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Call for delay to digital tax changes It comes as a pilot for HMRC's Making Tax Digital (MTD) which would force small companies to submit their taxes digitally is poised to get under way this month, despite concerns from the Treasury Select Committee which described an April 2018 start date as "unrealistic" and burberry online outlet store last month called for an independent report into the cost for firms.

Salena Dawson, Federation of Small Businesses chairman for East Anglia, said small and medium enterprises (SMEs) needed clarity. She said: "Such a governmental decision does little for SME confidence in a time when confidence is key to not only allow regional business to remain standing but also for us to have confidence in moving forward towards growth." From April 2018 businesses, landlords and sole traders who reach the VAT paying threshold, a turnover of more than 83,000, will have to submit their taxes digitally, in theory spelling an end to the annual tax return headache and proverbial jar of receipts. Registered firms under the VAT burberry bags online shopping threshold will go digital in burberry outlet livermore 2019, after a one year delay was announced in the Budget, with corporation tax payers joining in 2020. Opinion among tax professionals has been split. Steve Dack, senior manager at Norwich based M+A Partners, said quarterly reporting and submitting receipts in a digital format could come as a shock to some. "HMRC says that this will do away with the tax return but some people will feel they now have to do five returns," he said. HMRC has said MTD will help people understand their tax bill before the end of the year, and avoid nasty surprises, as well as prevent businesses having to fill in the same information. Salena Dawson. Picture Submitted Accountant Will Farnell, founder of Farnell Clarke, said his firm was already using digital applications. He said: "The process is trying to reduce the amount of errors that are made. "It is a logical step. Everything else we do is online now so why should tax be any different?" The system which will be used is also a concern though it is expected some free software will be provided. While some firms hurry to prepare for April 2018, not all have heard of the overhaul. Tony Carrington, director of real burberry outlet Long Stratton mortgage broker Excel Mortgage Services, said he had only recently discovered the changes were coming in and could affect his business from 2018. He said: "I wasn't really aware of it. "Now we are going to have to get some accounting software package which will come with a cost and I am going to have to take up some of my time making those receipts and invoices available four times a year. "I've seen figures for cost quoted around 2,500 it is certainly going to cost more than it currently does. "Ultimately the aim is potentially sensible, if you do get more of a look at your taxes through the year. "But, frankly, you know what kind of year it is you are having." Excel Mortgage Services, which is currently in its fifth year, is set to take on two new staff members to grow the team to five in the coming weeks. Please log in to leave a comment and share your views with other Norwich Evening News visitors.

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