As Government plans for digitising tax reporting take shape, a new survey reveals just how unprepared many of the UK’s small businesses are.
The poll has been conducted by the UK 200 Group – representing
independent chartered accountancy and law firms which together service around 150,000 SME clients.
Advertisement
The findings show that the preferred book-keeping methods of small firms in the UK are:
- 16% use a shoebox for paperwork and just give it to their accountants to sort out;
- 23% use manual records;
- 27% use spreadsheets on a computer;
- 35% use accounting software.
By 2018, small businesses and the self-employed will have to use software to comply with HMRC’s Making Tax Digital project. Only 35% of those polled already use appropriate software, such as Xero. Although they are not yet reporting tax quarterly – as they will have to do by 2018 – the transition should not be too difficult for these businesses.
Related posts:
ACCA Affirms Digital Sector As Hope For SMEs In Africa
SMEs commend govt. on extension of tax, interest waivers
AIB-N ready to start creating digital accident reports
French parliament approves tax on digital tech giants
Italy implements 3% digital services tax on tech giants amid possible U.S retaliation
FG imposes 6% tax on digital non-resident companies
FG set to tax cryptocurrency, games, other digital assets
Tax board brainstorms on ways to increase income tax
