In a major move to strengthen tax compliance, the UK Government has announced that from 1 April 2026, all tax advisers who interact with HMRC on behalf of clients will be legally required to register with the agency.
The measure was detailed in Point 2.20 of the Autumn 2024 UK Budget, where the government outlined plans to “design out” the risks of tax non-compliance. This approach includes:
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Simplifying the tax system,
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Making better use of HMRC-held data, and
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Raising professional standards among tax advisers.
To support these goals, HMRC has been allocated £36 million to improve its registration processes.
The change follows a consultation earlier in 2024 titled “Raising standards in the tax advice market: strengthening the regulatory framework and improving registration.” The consultation revealed inconsistencies in adviser registration across services, making it difficult for HMRC to verify that advisers meet minimum standards. During this process, the Institute of Certified Bookkeepers (ICB) was among those consulted.
On Legislation Day, the UK Government released draft legislation and a policy paper confirming that the new registration requirement will apply to any practitioner acting for clients in tax matters. While the rule takes effect from 1 April 2026, there will be a minimum three-month transition period to allow advisers time to comply.
Who Needs to Register?
Under the draft legislation, a “tax adviser” is defined broadly as someone who:
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Provides professional advice relating to tax;
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Acts as an agent on another person’s behalf in tax matters; or
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Assists with documents likely to be used by HMRC to assess tax obligations.
The registration requirement applies not only to individual advisers but also to organisations offering tax advice, whether through dedicated staff or as part of their business model.
Notable Exemptions
Some exemptions are outlined in the draft legislation:
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If an individual adviser is employed by an organisation, only the organisation must register, not the individual;
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Providers of payroll, tax, or accounting software solutions are exempt, even if their product impacts tax reporting.
This legislative step marks a shift in ensuring that those representing taxpayers meet consistent standards and is part of a broader government effort to enhance trust and performance in the UK tax system.
