Making Tax Digital

The UK Government – HMRC – is changing the way we report our finances.

Be prepared. Be positive.

We have been preparing for a while now to help ensure that you can make the transition to digital taxation. For some of us already using computer software to prepare our accounts and submit online there will be little difference; for others there may be a little more preparation to do.

Technophobes listen up! We know that changing the way you work is a hard pill to swallow but think for a minute about of some of the changes in your life that made things easier? Well, this is one of those changes! We are here to help you as much as we possibly can, so there’s no need to be nervous. 

Accurate, fast and at your fingertips – online accounting

Whatever your situation we’ve got the answer and it won’t hurt as much as you think. 

Here’s the latest:

If you are VAT registered the deadline was April 2022. Read the guidance here – https://www.gov.uk/vat-record-keeping/making-tax-digital-for-vat – NOTE if we prepare your VAT return we will sort this for you! Get in touch if you need support for this, we are highly experienced in digital reporting software.

Under Making Tax Digital (MTD) for Income Tax

Businesses will keep digital records and send a quarterly summary of their business income and expenses to HMRC using MTD-compatible software.

For sole traders and property landlords with gross income over £50,000, these requirements will not be phased in until April 2026. 

Other individuals subject to Income Tax will follow at a later stage.

Finding Suitable Software

We currently have clients using a variety of online packages, the most popular are:

• QuickBooks – we can get reduced rates for you and they are starting to run free 90minute onboarding sessions on how to use the software, which we can send you a link to.
• Xero
• Sage
• Freeagent – we can get reduced rates for you, also if you have a NatWest / RBS / Mettle bank account you are eligible for a free account.

There are other alternatives available.

Talk to us about what ‘Make Tax Digital’ means for you.

If you have any queries regarding the above then, again, please do give us a call. We can help you through it all.

You can find the full text about the proposals, timescales on the UK Government Making Tax Digital web pages.

“Sooner rather than later” is ALWAYS a good advice.

We strongly advise that you don’t leave it until the last minute. Making plans and getting going early is a good way to dispel any concerns and make a seamless transition. But, whatever stage you’re at, you’re always welcome to call us for advice and guidance.

If you are asking yourself:

“Why not?”

“Why not me?

“Why not now?”

The answer is “no reason whatsoever”, so, talk to me and let’s change your business for the better.

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