HMRC have published their March 2026 Agent Update and we detail some of the relevant issues covered:
Tax
This section covers a wide range of taxes and we draw your attention to the following payroll-related topics:
- Investment Zone special tax sites in Scotland – that give tax reliefs over and above that for employer’s National Insurance Contributions;
- The changes to Statutory Parental Bereavement Leave and Pay in Northern Ireland – where entitlement is from day one and applies regardless of when the parent is bereaved of a child up to the age of 18. The Parental Bereavement Leave and Pay (Miscarriage) Regulations (Northern Ireland) 2026 update Northern Irish employment law legislation. No similar changes have been made to Great British employment law legislation;
- The Official Rate of Interest for tax year 2026/27 – this is 3.75% and applies to employer-provided accommodation and beneficial loan calculations, though note that this value can be amended quarterly (effective 06 July, 06 October and 06 January). If employers payroll these benefits-in-kind, they will need to be aware of any changes and ICB will communicate any in-year rate changes;
- If employers are provided with workers from employment agencies and umbrella companies, note there are IR35 rule changes from 06 April 2026. Essentially, if the employer is provided with workers employed by an agency or umbrella company, they are responsible for the collection of Income Tax, National Insurance Contributions (NICs)and Student Loan repayments. If they do not, HMRC are able to recover the lost revenue from the employer (the end user of the services);
- A reminder of changes to the eligibility criteria for the payment of voluntary NICs (Class 2) for periods spent abroad. From tax year 2026/27, individuals can no longer pay these but can pay Class 3 NICs, but only if they have 10 years’ continuous UK residency or at least 10 years of NICs history. The section points to HMRC’s guidance ‘Check the new rules on or before 5 April 2026 for paying voluntary National Insurance for time abroad’;
Making Tax Digital for Income Tax (MTD IT)
This section contains two sections:
1. ‘Less than a month to go’ – and links to guidance; and
2. New information for childminders on expenses and record keeping and links to HMRC’s guidance that says they can continue to claim household expenses, including wear and tear costs deductions, whether they use MTD IT or not
HMRC Agent Services
ICB is highlighting one point from this section, though others are worth reading. This concerns changes to the Employers PAYE for agents online service:
- The existing ‘payment history’ page will be replaced by a ‘credit allocation’ page which will display where the credit arose – essentially, it will closely resemble the current page but give more information; and
- Changes to the current ‘annual statement page’ which will be of interest if employers need to make end of tax year adjustments to information already submitted. Currently, the page shows only a total of the adjustments and any interest. However, this is not useful where multiple adjustments have been submitted with multiple interest charges. The change will mean employers are provided with a detailed breakdown of the adjustments and the interest that applies to each. This is useful
Agent Engagement
This section contains a summary of the Construction Industry Scheme (CIS) changes from April 2026. ICB has written about these and referred to the legislation and guidance.
For Bookkeepers
The last Update of the 2026/27 tax year.
ICB recommends reading the entire Update, as always, as it reflects the wide range of topics members embrace in their professional lives.
