18th November 2016
Making Tax Digital
In 2015, the Government committed to moving tax online, making it easier and quicker for us all to manage our tax – and to communicate directly with HMRC. Added ambitions with this proposal are to avoid mistakes made on both sides and to enable us to understand our tax situation in real time – reducing the risk of any unpleasant surprises…
This won’t see the back of the Self Assessment tax return, alas, but it is likely to see it evolve and become a friendlier beast! We do have an excellent Tax system here in the UK, but the information and data is held across several systems and databases which can be inefficient and in some cases, has been known to duplicate efforts and information. The aim of this movement to a more digitalised approach is to negate this risk of duplication; risk of error and to make it generally easier for all of us!
Only two million small businesses are currently using the digital system but more businesses will be brought online over the next few years. You will be notified when your ‘time’ is, so if you need any help with this transition, you know where we are!