Professional Conduct in Relation to Tax (PCRT) code

24 April, 2025

Earlier this month the CLC took part in a consultation event hosted by the Institute of Chartered Accountants in England and Wales (ICAEW) looking at changes to the principles and standards for tax planning set out in the PCRT code in the accountancy sector.

Whilst CLC lawyers are not authorised to provide tax advice and are not bound by the PCRT, the discussions were nevertheless a useful opportunity to reflect on the importance of ethical conduct at the intersection of conveyancing and probate services with broader tax, inheritance and estate planning advice. 

In this context, it is inevitable that some clients will require specialist tax advice.  When these circumstances arise, Outcome 3.4 of the revised CLC Code of Conduct requires you to refer clients to ‘appropriately qualified professionals for advice outside of your areas of expertise’  and Outcome 2.7 requires that you ‘only recommend a particular person, business or product when it is in the best interests of the client’. 

Should you recommend a particular person or business, or indeed any particular product, by Outcome 2.4 of the Code of Conduct, you are required to ensure that your ‘Clients are aware of any limitation or any condition resulting from your relationship with another party’,  this would include circumstances in which you or your practice is paid a referral fee or receives an incentive for referring your clients to that person or business.

More broadly, Ethical Principle 1 requires CLC lawyers to ‘act with integrity, honest and independence’  and to ensure they do not conduct themselves ‘in a manner which may result in a breach of the law nor in any other manner which may bring the profession into disrepute’.    If you or your practice needs support in understanding these requirements and what they mean in practice, we encourage you to contact your dedicated Regulatory Supervision Manager or Officer.