HMRC digital accounts and quarterly reporting – update – May 2016
Following on from my article in February in relation to the above. If you would like a copy of my earlier article, please let me know.
The current timetable with regards to making tax digital and quarterly reporting is as follows:
From 5-4-18 – unincorporated businesses less than the VAT threshold; regardless of whether they have voluntarily registered or not;
- From 5-4-19 – unincorporated businesses VAT above VAT threshold;
- For accounting periods starting after 1-4-20 – Companies.
The VAT threshold is currently £83,000.
Quarterly reporting is intended to link into the business’s accounting software. A lot of small businesses (or landlords) do not use accounting software– eg they use excel spreadsheets or manual records and so would incur extra costs to do so. However HMRC are intending to introduce their own software to facilitate this – hopefully later this year – so we will need to wait and see!
HMRC are also rolling out from 2016 the ability for individuals and eventually companies, to view their personal accounts on line – this has not been set up initially for agents to view, but is likely that this will be changed – hopefully soon. The personal account holds details on what is held with HMRC – PAYE codes, state pension forecasts and national insurance record, your benefits and tax credits, link to your business account, if applicable. A lot of this information I can access as your agent anyway.
If you would like assistance in how to get assess to this information, please let me know. Hopefully I will be able to see it on your behalf soon anyway!
Friston Wicks; Chartered Accountant and Chartered Tax Adviser