From April 2019 most VAT registered businesses were required to submit their VAT returns through the government’s Making Tax Digital for Business system and has been reasonably successful. This is part of HMRC’s generalised movement towards becoming a more digitally advanced tax administrator.
All other traders were to come under MTD in April 2020 but this was postponed until April 2021. Don’t delay why not start using software so that you are in advance of the requirements.
For more information about how Making Tax Digital might affect your business, please call us today.
Perhaps you might have heard about cloud accountancy packages and wonder what this means. Being hosted on a cloud means access is made through the internet (a web page) and can be accessed via a multitude of devices such as laptops, tablets and mobile phones, using unique log in details. This often creates greater flexibility than traditional desktop packages that could only be operated from a single computer. Most cloud software packages allow for multiple user profiles which can be set with appropriate user controls depending on how much information the user is authorised to access. With the ability to update accounts in real time, and from any location where internet access is available cloud accounting is becoming a popular choice for many small businesses. For more information, contact us today!
Starting a new business is exciting but can also be daunting. We can provide advice on which might be best for you sole –trader or Limited company, giving clear and easy to understand information we can help take the stress out of starting up.
The first meeting is always free, so why not contact us to see if we can help.
HMRC are chasing an estimated £33bn tax gap between what it should collect and what it does collect. Over half of this is attributed to Small Businesses (£14bn) and Individuals (£3bn). Tax and VAT Investigations are a key tool in reducing this deficit. HMRC use sophisticated software to cross match a wide range of data sources, any anomalies can lead to an investigation. They do of course continue to carry out random investigations. Make sure that your business is protected with our Tax Investigation Insurance.