The government appear to be persevering with their attempt to further computerise tax collection and administration. Despite initially postponing it’s implementation, April 2019 has now been targeted for the next attempt; at first for VAT registered businesses.
This approach has a number of issues, not least the ability of some tax payers to comply with the required changes. Software houses are frenetically trying to adopt their packages and hoping they are able to comply with needs that have not as yet been fully explained.
Apologies for continued scepticism, but what is the point of reporting data that means very little on a quarterly basis? An arable farmer for instance will produce loss:loss:loss and a profit (hopefully) when the harvest takes place. If the object is to speed up the receipt of cash why not merely allow for quarterly Self assessment payments? In days gone by Advanced Corporation Tax was accounted for quarterly so this is nothing new.
As a firm we will be addressing the issue and advising the clients accordingly. Initially the major changes will be based around the bookkeeping requirements.