In July 2017, HMRC announced that all businesses and individuals will need to file their accounting information digitally.
By April 2019, businesses above the VAT Threshold will need to keep Digital records and from 2020 this should apply to all other businesses who will be updating HMRC quarterly for their corporation tax, Income Tax and National Insurance obligations digitally. It is a significant change for many of us and means the end of the annual tax return being replaced with a digital tax account where all your information will be stored in one place.
Online Accounting Package
This change in the way HMRC wants information from taxpayers means that you may need to move from your existing desktop or manual record keeping and onto an online accounting package.
The good news is we are certified in the installation and operation of Online Accounting software which is digitally compliant and specifically designed for small and medium-sized business.
Digital accounting software has significant advantages over the traditional ways of bookkeeping;
- Have a clear picture of your current financial position on your mobile device
- Your bookkeeping will be 100% online so no need to install software or back-up your data
- Updates are free and instantly available
- Avoid upfront accounting software costs – upgrades, maintenance, system administration costs and server failures are no longer an issue
- Link your bank to your software so that it pulls in your transactions for more efficient bank reconciliations
- Upload purchase invoices to your bookkeeping software from your mobile phone
- See your results, who owes you money, who you owe to and your business bank balance 24/7, 365 from your phone
Benefits of Digital Accounting
- Create and send invoices on the go
- Track sales, purchases, debtors and creditors
- Connect to your online banking
- View a snapshot of your business
- Estimate tax payments
- Easy tax filing that matches HMRC requirements
- Manage customers and suppliers
- Create estimates, purchase orders and manage your stock