Making Tax digital
- Thread starter Elsa TLC
- Start date
Sorry cannot help but the government adverts on the radio all sound like it supposed to be really simple and free.
Seems to be an unnecessary faff for small businesses. I think its paving the way for government to receive tax owed 4 times a year instead of the current 2.
Seems to be an unnecessary faff for small businesses. I think its paving the way for government to receive tax owed 4 times a year instead of the current 2.
Here is something I have spotted
Currently its over 50k before you need to, next year its over 30k and 2028 if you earn over 20k
But there is nothing mentioned if you earn under 20k, does that indicate that they are going to raise the tax threshold to £20k
Currently its over 50k before you need to, next year its over 30k and 2028 if you earn over 20k
But there is nothing mentioned if you earn under 20k, does that indicate that they are going to raise the tax threshold to £20k
The objective is to collect tax four times a year which imo makes sense. With paye the hmrc receive tax/ni contributions either weekly or monthly, whereas soletraders like myself pay it twice yearly.
Im curious how they will calculate the forecasted earnings. That will be a quarterly faff imo, it'll be a back a fourth of over paying or underpaying
In its current form its a trial, I know I fair few trades that aren't going to partake. I can also see an issue with C.I.S, some companies I sub to are worse than useless issuing the certificates.
If you want to be a sceptic it could be a way of better monitoring the financial affairs of businesses.
Im curious how they will calculate the forecasted earnings. That will be a quarterly faff imo, it'll be a back a fourth of over paying or underpaying
In its current form its a trial, I know I fair few trades that aren't going to partake. I can also see an issue with C.I.S, some companies I sub to are worse than useless issuing the certificates.
If you want to be a sceptic it could be a way of better monitoring the financial affairs of businesses.
I use Xero as this was the product recommended by my accountants.
How many accountants do you need?
The main purpose is to get people who currently shove receipts into a shoebox to actually keep proper accounting records, which will be a significant benefit to those individuals, as they don't have to wait until months after the end of a tax year to discover what state their business is in, or be lumbered with a substantial tax bill they did not expect.
Simple yes.
Free - certainly not.
Most modern accounts software is simple enough to use, but it all has a monthly subscription attached to it.
Currently some types of businesses can submit tax returns and the like via other methods but that is all going away.
Compulsory use of approved software for all taxation is already here for some, and will be arriving for all in the next few years.
