Making Tax Digital – Self-employed and Landlords
Making Tax Digital is a fundamental change to the way businesses in general report their tax affairs to HM Revenue & Customs.
In this articles we will briefly concentrate on how MTD will affect sole traders from 6 April 2023. Self-employed businesses and landlords with annual business or property income above £10,000 will be required to file their accounting records digitally on a quarterly basis rather than filing a tax return.
The idea is to ensure that accounting records are kept throughout the accounting period and to make easier for taxpayers to get their tax right. Reporting regularly will help you to manage your business better and to know in advance the amount of tax you need to pay
In practice this will require every business to use approved accounting software to file records digitally with HMRC and familiarity on how to use the software will be a must.
We can help in this process and recommend clients and prospects prepare now. If you wish to know more please contact us on 020 885755781