Ethics and PCRT for Tax Advisors

Objectives

In this session we outline the key ethical requirements for professional firms in relation to Professional Conduct in Relation to Taxation (PCRT). We also consider similar requirements imposed on firms who are not a member of a relevant professional body, in the form of HMRC’s Standard for Agents. The session will include details of any new guidance or updates issued to either standard in 2025.

Key Topics

UNDERLYING ETHICAL FRAMEWORK

• The meaning of ethics
• ICAEW members - duty to report
• Source of ethical principles and rules
• Scope and focus

PROFESSIONAL CONDUCT IN RELATION TO TAXATION

• Overview
• The fundamental principles
• The standards for tax planning
• Helpsheets
• Additional support

PCRT APPLICATION TO R&D

PCRT APPLICATION TO MTD FOR INCOME TAX

• Quarterly Updates
• MTD year-end return
• Whether to sign clients up early
• Engagement terms and professional indemnity insurance
• Penalties at a glance

PCRT APPLICATION TO ARTIFICIAL INTELLIGENCE (AI)

• Using AI to answer client queries and/or process tax work
• Dealing with clients who may utilise generative AI in the production of their accounting records and tax documentation
• Working with software or tools that incorporate AI

HMRC’S STANDARD FOR AGENTS

• PCRT Fundamental Principles – 3 of 5
• Standards for tax planning
• Monitoring and breaches

RAISING STANDARDS IN THE TAX ADVICE MARKET

• Are we moving towards regulation?
• What has happened so far?
• Agent registration

COMMON ISSUES ARISING IN PRACTICE AND HOW TO DEAL WITH THEM

• Submission of tax information and tax filings
• Professional competence
• Tax Advice
• Engagement terms
• Dealing with errors
• Request for data by HMRC – including compliance checks

PCRT AND COMPLIANCE OBLIGATIONS

• Anti Money Laundering
• What are the money laundering risks in the tax sector?
• Tax AML Offences
• Corporate offences for failing to prevent criminal facilitation of tax evasion
• New offence of failure to prevent fraud

Who should attend

Managers and partners who deal with client taxation matters.