Replies

• PRO

  Richard Gadsby February 19, 2017 at 12:42pm

  Where is your source for this? I know it was mooted but heard nothing recently.
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    1st Garden Maintenance > Richard Gadsby February 19, 2017 at 1:07pm

    In the Mail on Sunday today.
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      James Brett > 1st Garden Maintenance February 19, 2017 at 8:48pm

      The mail?? Hahaha, explains it all
• PRO

  Gary RK February 19, 2017 at 1:03pm

  Only partially correct. It is still subject to finalisation and starts to go forward, and will be phased in, at the earliest from April 2018 to 2020 (like Pensions staging).

  There is no requirement to store invoices and receipts digitally, so shoeboxes will be ok. Spreadsheets or Free HMRC software will be available for Accounts submission when it does come in...(they haven't even started the Pilot scheme yet which was due to start this Quarter as far as known). Anyone using an Accountant or doing online will already be familiar with this approach anyway

  See HMRC

  And here (probably best source of updated info)

  Here are links to the original discussions on LJN, which resulted from 2015's Budget:

  http://landscapejuicenetwork.com/forum/topics/budget-2015-good-news...

  http://landscapejuicenetwork.com/forum/topics/petition-against-tax-...

  This was the last update from our Accountant's Newsletter late last year:

  Making Tax Digital

  The government published their responses to the six consultations on making tax digital (MTD). In response to the consultations the government have decided the following:

  • businesses will be able to continue to use spreadsheets for record keeping, but they must ensure that their spreadsheet meets the necessary requirements of Making Tax Digital for Business (MTDfB). This is likely to involve combining the spreadsheet with software
  • businesses eligible for three line accounts will be able to submit a quarterly update with only three lines of data (income, expenses and profit)
  • free software will be available to businesses with the most straightforward affairs
  • the requirement to keep digital records does not mean that you have to make and store invoices and receipts digitally
  • activity at the end of the year must be concluded and sent either by ten months after the last day of the period of account or 31 January, whichever of these is soonest
  • charities (but not their trading subsidiaries) will not need to keep digital records
  • for partnerships with a turnover above £10 million, MTDfB is deferred until 2020 due to the complexity of their tax affairs.
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    AndyCharles-EnborneGardeningCo > Gary RK February 19, 2017 at 5:54pm

    Do you know if this will this apply to the self employed? And given the track record of HMRC on everything they do, I firmly expect a health dose of chaos all round...
    • PRO

      Gary RK > AndyCharles-EnborneGardeningCo February 19, 2017 at 5:58pm

      Yes, almost 99.9% certain unless your t/o is less that £10k (there's a bit more HMRC detail in link above), although they seem to mention there will be 'allowances' for those that can't submit digitally (!!)....

      Chaos, HMRC, Tax...not often 3 words you see in one sentence :D
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        AndyCharles-EnborneGardeningCo > Gary RK February 19, 2017 at 6:09pm

        Bugger. Oh well, time to buy a new computer to deal with this, and then offset the cost against tax as it will clearly be for business use. And as one of the rural broadband disadvantaged (0.75MB on a good day), I will need to offset the costs of laying fibre to my house. Every cloud...
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  Graeme Brown February 19, 2017 at 8:42pm

  My sister in law works in HMRC a friend works in COMPLIANCE ( the dark side) both say this is not very likely in the short time due to very high work load.
• PRO

  Ed Fox March 4, 2017 at 12:10pm

  I just spoke with my accountant about this issue yesterday. He informed me that the general concenses amongst accountants is that HMRC are not ready yet and it will likely be pushed back...A bit like universal credit if i remember rightly. He said politically they, (the government) want to push it through regardless and if they mange to its going to be a mess, so the likelihood is that it will get pushed back. If like me you use an accountant then they will keep you informed when a concrete decision is made. However you can be sure it is coming.
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  chris nangle March 4, 2017 at 12:47pm

  hi chaps ,with this in mind can I ask which of the softwear you are using or planning on using, we are keen to take th plunge however I'm not sure which to go for ? I would love to know what your using.