New Tax Checks to Renew Licences for Taxi, Private Hire and Scrap Metal Businesses

From April 2022, the rules are changing for individuals, companies or any type of partnership applying for a licence for a:

• taxi driver
• private hire driver
• private hire vehicle operator
• scrap metal site
• scrap metal collector

In order to obtain or renew a licence the trader must carry out a tax check. This cannot be done by a tax agent or adviser on behalf of the business. The tax check will ask questions about the payment of tax that is due on income from the licensed trade.

After completion of the tax check the trader will be given a 9-character tax check code which will need to be provided to the licensing authority to support the application.

Businesses affected will need to set up a Government Gateway user ID and password, if they do not already have one, in order to complete the tax check. Precise details of the tax check are yet to be published but it is likely to require that the trader is registered with HMRC.

See: Changes for taxi, private hire or scrap metal licence applications from April 2022 - GOV.UK (https://www.gov.uk/guidance/changes-for-taxi-private-hire-or-scrap-metal-licence-applications-from-april-2022)