HMRC have announced new information surrounding their future change to digital tax returns in their Making Tax Digital report . We’ve summarised the key points for you below.
In their report HMRC announced that unincorporated businesses with an income of £10,000 or more per year will be affected. Previously those types of businesses were not expected to keep digital records of their income, but now everyone will be expected to do so no matter what their level of income. This includes those of you who operate as landlords and receive rents of more than £10,000 per year.
The government has announced that they will be offering free apps to assist businesses in their transition. However, these types of apps may not be suitable for your business requirements, so a subscription to commercial software may be better. For more information on the types of software BusinessHeads recommends see our blog outlining the different Accounting systems available .
You may find that using an electronic system is more demanding initially, but we offer training in these areas so can work through any of the problems you’re having with you. Alternatively, it might be best to find yourself a trained bookkeeper with a working knowledge of these systems.
Although the primary deadline to have everything online by was 2020, within the Making Tax Digital report announced by HMRC it states that some businesses may need to comply by April 2018. At this time we don’t know which businesses this will include, it’s best to be ahead of the game and set yourself up on an online system now!
All details above were correct at the time of publishing - for more up to date information please
get in touch
HMRC have released their new advisory fuel rates for drivers of company vehicles. These came into effect from 1st July and allow reimbursement of fuel tax free at these levels.
Nobody wants to pay tax on divorce. So how do you keep your tax bill down while coming to a sensible arrangement with your spouse?
Since the change to Dividend tax came in you may be wondering if there are more tax efficient ways of drawing funds from your company. Read more for an idea that can save tax each year.
I love the summer for sitting back and reflecting on the year. Thinking back to the dark days of winter and forward to the joy of Christmas time. Now is the ideal time to review how your business is going and as you revive yourself through holidays and sunshine you’ll be well placed to make any changes come the autumn.