Making Tax digital is nearly here

3rd September 2018

As we head towards the end of summer and we start to prepare the children to go back to school, life starts to get back to normal. If you run your own business you may want to use this time to start planning ahead for the changes in the way you file your paperwork with HMRC.

As from April 2019 all businesses with a turnover over £85k will need to submit their VAT returns through software using  MTD (Making tax digital) compliant software.. Gone will be the time of preparing paper records and logging onto HMRC’s website to submit the figures.

For some the idea of computerising your records is a very daunting task, but it is the future HMRC see for the submission of future returns on a quarterly basis.

Where do you start? HMRC now have over 30 approved software providers on their website as a starting point for which software to use. Most businesses are now heading down the Cloud route with products such as Xero or Quickbooks, which allow them to access their records anywhere there is an internet connection.

Not sure about computers, it may be time to outsource your book keeping and allow an accountant to keep your records quarterly rather than just annually. Want to have a go but not sure where to start we have qualified staff in MTD compliant programmes ready to show you the right direction.

Do nothing and HMRC will be issuing penalties! Have a go and there will be a soft landing period for twelve months.



 
Other items in Blogs
 
Mark Deighton
14th September 2018 Sage 50 VAT T Codes

Sage 50 VAT T Codes. Sage 50 Accounts book keeping software populates its VAT return by using tax (T) codes to indicate which VAT rate to apply to each transaction. Whenever you post a transaction in Sage 50 Accounts you must enter the relevant T code:   T0 – Zero rated transactions (eg most food, books, new builds,…

Read More »

Richard Alecock
13th September 2018 Making Tax Digital …… Only 200 days to go!

It’s time to decide how you will digitalise your records in order to meet HMRC requirements ahead of April 2019 HMRC wants the UK to be one of the most digitally advanced tax administrations in the world, improving efficiency, effectiveness and ease of compliance. Their plans signal the end of paper accounting for millions across…

Read More »

Jeannette Hume
4th September 2018 EIS Test Case: Capital gains tax exit exemption not linked to income tax entry claim.

In a recent HMRC test case (Ames v CRC), the Upper Tribunal considered whether it was necessary for EIS income tax relief to have been claimed when an EIS investment was made, for the transaction to then potentially qualify for exemption from capital gains tax when the investment was sold. For the case in question,…

Read More »

Ian Piper
4th September 2018 Preserving your business income

It’s the holiday season, many will have recently been or soon be travelling abroad. As well as marvelling at the sights, we will also be struck by how these countries are run, and compare them to life back in home.   It is easy to be jealous of: State pension levels in Sweden Police numbers on…

Read More »

Amanda Newman
3rd September 2018 Making Tax digital is nearly here

As we head towards the end of summer and we start to prepare the children to go back to school, life starts to get back to normal. If you run your own business you may want to use this time to start planning ahead for the changes in the way you file your paperwork with…

Read More »

Richard Alecock
31st August 2018 Lettings relief increases the amount of the gain that is sheltered from capital gains tax

Occupying a let property as the only or main residence at some point during the period of ownership will not only shelter the gain relating to the period for which the property was occupied as the main residence (and also that relating to the last 18 months of ownership), but will also entitle a claim…

Read More »