Naylor Wintersgill recently told of news that, as part of HMRC’s Making Tax Digital flagship project, by 2018 HMRC would require many businesses and landlords to update HMRC quarterly of income and expenditure and would need to use online accounting software to keep business records.
MPs in the Treasury Committee are today requesting for a one to two year delay to the introduction of these quarterly reporting requirements, which are currently planned to start from April 2018. In a 50 page report, the committee have called for delays to the introduction of the entire Making Tax Digital project ‘until at least 2019/20, possibly later’. The Committee have called for more practical and wide ranging pilot schemes and have also voiced their concerns over the lack of a ‘fully functioning market’ in appropriate software.
Naylor Wintersgill Tax Partner, Chris Gumbley comments, “I fully support the calls by the Treasury Committee to delay the implementation of Making Tax Digital – it is far too important to rush the introduction without ensuring that HMRC’s systems are completely robust, and the required software is fully available.”
Here at Naylor Wintersgill, we are continuing to consider the implications for our clients and Chris adds, “Hopefully this might be welcome news as taxpayers try to meet the 31st January Tax Return filing deadline but rest assured, we will provide on-going details as to how the changes may affect you as more news is revealed over the next few months.”
If you do have any queries or would like to discuss your personal circumstances with our tax team, please do not hesitate to contact us.