Smales Goldie Accountants.
In recent years I have seen more and more businesses using online or ‘cloud’ accounting packages to
manage their accounts and to carry out functions such as issuing invoices and even recording receipts using smartphones or tablets.
Until now, the main reasons for using a cloud accounting package have included cutting down on paperwork, saving time and being able to see a business’s real-time financial position from anywhere in the world.
Whilst I think these are all compelling reasons to take to the cloud, changes coming into effect next year will make cloud accounting all but essential for VAT-registered businesses with a turnover of £85,000 or more. Making Tax Digital for VAT will require the majority of such businesses to keep digital records and submit VAT returns using ‘designated software packages’ from April 2019.
In practice, this is most easily achieved using a cloud accounting package such as Xero, QuickBooks or Sage Business Cloud Accounting.
As part of our Cloud Accounting Team I have been helping clients to make the changes they need ahead of next year, so if you are not already using a cloud accounting package, I would advise seeking professional advice to ensure you are ready well before the deadline.
“Don’t get caught out – make sure you take action on Making Tax Digital for VAT now!”
This article was written by Luke Taylor. For more information please call 01482 326916