Blog Archives - Page 3 of 3 - The Fishbourne Accountant

GOING DIGITAL

Posted on 4th August 20181st December 2019 by Monica Jervis

Going Digital or making tax digital (MTD) as we now know it. Most people will have heard about this requirement by now and may be wondering if it’s ever going to happen. The answer is that it is still going to happen but later and more slowly than originally planned.

What is it?

Basically using computerized accounting systems including excel, on any device (pc, smartphone, tablet etc) instead of paper records. Eventually reporting tax periodically via the internet to HMRC instead of just once a year.

Is this a good thing?

After some pain it could well be an opportunity as you find you have information about your business far more quickly than you used to so can actually use it to keep track and make supported business decisions. There is a lot of technology out there to be taken advantage of that you may never have otherwise bothered with.

Why are the government doing this?

HMRC say Making Tax Digital is… transforming tax administration so it is:
• More effective
• More efficient
• Easier for taxpayers to get it right

When do we have to do it?

• From April 2018 there is a pilot which is voluntary to join
• From April 2019 VAT only
• From April 2020 Income Tax and Corporation tax

How can I start to prepare?

Set up your ‘Business Tax Account’, consider what software you are going to use and sign up to a free trial which most software houses will offer.

And do remember to get support from your accountant!

Should small businesses be worried about Making Tax Digital (MTD)?

Posted on 22nd July 20181st December 2019 by Monica Jervis

It is only VAT registered business that have to process their VAT Returns digitally by 2019.

Therefore the only change is in the way that this is done and the best advice is to make sure you are using software that will be MTD compliant by April 2019. The main software houses will be up to speed with this because they will have to be.

If you subscribe to QuickBooks for example you should get in touch with their support team and make sure they will be providing the software as part of your subscription.

If you are still using a past version of your provider’s software you may find that you will have to upgrade to their latest version in order to use the MTD compliance facility to submit your vat returns from April 2019.

If you use an accountant to submit your vat returns you shouldn’t have to worry at all as the accountant will look after the technical side.

I do however advise all businesses to register themselves for their Business Tax Account and add all the services they need ie VAT, PAYE, Self Assessment Tax just to give themselves some visibility over their own taxes even if they are using an agent/accountant.

So the answer to the question is no you don’t have to worry, but we are 8 months away from the first installment and you would be well advised to start making sure everything is in place for yourself.

Handy Calculator for Holiday Entitlement

Posted on 19th February 20181st December 2019 by Monica Jervis

Are you coming to the end of your holiday year? Don’t spend hours trying to work out how much holiday your employees have left. Just use this handy HMRC calculator to calculate entitlement for full timers, part timers and casual workers. Click on the link or copy and paste it into your browser. https://www.gov.uk/calculate-your-holiday-entitlement.

Category: Blog