New digital tax requirements are leaving businesses confused

Many businesses are not aware of new tax requirements, a new survey suggests, despite a promotional initiative launched by HM Revenue and Customs (HMRC).

The survey of 1073 businesses found widespread ignorance of the “Making Tax Digital” (MTD) programme, with 24% of firms claiming never to have heard of it and 66% having only a superficial awareness of what was required.

Just 10% of survey respondents said that they know “a lot of details” about the switch to the digitised tax system. The new rules will require VAT registered firms to have MTD-compatible software in place that can create a VAT return and connect to HMRC systems via an Application Programming Interface (API).

It is a much more complex process for businesses than the current online system of manual completion of VAT returns. Businesses are reporting low levels of satisfaction and support from HMRC.

Privacy Policy



Powered by The Logic of Eight - Creative Media