Making Tax Digital For Sole Traders

Making Tax Digital For Sole Traders

Making Tax Digital (MTD) is changing the way that small businesses engage with HMRC and manage their tax liabilities. From April 2024 self employed businesses will be required to file detailed quarterly returns with HMRC. To do that effectively as a sole trader you will need to keep digital accounting records. At David Howard we have s number of software solutions available to help you no matter how big or small your business, and the level of your budget.

Although MTD represents a big change, there will be many benefits including understanding tax liabilities much earlier and streamlining the tax return process. Most of the options will work best bey separating business and personal bank accounts and with online software, the business bank account will link directly to the accounting software and much of the accounting work can be automated. Software works equally well on a mobile app or desktop so you are able to raise invoices or log expenses on the go. You can also easily access your information from anywhere , eliminate paperwork, and share data with us as your accountant. You end of year accounts an d tax returns will be a much easier process too, and you will know your tax bills quickly to help you plan your cash flow.

Our main recommended software solutions are as below;

The cost of these software options ranges as does the detailed functionality, so it is important to chose the option that best suits your business.

Please contact us today to let us help you prepare and get you ready for MTD nice and early and give you piece of mind and the best possible solution.