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HMRC Removing ‘VAT for Agents’ from OAA Service

Last updated: 13 Feb 2024 10:30 Posted in:

HMRC has announced it is removing ‘VAT for Agents’ from the Online Agent Authorisation (OAA) service.

In a letter to tax agents it said that, from 16 February 2024, agents who wish to be authorised to represent their clients for VAT must do so in the agent services account (ASA) – a process known as a ‘digital handshake’.

It added that from that date it will remove the ability to copy across to the ASA any ‘VAT for agents’ authorisations generated via OAA.

HMRC said: “If you already use the agent services account for all VAT authorisations, you will see no change and do not need to take any further action.

“If you use ‘VAT for Agents’ in OAA you must stop doing so as soon as possible. From 16 February 2024, the service will be removed from OAA.

“This means that you will no longer be able to use the ‘VAT for Agents’ service in OAA to seek authorisation to represent clients or copy across your relationship to your ASA.”

The tax authority added that any ‘VAT for Agents’ authorisation codes generated in OAA service before 16 February 2024 must be used before 18 March 2024.

It added: “If you have already used OAA to get authorisation to represent a client for VAT but have not copied your client across to your agent services account by 16 February 2024, you may need to complete a digital handshake to continue to act for them.”

These changes apply to both advisory agents and agents filing VAT returns.

HMRC told agents: “For new VAT authorisations completed on ASA, your clients must use the web link you send them to complete a digital handshake. Clients must have a Government Gateway ID to do this.

“Your clients must complete their part of the digital handshake within 21 days of you receiving the link. After 21 days, the link will expire, and you will need to begin the process again to generate a new link.”

HMRC confirmed that it will not send any links or codes directly to agents’ clients when they sought authorisation to represent them.