Tax advisory is complex enough without compliance headaches adding to the burden.
You’re advising clients on trusts, estates, and international structures. Then HMRC requires full AML compliance on top of everything else. The problem is that most AML software treats tax advisers like accountants, but your work involves different risks and requirements entirely.
The specific challenge? Enhanced Due Diligence is standard for tax advisers, not the exception. You need AML software for tax advisers that handles complex structures, source of wealth verification, beneficial ownership mapping, and sophisticated ongoing monitoring.
This post shows why FigsFlow is the easy compliance solution built specifically for tax advisory practices.
Key Points Summarised for Busy Readers
- Tax advisers need AML compliance for trust work, offshore planning, and company formation. Most clients require Enhanced Due Diligence, not simple checks
- Generic AML software lacks EDD workflows, source of wealth verification, beneficial ownership mapping, and risk assessment that handles complexity without defaulting everything to “high risk”
- FigsFlow delivers complete AML compliance plus proposals, engagement letters, and document management. Pre-built templates cover trusts, offshore planning, and international tax scenarios
- Pricing: £18/month base plus £2.10 per check. For 15 clients annually, that’s £247.50 versus £1,200 to 3,600 for specialised alternatives
- Simple for solo practitioners yet sophisticated for complex trust work. Complete audit trails from initial consultation through implementation
When Tax Advisers Need AML Software
Not every tax advisory service triggers AML compliance. Here’s when AML software for tax advisers becomes mandatory.
Services That Always Require AML Compliance
The following services trigger full AML obligations under Money Laundering Regulations 2017:
- Trust formation or acting as trustee
- Nominee arrangements where you hold assets or positions
- Company formation services
- Acting as company secretary or director
- Handling client money beyond standard fees
- Offshore structure setup and management
- Estate administration involving trusts or complex structures
No exceptions. These services always require complete AML compliance.
Services Requiring Risk-Based Assessment
These services often require Enhanced Due Diligence depending on client circumstances:
- High-net-worth inheritance tax planning (source of wealth verification needed)
- International tax planning spanning multiple jurisdictions
- Property portfolio advice for non-resident clients
- Complex family office arrangements with multiple entities
- Cross-border wealth transfer planning
If relevant risk factors are present, comprehensive beneficial ownership mapping and EDD become necessary.
Services Generally Not Requiring AML
Standard tax advisory work typically doesn’t trigger AML requirements:
- Standard UK tax return preparation
- Basic tax advice and consultations without implementation
- HMRC enquiry support and representation
- Tax planning advice that stops at recommendations
However, having proper AML software keeps you ready when clients request implementation.
The Revenue Opportunity
Many tax advisers start with straightforward compliance work. Then clients ask about trust planning or offshore structuring, shifting the conversation from basic advice to implementation worth tens of thousands in fees.
Real example: Client comes for inheritance tax advice. Straightforward consultation, modest fee. They ask you to establish a discretionary trust. Now you need full Enhanced Due Diligence including source of wealth verification and beneficial ownership mapping across three generations. The fee jumps to £15,000 or more.
Without AML software built for tax advisers, you’re either turning away revenue or drowning in paperwork that makes the engagement unprofitable.
Need Complete Guidance on AML Compliance?
Understand your complete obligations under Money Laundering Regulations 2017, from CDD procedures to ongoing monitoring requirements.
Why Generic AML Software Don't Work for Tax Advisers
Generic compliance tools miss the complexity of tax advisory work. Here’s why they fail:
- Missing Enhanced Due Diligence Workflows – Basic AML software offers simple identity checks. Tax advisers need EDD as the baseline: detailed source of wealth verification, comprehensive beneficial ownership mapping across generations, multi-jurisdiction screening, and enhanced risk assessment for offshore structures. Generic tools tell you to “conduct EDD” but provide no guidance.
- Wrong Risk Assessment Frameworks – Standard templates assume straightforward businesses. Tax advisers handle discretionary trusts with shifting control, international property portfolios, legitimate offshore structures, and family offices with intricate wealth management. Generic software flags everything complex as “high risk” regardless of actual circumstances.
- No Integration with Tax Advisory Workflows – Generic tools exist in isolation. You still need separate systems for engagement letters, secure document portals, complex proposals, and ongoing client communication. More platforms mean higher costs, compliance gaps, and scattered client data.
- Either Over-Engineered or Under-Powered – Enterprise software costs £500 to 1,000 monthly with features tax advisers never use. Cheap tools skip EDD entirely, leaving you non-compliant for trusts, estates, and high-value clients.
The best AML software for tax advisers balances sophistication with usability. Enterprise capabilities without enterprise complexity or costs.
Need Help Choosing AML Software?
Read our complete guide to AML software for accountants, bookkeepers, and tax advisers.
Key Features to Look for in AML Software for Tax Advisers
Tax advisers need different capabilities than standard AML software provides. Here are the essential features that actually matter:
- Enhanced Due Diligence as Standard Practice – Tax advisers need pre-built EDD workflows designed specifically for their clients. Look for source of wealth verification templates covering inheritance, business sales, property appreciation, and investment income. Beneficial ownership mapping for multi-generational structures should be included, showing settlors, trustees, protectors, and beneficiaries clearly.
- Sophisticated Risk Assessment – The software must handle nuance properly. Offshore structures, discretionary trusts, international portfolios, and family offices need proper evaluation based on actual circumstances. The software should understand that complexity does not automatically equal suspicion or high risk.
- Source of Wealth Verification Tools – You need guided workflows for documenting wealth origins over decades. The software should help you verify inheritance with probate records, business proceeds with completion statements, investment income with portfolio history, and property appreciation with purchase and sale documentation. One text box saying “document source of wealth” is inadequate.
- Beneficial Ownership Mapping – Visual tools are essential for tracking ownership chains through multiple layers. The software should show discretionary beneficiaries, protector powers, appointment rights, and control mechanisms across complex structures. Spreadsheets and text descriptions fail when structures involve dozens of entities.
- Integration with Advisory Workflows – The software should include professional proposals for tax advisory engagements, engagement letters meeting CIOT/ATT/STEP standards, and secure document portals for sensitive financial information. The best AML software for tax advisers becomes part of how you work, creating seamless workflows from consultation through implementation rather than bolted-on compliance creating duplicate effort.
Is Your AML Software Right for Tax Advisory Work?
Does your current or prospective AML software tick these boxes?
☐ Enhanced Due Diligence workflows built specifically for tax advisory clients
☐ Source of wealth verification templates and guidance
☐ Risk assessment frameworks that handle offshore and trust complexity appropriately
☐ Multi-jurisdiction screening for international clients
☐ Professional proposals for tax advisory engagements
☐ Engagement letters meeting CIOT, ATT, and STEP standards
☐ Secure document portals for sensitive financial information
☐ Complete client onboarding from consultation to implementation
☐ Electronic ID verification and sanctions screening
☐ Complete audit trails for regulatory reviews
☐ Integration with your existing workflow (not a separate system)
☐ Affordable pricing for solo practitioners and small firms
☐ Simple enough to use without dedicated compliance staff
If it ticks all of these boxes, it’s right for you. But does it?
Introducing FigsFlow: AML Software That Ticks All Checkboxes for Tax Advisers
FigsFlow is the only platform designed specifically for how tax advisers work, combining sophisticated compliance with practical usability.
Most Affordable Yet Most Reliable
FigsFlow costs £18/month (£8 for proposals and engagement letters + £10 for AML module) plus £2.10 per check. For tax advisers onboarding 15 complex clients annually requiring Enhanced Due Diligence, the total first year cost is £247.50. Compare this to specialised trust and estate AML software costing £1,200 to £3,600 annually. These alternatives rarely include proposals, engagement letters, or document management, and often miss practical EDD workflows despite high prices.
FigsFlow delivers enterprise-level EDD capabilities without enterprise costs. You get the same sophisticated compliance tools large firms use at pricing that makes sense for solo practitioners and small tax advisory practices.
Complete Workflow Integration
Professional Proposal → Client Accepts → Engagement Letter → Document Collection → EDD Workflows → Source of Wealth Verification → Beneficial Ownership Mapping → Risk Assessment → Complete Audit Trail
Everything happens in one platform. Send proposals for inheritance tax planning, trust formation, or international tax advice. Client accepts with e-signature. Engagement letters meeting CIOT, ATT, and STEP standards generate automatically. Secure portal opens for sensitive documents. Pre-built EDD workflows guide you through trust structures and offshore planning.
Source of wealth templates cover inheritance, business proceeds, and investment portfolios. Visual tools map beneficial ownership across complex structures. Sophisticated risk assessment recognises legitimate complexity. Complete audit trails ready for HMRC reviews throughout multi-year relationships. Simple enough for solo practitioners, sophisticated enough for the most complex trust and estate work.
Don’t Believe Us Yet?
As a tax adviser, you must be sceptical. Book a demo and see for yourself how FigsFlow handles the complexity you deal with daily.
Additional Resources
For Tax Advisers:
Conclusion
Tax advisers deal with complex AML scenarios that involve enhanced due diligence, source of wealth verification, and beneficial ownership mapping. Generic compliance tools rarely meet these needs. Basic ID checks overlook trust arrangements, and simple templates fail to assess offshore structures accurately.
FigsFlow is designed for this level of complexity. It offers enterprise-grade EDD workflow at the most affordable pricing, fully integrated from consultation through to implementation. It’s sophisticated for intricate tax cases yet remains practical for solo practitioners.
Leading UK tax advisers trust FigsFlow because it simplifies compliance without flagging every complex structure as a risk. Your focus is tax advice. Let your software handle compliance so you can focus on clients.
Book a demo and see how FigsFlow manages the AML challenges tax advisers face every day.
Frequently Asked Questions
No. Standard tax return preparation and basic advice don’t trigger AML requirements. AML compliance becomes mandatory for trust formation, acting as trustee, nominee arrangements, company formation, acting as company secretary, or handling client money beyond advisory fees.
CDD covers standard identity and address verification for lower-risk clients. EDD applies to most tax advisory work involving trusts, offshore structures, high-net-worth clients, or international planning, requiring source of wealth verification, beneficial ownership mapping, and enhanced screening.
Collect evidence of wealth creation: inheritance documentation (probate records, estate accounts), business sale proceeds (completion statements, valuations), investment income (portfolio statements), property appreciation (purchase records, sale documentation), or employment income (career history, compensation records).
Yes. FigsFlow meets CIOT, ATT, and STEP standards. Engagement letters follow professional body requirements. AML workflows align with Money Laundering Regulations 2017 and HMRC supervision requirements with complete audit trails for regulatory reviews.
You need AML compliance when taking on new clients for regulated services and when conducting ongoing monitoring of existing relationships. If an existing client starts requesting trust formation or offshore planning, you must complete full AML checks before providing those services, even if they’ve been a client for years.
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