The Government’s plans for making tax digital (MTD) have slowed down due to recent political events, including the General Election but the end goal remains the same.
In the not too distant future, all tax matters will be reported online and all businesses will be expected to manage their accounting and tax records using some sort of software.
We thought we’d bring you this quick update so you can start getting ready for the changes ahead of time.
What Will Change?
The biggest change for most businesses will be having to use an online portal for all tax-related affairs. HMRC will no longer accept paper-based submissions for forms like tax and VAT returns. The nature of how the online portal will function is not yet clear, although we expect more details will be released once the Government has a clear timeline for implementation. With that in mind, it would be wise to start digitising your tax affairs now as much as possible, to make it easier to transition once the portal is up.
How Should I Prepare My Business?
One of the best moves that you can make right now as a business is to start using bookkeeping software instead of paper-based accounting. Here at K. A. Farr & Co, we are official Sage Partners, meaning we are licensed to distribute their bookkeeping software and can provide you with all the support you need to get it up and running for your business. Moving to software-based accounting will not only help your business be ready for the digital tax changes but can also make your accounting process easier and more efficient, saving you time and money.
Here at K. A. Farr & Co., we can help you make sure your business is ready for the change to digital tax.
Our services have helped countless clients to save money, ensure compliance and increase efficiency.
To find out how we can help you, why not get in touch by calling 01704 211 434, or fill in our online contact form and we’ll get back to you.