The government has announced that the rollout of Making Tax Digital will be delayed until at least 2020, following concerns raised by the Treasury Select Committee.
However, businesses with a turnover over the VAT threshold of £85,000 will be required to keep digital records for VAT purposes only from April 2019. VAT already requires quarterly returns, so businesses will not need to update HMRC any more regularly than they do now.
The policy around Making Tax Digital, which was due to bring an end to the tax return through quarterly digital reporting, was due to impact businesses from April 2018.
However, here at Sheards we still believe that there are huge benefits to be gained from implementing online accounting software.
Moving to a cloud based system provides businesses with a clear understanding of their business finances allowing them to take control and make well informed decisions based on up to date financial information.
Over 100 of our business clients are already reaping the benefits of online accounting. We are urging those already in the process of moving over to an online solution or that have been considering the transition, not to be deterred from these changes.
If you would like further information, please don’t hesitate to get in touch: advice@sheards.co.uk