You may well need to prepare your business for this fundamental HMRC change to the tax system.
MTD is the most fundamental change to the administration of the tax system for at least 20 years. Many businesses (including landlords) will be required to keep their accounting records digitally rather than on paper, and will need to submit digital updates of their accounting records to HMRC every quarter. Over the next few years, we believe that all but the smallest of businesses will be required to follow the new rules. This is a good opportunity to look at how technology can help you to administer your business and we will be here to help you as much as you need to get you through this change.
From April 2019 all VAT registered businesses whose VAT taxable turnover is above the VAT registration limit of £85k, will have to keep digital records and submit their VAT return from MTD compatible software. You will no longer be able to manually type your VAT return figures into the HMRC Online system.
HMRC have said that for other businesses, making tax digital and the quarterly reporting of income and expenses will not be introduced before April 2020 and not until the system has been shown to work.
We have teamed up with SageOne to provide a solution to MTD. SageOne is cloud accounting software designed to be easy to use and can incorporate automatic feeds from your bank account to make your book-keeping efficient. Our clients who have already started using the software have found it straight-forward to make the switch.
We have already run a number of successful seminars covering MTD and giving a demonstration of the SageOne software. If you would like to be invited to a future seminar please click on the “Contact us” area and send us your contact details.