
www.att.org.uk

Low Incomes Tax Reform Group – an initiative of the Chartered Institute of Taxation
www.litrg.org.uk

1st Floor, Artillery House, 11-19 Artillery Row, London SW1P 1RT