Making tax digital

ballisticbrian

As far as I can tell it wouldn't make too much difference if you use an accountant. They should have everything filed how HMRC want it and all the accountant has to do is submit a couple of extra spreadsheets.

Sure thing, but my acc. wouldn't have every transaction form my online sales nor would I provide him with updates several times a year. I'm sure if corp. tax went down this route, accountants bills would go up by 4 times!

RFW

ballisticbrian wrote: »

Sure thing, but my acc. wouldn't have every transaction form my online sales nor would I provide him with updates several times a year. I'm sure if corp. tax went down this route, accountants bills would go up by 4 times!

I certainly wouldn't argue with the last part. The whole thing looks like a gift to accountants.

RFW

If anyone's interested I've plumped for QuickBooks. Looks like I can do all I need including photographing invoices on my phone and uploading via the mobile app.

charlies_mum

Will have a look at QuickBooks. Will you be submitting your own info, or going through an accountant ?

RFW

charlies_mum wrote: »

Will have a look at QuickBooks. Will you be submitting your own info, or going through an accountant ?

I do it all myself. Mine's relatively straightforward, especially VAT.

longforgotten

Please do not think that QuickBooks online is as easy as it looks on the telly advert because it's not


..but each software has it's pros and cons

RFW

longforgotten wrote: »

Please do not think that QuickBooks online is as easy as it looks on the telly advert because it's not


..but each software has it's pros and cons

I've got a few months to get around it. My plan is to see if I can submit my VAT for the first quarter and then it should be easier for when I need to use it in April. So far it's not been too difficult. I'm using for profit and loss and VAT for the moment.
I can import my banking to it which seems handy.



I've never seen a TV advert for it, my wife tells me I'm immune to ads as I never notice them even when they're on and I'm apparently watching!

TripleH

RFW wrote: »

I certainly wouldn't argue with the last part. The whole thing looks like a gift to accountants.

I know a couple of Accountants and surprisingly they are not looking forward to the M T D introduction. In theory it sounds good but the application by HMRC is what worries them

johnhemming

charlies_mum wrote: »

Someone was talking about the new HMRC rules coming into force next year I think and they were saying that returns will have to be completed online quarterly detailing every transaction a business makes

Apparently spreadsheets are not acceptable and only software approved by HMRC will be accepted

Only the past part of this is true. HMRC are approving software (or more precisely testing it). I am a computer programmer who writes this sort of software hence I have had to go through that process and know it in detail.

There are a set of rules for reporting all transactions to tax authoriteis set up by the OECD. This is called SAF-T (Standard Audit File Taxation). However, you will be glad to know that this does not apply in the UK (It does in Italy and Poland for example).

Simiiarly you can continue to use spreadsheets as long as you make sure that your spreadsheets are all linked and you use bridging software.

soolin

johnhemming wrote: »

Only the past part of this is true. HMRC are approving software (or more precisely testing it). I am a computer programmer who writes this sort of software hence I have had to go through that process and know it in detail.

There are a set of rules for reporting all transactions to tax authoriteis set up by the OECD. This is called SAF-T (Standard Audit File Taxation). However, you will be glad to know that this does not apply in the UK (It does in Italy and Poland for example).

Simiiarly you can continue to use spreadsheets as long as you make sure that your spreadsheets are all linked and you use bridging software.

I'm not sure you are talking about the same thing. HMRC is changing the system (allegedly) in 2 stages, firstly for those businesses who are registered for VAT and then supposedly a year later for all business sellers and those changes suppose an electronic quarterly upload of data in a prescribed manner.

I do my own accounts but my OH has an accountant for his and that accountant says as yet the rules are confusing as nothing has been formally confirmed- however he told me that it is likely that I will have to use a programme 'allowed' by HMRC (no list is currently available) and can't just do my 3 line accounts once a year.

Like many people I am concerned that there is very little information about what we need to do - and yet the supposed implementation is getting closer. I don't want to sign up for an expensive 3rd party software programme too early in case HMRC change their mind, or set out their own cheaper system. I am quite happy doing my books by hand in ledgers (I was taught that way decades ago when I made
my living as an accountant) and then uploading the results to HMRC. This will be a huge change for me.