Digital tax payments put on hold for businesses 17 July 2017
Ministers have confirmed a new timetable for Making Tax Digital as they set out the next steps for the Finance Bill.
The government has listened to concerns raised by parliamentarians, in particular the Treasury Select Committee, businesses and professional bodies about the pace of change and is taking steps to ensure a smooth transition to a digital tax system.
Roll out for Making Tax Digital has been amended to ensure businesses have plenty of time to adapt to the changes.
Under the new timetable:
only businesses with a turnover above the VAT threshold (currently £85,000) will have to keep digital records and only for VAT purposes and they will only need to do so from 2019 businesses will not be asked to keep digital records, or to update HMRC quarterly, for other taxes until at least 2020. Making Tax Digital will be available on a voluntary basis for the smallest businesses, and for other taxes. This means that businesses and landlords with a turnover below the VAT threshold will be able to choose when to move to the new digital system.
As VAT already requires quarterly returns, no business will need to provide information to HMRC more regularly during this initial phase than they do now.
All businesses and landlords will have at least two years to adapt to the changes before being asked to keep digital records for other taxes.
HMRC are fully committed to supporting businesses in this transition. HMRC has already begun piloting the Making Tax Digital services and will continue to do so, testing the system extensively with businesses. It will start to pilot MTDfB for VAT by the end of this year, starting with small-scale, private testing, followed by a wider, live pilot starting in Spring 2018. This will allow for well over a year of testing before any businesses are mandated to use the system.
The MTD policy paper has been updated to reflect current policy position and timescales.
Back to Contents
HMRC Talking Points on Making Tax Digital for business 5 September 2017
On 14 and 15 September HMRC are running Talking Points online meetings which provide an overview of the basics of Making Tax Digital for business (MTDfb). The sessions include the latest information about the new phased approach - giving businesses and agents plenty of time to adapt to the changes.
This is a very popular subject so HMRC is running meetings over two days.
Thursday 14 September - 1pm to 2pm
Register now Register now
Thursday 14 September - 2.30pm to 3.30pm
Friday 15 September - 10.30am to 11.30am
Register now Register now
Friday 15 September - midday to 1pm
If you have any questions for the subject experts, please send them to team.agentengagement@hmrc.gsi.gov.uk prior to the meeting, including the title of the meeting in the ‘Subject’ line of your email.
These interactive meetings will be run on the ‘CITRIX’ platform. The organiser will run through how to ask questions on the day.
If you have missed any of HMRC’s earlier Talking Points meetings, you can watch the recordings here .
Back to Contents
The Chartered Institute of Payroll Professionals
Policy News Journal
cipp.org.uk
Page 275 of 516
Made with FlippingBook - Online magazine maker