Following the many replies/rants re MTD IT I wrote to the Treasury with my concerns and received the following information in a reply from HMRC.
I am not inviting more rants but this is HMRC view in brief.
1) Our aim is that MTD IT makes life easier for tax agents.
2)We expect most businesses (themselves) will be able to operate MTD for income tax.
3) There are exemptions for those who cannot comply eg remoteness of location, access to broadband, personal circumstances - deatils of these wil be published before 2023.
4) There is no expectation that agents will operate MTD on behalf of clients if the clients are exempt.
5) For most businesses MDT for income tax will simply mean they need to keep digital records and submit 4 light touch quarterly updates.
6) Spreadsheets are OK with bridging software.
7) We believe that a month from the end of the quarter is long enough for submission of quarterly update.
So HMRC think that clients can do it themselves within the time limit. I think most accountants think differently but lets not go there.
Obviously there is money to be made here because I dont think clients can deal with this and they dont want to.
They dont want to photo receipts or use software yet!
I am not sure I want to get involved (more) with clients bookkeeping and although extra money is nice I have enough on!
I think my role is to warn my clients that they need to do this themselves and to put everything through one bank and either upload themselves or sent their figures to me to upload for a fee.
I have no doubt my clients will want help and I will help if I have time but I dont think there is enough time.
Is anyone thinking they should just prepare clients for this but let the client do it themselves?