Save content
Have you found this content useful? Use the button above to save it to your profile.

Office for Tax Simplification update

9th Mar 2022
Save content
Have you found this content useful? Use the button above to save it to your profile.

The OTS has issued a further report on its various activities. A number of issues are being considered, including simplification of the Tour Operators Margin Scheme and Option to Tax.

The document gives most space to the question of the VAT registration threshold. The Government has repeatedly kicked this down the road, fearing political fallout.

Para 1.31 refers to a ‘smoothing mechanism’ to remove the cliff edge effect. It has to be said that a lower threshold would necessarily reduce that cliff edge effect.

Small businesses usually have simple bookkeeping requirements, with few income sources. There is software available so the administrative burden is not great. Traders have to do SATR anyway, so need the same information.

Overall, change in matters of taxation is slow.

The full report is here:

OTS evaluation update on its Value added tax report (publishing.service.gov.uk)

Replies (0)

Please login or register to join the discussion.

There are currently no replies, be the first to post a reply.