Expanding Our Expertise in NHS VAT, Employment Taxes, Corporate Taxes, Land Taxes & Custom Duties

For years, CRS VAT has been the trusted partner for NHS bodies seeking to maximise VAT recovery, strengthen compliance, and reduce HMRC risks. From 1 October 2025, we will evolve into CRSTAX, reflecting our ability to deliver a broader range of tax services to the NHS while maintaining the same unrivalled VAT expertise you know us for.

This change brings together our established VAT specialists with experts from across our group, creating a single, dedicated team supporting NHS organisations covering all areas of taxation – including employment taxes, corporate taxes, land taxes, and customs duties.

Why the Change Matters for the NHS

We understand the pressures facing NHS finance teams – rising costs, compliance challenges, and the constant need to maximise savings. Employment tax obligations are growing more complex each year as well and even small errors can result in costly penalties and underfunding of vital services. With CRSTAX, you have a partner who not only understands the NHS but has the technical expertise to protect its financial future.

Our Expanded NHS Tax Services

As CRSTAX, we continue to offer our full suite of NHS VAT services – including recovery reviews, compliance checks, COS re-reviews, training, and HMRC enquiry support. Alongside this, our enhanced service portfolio now includes:

HMRC Compliance Reviews

HMRC continues to carry out compliance reviews of NHS organisations, often focusing on expenses and benefits, salary sacrifice, IR35 compliance, Construction Industry Scheme (CIS), and termination payments. Errors can lead to significant liabilities and penalties.

We have a proven record of achieving positive outcomes for NHS bodies. In one case, HMRC initially calculated a liability of over £400,000, but following our intervention the final settlement was reduced to just £30,000.

Expenses and Benefits

We advise NHS organisations on the full tax treatment of staff benefits – from salary sacrifice arrangements and staff awards to P11D reporting/payrolling of benefits and PAYE Settlement Agreements. This ensures benefits remain tax-efficient while fully compliant.

Status and Off-Payroll Working (IR35)

With the revised IR35 rules placing responsibility for assessing employment status onto NHS bodies, we provide practical support. This includes drafting or revising policies, assisting with individual status determinations, supporting SDS appeals, and managing HMRC disclosures.

Construction Industry Scheme (CIS)

NHS finance teams can often be unfamiliar with the complexities of CIS, leading to errors in reporting. We deliver training, audit checks, and practical guidance to ensure compliance – reducing the risk of penalties.

Termination of Employment

Payments made under settlement agreements or redundancy schemes can have complex tax implications. We advise NHS bodies to ensure these payments are structured correctly, avoiding unexpected liabilities.

Pension Planning and Education

Working closely with NHS finance and HR teams, we deliver pension education and tailored planning advice to ensure compliance and optimise staff outcomes.

Corporate Taxes

NHS organisations engaged in trading or commercial activities may face corporation tax obligations. We provide guidance on structuring, compliance, and disclosure to ensure that NHS bodies meet their obligations while minimising liabilities.

Land Taxes (SDLT, LTT, LBTT)

Property transactions such as lease arrangements, acquisitions, or disposals can give rise to Stamp Duty Land Tax (SDLT in England), Land Transaction Tax (LTT in Wales), or Land and Buildings Transaction Tax (LBTT in Scotland). Our advisers ensure that NHS organisations apply the correct tax treatment, claim available reliefs, and avoid costly errors.

Customs Duties

Where NHS organisations import medical supplies, pharmaceuticals, or specialist equipment, customs duties can apply. Our team advises on tariff classification, duty reliefs, and the correct use of import documentation to avoid overpayments or penalties.

Case Studies – Delivering Taxation Value to the NHS in Practice

• VAT COS Re-review Savings – Our secondary reviews frequently uncover £30K to £800K in additional recoveries, after a competitor has already completed a review.
• HMRC Settlement Success – As highlighted above, we reduced one NHS organisation’s HMRC liability from £400K to £30K, delivering immediate savings and future compliance confidence.
• Employment Tax Clarity – We have helped NHS bodies rewrite IR35 policies and successfully defend HMRC challenges, ensuring correct application without unnecessary costs.

Taxation Built for the NHS

Unlike generic tax advisers, CRSTAX is a dedicated full-taxes team focused exclusively on NHS organisations. Our advisers include Chartered Tax Advisers and former HMRC officers, combining frontline knowledge with practical sector experience.

This unique expertise ensures we don’t just identify issues – we deliver solutions that [provide value/save money], improve compliance, and strengthen internal processes.

Payrolling Benefits Postponed for a Year

After listening to feedback, the government has delayed the introduction of mandatory payrolling benefits and taxable employment expenses until 6 April 2027. 

Currently, taxable benefits in kind, (BiKs) and expenses are administered through the submission of annual forms P11D, for the tax, and form P11D(b) for Class 1A NICs. These forms are submitted after the end of the tax year. 

However, since 2017, employers have had the choice to voluntarily payroll most BiKs, (loans and accommodation have been excluded), and as part of the tax simplification project, HMRC intends to get rid of P11Ds entirely. This was meant to be from 6 April 2026 but has now been pushed back for a year, to allow software designers and employers more time to prepare. Given the significant number of extra information fields that will be introduced on the FPS report, this is understandable. 

The extra fields are similar to those on P11Ds and the P11D(b) and will include information on the benefits being provided and BiK values for the tax year. There will also be fields to show the benefit value and Class 1A NIC for the pay period, and cumulative values for the year to date. 

The effect of these new data fields on the FPS will be to merge the forms P11D into payroll, so that tax on BiKs and salary can be collected in real time. The additional details will also help HMRC to check compliance. 

What else is new in payrolling benefits? 

• HMRC will not charge penalties for payrolling benefit errors but only for the first year. 
• Registration to voluntarily payroll loans and accommodation for 2027-28 will open from November 2026. 
• Where the information to determine tax and Class 1A NICs is not available during the tax year, an Update Process (UP) will be introduced. Employers are expected to use a reasonable estimate for the value to be payrolled then use the UP to record any over-or-underpayments of tax by 6 July following the end of the tax year. 
• Employees experiencing financial difficulties, because of more than one tax year’s BiK liability being collected at the same time, can ask HMRC to spread the tax due over more than one tax year. 

HMRC has clarified instances where they will collect underpaid tax through other systems available to them, i.e. P800’s, (the end-of-year reconciliation process for PAYE), Simple Assessment and Self-Assessment. They are – 

• when the tax due is over 50% of the employee’s gross salary, 
• if employees have not received income, and 
• where BiKs have been provided after an employee has left 

Draft legislation, guidance and technical information will be provided from this autumn, and initial software technical information will be made available to software developers for feedback in December 2025.