You may have heard everyone banging on about Making Tax Digital (MTD) and that it’s now been delayed until April 2026 for Income Tax Self Assessment (ITSA) customers. When you heard this you may have let out a big sigh of relief! But why is that? Going digital is nothing to be scared about and here’s why!...
At Virtual Accounts and Taxes we have been prepared for MTD for quite some time. The main reason for this is because cloud accounting will take your business to a whole new level. It eradicates the need to hoard paperwork so you can clear out your glove box or wallet or that old shoe box you usually store all of your receipts in! With the use of cloud technology such as Dext you can simply upload your receipts as you spend, to the mobile phone app, straight to the cloud from your desktop or simply forward on an email containing your invoice straight to your dedicated Dext email address. It’s really simple and easy to do and means you will never lose a receipt and have to pay the taxman more than you need to!
Having access to your accounts in real time and being able to collaborate with your bookkeeper is important to allow you to make important business decisions and plan ahead for the future of your business. By using Xero and Hubdoc together we have access to all your financial data allowing us to reconcile your accounts more effectively without having to ask you lots of questions. We can extract the data within Xero to produce insightful reports and forecast the future success of your business.
You’re covering the steps that HMRC needs you to take in order to file your tax return but you’re also getting so much back from the investment you have made in your bookkeeper. You can now see your business in a whole new light. You’re not just logging your transactions, you’re planning ahead for the future, setting budgets, keeping an eye out on your spending, chasing debt when it becomes overdue, so you’re more likely to be paid on time, allowing you to keep your cash flow nice and healthy.
Xero can integrate with payment methods such as GoCardless and Stripe so that it makes it much easier for clients to pay you with the touch of a button, no excuse not to pay when it’s really that simple!
Once MTD comes into play you’ll already be compliant and the prospect of MTD for ITSA will no longer be daunting. You’ll already be a pro!
Overall cloud accounting will save you time and money and with a bookkeeper alongside you, you will get so much more out of your software. If you can’t quite afford the investment of a bookkeeper, did you know that we offer a subscription service where you can subscribe on a monthly basis so you have access to expert advice as and when you need it? What’s more, you can cancel the subscription at any time. We’re here to support your growing business in any way we can.
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