Making Tax Digital for smaller clients

16th Nov 2020
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Making Tax Digital regulations can seem daunting for smaller clients, especially those who have voluntarily registered for VAT. But, there are some things you can do to help make the transition easier for them.

Benefits for smaller clients

Although clients might be hesitant to switch to a compatible accounting software, there can be some great benefits for their business too. 

A digital solution will give them a clear overview of their finances. They can also benefit from invoicing and expenses software all in one place. Features like receipt capture apps and automatic bank feeds are a bonus to help make it easier for clients to work with you. There are also free solutions available like Bokio, so your clients can actually save money by complying.

Let your clients know about the soft landing deadline

The soft landing has been extended to end next year. So, all businesses required to follow MTD will have to digitally submit for their first VAT Return period starting on or after 1 April 2021. 

This is a welcome extension for small businesses, given the current climate surrounding COVID-19. But, your clients need to be aware that this deadline is coming and the current accounting solution they have may need to change.

Choosing the right MTD software

There are some key features you should look out when choosing the right Making Tax Digital compliant software to help save you time, and find the right solution for your client.

Generate an automated VAT Return

Choosing a software that lets you submit an automated VAT Return helps you save time. With Bokio, a free Making Tax Digital software, this is generated automatically from your client’s accounting.

With an automated VAT Return there is no need for bridging software. Instead, just do your client’s accounting in Bokio. Then, connect their account to HMRC, generate the VAT Return, check it and then submit it to HMRC with just a few clicks.

Integrated bookkeeping, invoicing and expenses

To get the full benefits of using an MTD accounting software, choose one with integrated features. When you don’t need to switch between software for different tasks, you and your clients have a streamlined solution.

Bokio has integrated bookkeeping, invoicing and expenses management. So, you’ll have everything you need to get your client’s accounting done and generate a VAT Return.

Collaborate with your client 

To make sure you have all the information you need to do your clients accounts, choose a software that allows you to collaborate easily. Your clients can upload their materials, do their invoicing and manage their expenses. With Bokio, you can set permissions so you choose which features clients have access to.

Use free software

Smaller clients often don’t need to use the full range of features in paid accounting software. Instead, Bokio could be a great solution. We have everything you need to help manage smaller clients’ finances without the extra cost.