Tax and VAT queries: what’s new in 2025?

Navigating the complexities of tax and VAT can be one of the most challenging aspects of running a small or medium-sized business. Rules and regulations can be hard to interpret and often subject to change, not helped by HMRC often being slow to respond to questions. So, it pays to have access to expert advice when confusion arises.

At Markel, our in-house tax and VAT helplines are staffed by tax and VAT specialists with decades of experience across HMRC and private practice. They answered 29,000 queries in 2024 alone, and another 11,000 in the first half of 2025. They have the skills and experience to easily spot recurring themes and emerging trends as they guide businesses through a variety of tax and VAT challenges.

VAT queries we handle every year

Roughly a quarter of our annual helpline queries relate to VAT, while the rest cover wider tax issues. Among the VAT queries, there are some that crop up time and again. These typically include:

• Property transactions – working out whether the sale or transfer of an investment property is an outside-the-scope Transfer of a Going Concern, VAT exempt, standard-rated, or even zero-rated
• HMRC delays and communication problems – advising on how to handle VAT registration delays, requests for clarification, HMRC refund claims, or ongoing investigations
• Construction VAT relief – clarifying when reliefs apply to new builds, conversions or refurbishments, along with handling more complex land and property transactions, such as those involving the capital goods scheme, partnerships, agents, or call options
• Cross-border selling – advising businesses on the VAT implications of selling services cross-border, particularly when there are online elements or where transport or hotel accommodation are involved

Emerging VAT issues in 2025

Our VAT experts have also noticed several emerging trends in the topics they’re being asked about in 2025, reflecting broader changes in the issues impacting small and medium-sized businesses under the new government. These include:

• Trading through Northern Ireland – advising on the VAT implications of selling goods into, out of, or via Northern Ireland
• Influencer marketing – helping to understand the VAT implications on influencers receiving gifts and samples, as well as on their more obvious income
• Private school fees – clarifying whether the new VAT on private school fees applies and the knock-on implications of this on VAT registration and recovery of VAT on costs
• Aesthetic and beauty treatments – ascertaining whether these fall under the health exemption or are subject to standard-rated VAT (which is more likely)

With strong backgrounds in HMRC service and decades of experience in VAT, our helpline advisers are used to providing clarity and offering second opinions that help businesses deal confidently with HMRC.

Our tax and VAT helplines are available to all fee protection policyholders, ensuring that these issues never slow your business down. If you’re not yet benefiting from this service, contact us today to find out how you can gain access to expert advice when you need it most.