Following guidance released on 17 February 2026 by HMRC, I have reviewed both the published guidance and the draft Finance Bill, along with the committee stage scrutiny. While the guidance is helpful in providing additional information, several important points still require clarification from HMRC.
Conveyancing firms submitting Stamp Duty Land Tax (SDLT) returns need to be aware of the new requirements.
What Is Changing?
Under the new rules, businesses that interact with HMRC on behalf of clients for payment will need to register as a “Tax Adviser.”
What Is Interaction?
- Contacting HMRC by phone, post or email.
- Sending a message to HMRC through a website or portal.
- Filing a return, claim, notice, or other document.
- Communicating with HMRC in any other way.
What Do You Need To Know?
- If you interact with HMRC on behalf of someone else and are paid for doing so, you must register.
- If you already have an Agent Services Account, you do not need to re-register. HMRC will contact you through your existing account.
- Registration will be free of charge.
- It is the legal entity that registers, not individual employees.
- Certain individuals within the firm, termed “Relevant Individuals”, must also satisfy specific conditions.
As previously confirmed, conveyancing firms that submit SDLT returns will fall within scope. Firms that fail to register will be unable to file SDLT returns on behalf of their clients.
Who Are “Relevant Individuals”?
The definition of “Relevant Individuals” depends on the size of your firm:
- Firms with five or fewer directors or partners: all directors/partners are Relevant Individuals.
- Firms with six or more directors or partners: any individual who plays a significant role in managing or organising tax adviser activities will be considered a Relevant Individual.
This is a broad and potentially subjective definition, and further clarification from HMRC is needed.
Conditions for Registration
Both the business and its Relevant Individuals must meet certain conditions before registration will be approved.
These include:
- AML supervision (business requirement)
- No outstanding tax compliance issues
- No sanctions
- No unspent fraud or tax convictions
- No director disqualification (individual requirement)
Importantly, registration can be suspended if these conditions cease to be met after approval.
Professional Standards
HMRC will also have the power to refuse or suspend registration if professional standards are not met.
However, the precise standards that will apply have not yet been clearly defined. It would be reasonable to expect that compliance with your existing professional body’s regulatory framework should satisfy this requirement but until HMRC provides further guidance, some uncertainty remains.
Timeline and Practical Next Steps
Registration opens on 18 May 2026.
Full details including what information will be required and how applications must be submitted, are still awaited.
In the meantime, firms should:
- Review who is responsible for tax related work within your firm
- Identify who may fall within the definition of a Relevant Individual
- Ensure your firms AML supervision arrangements are fully up to date
Final Thoughts
This represents a significant development for conveyancing firms. While the policy direction is clear, the practical detail is still awaited.
Further clarification from HMRC is needed, particularly around the definition of Relevant Individuals and the application of professional standards.
If you would like to discuss how this may affect your firm, please feel free to get in touch.
