As a business owner, you may already be aware of ‘Making Tax Digital’, but are you aware it has now been extended to 2024?
Unfortunately, as a result of this extension, people are simply putting it off for longer when now is the best time to be putting everything in place ready for when the deadline hits.
Why not start your preparations?
What does Making Tax Digital mean?
Making Tax Digital is part of a government initiative to implement a modernised tax service in the UK, digitising the tax system for VAT, Income Tax Self Assessment and Corporation Tax.
Its purpose? To make tax returns more efficient for everyone, meaning it’s easier for taxpayers to get their tax right!
As of April 2022, if you are VAT registered this is something you already have to be compliant with, so why not make the full transition now
If you’ve been using physical documents or spreadsheets such as Microsoft Excel when doing your accounting, you’ll need to start keeping digital records by using HMRC-recognised software instead in order to comply with legal requirements.
Sooner rather than later
You may be asking yourself why you should even bother taking action yet. After all, you’ve still got time before the deadline, right?
Whilst you may still have a year or so before the deadline arrives, we’d highly recommend getting the ball rolling now to make sure you have plenty of time to get things in order.
- Ensure you’re fully compliant. You don’t want to miss anything!
- Check you are able to find the right software for you and your business which complies with the MTD requirements.
- Get used to keeping digital records. After all, unless you were doing it before this legislation came in, it’s new for everyone!
How can we help?
We know how easy it is to feel disconnected preparing for something that isn’t happening in the immediate future, but we’d strongly suggest you start your preparations for making sure your business is complying with the new legislation by the time it comes into place.
If you need any help, or simply have a few questions, please reach out to a member of our team.
