For the past few months there’s been much frenzied debate about the impending changes planned for the UK tax system. By 2020 HMRC are proposing to put in place a fully digitized tax system as part of their ‘Making Tax Digital’ initiative, which will let you keep tabs on how much tax you owe, making it easier to budget and keep your tax affairs in order throughout the year.
According to HMRC, the digital tax account will effectively act like an online bank account where you can register for new services, update information and understand what needs to be paid, without the need for tedious form filling.
In less than 7 days’ time your chance to feedback on HMRC’s public consultations on Making Tax Digital will end.
Sure it’s a well-known fact that most small businesses like to keep any dealings with the tax man to a minimum, but as these monumental changes are likely to affect you and many others, now’s the time to have your say and get your voice heard.
There’s two ways you can feedback:
- HMRC are asking that you read and feedback on the public consultation papers directly. They’ve provided a useful overview of the consultation documents to make it easier to digest the information including a list of the key questions that HMRC would like responses to. READ OVERVIEW
- If you’d prefer to respond to the questions in their overview, instead of responding to the individual consultation documents, you can do so using an online form HMRC has provided: MTD QUESTIONS RESPONSE
The new system will be implemented in stages from April 2018 to 2020 so whilst that may seem far away, the time will come quicker than you think.
If you’re part of the 75% of small businesses currently using desktop software and/or paper records, going digital might seem a little daunting, but millions of UK businesses have already found using software and apps makes their lives easier.
KashFlow have 70,000 subscribers in the UK that are already thinking digitally and needing real-time access to their profit and loss and tax details. To see how you can make paper spreadsheets and receipts a thing of the past, contact our friendly on-boarding team here at KashFlow on 0844 815 5779 to arrange a free 1-2-1 demo of the software today.