Looks dangerously like an outbreak of common sense from the TSC:
"... Committee supports the idea of the digitisation of the reporting of tax. However it considers that mandating the digitising of record keeping and quarterly reporting, as currently envisaged, has not yet had its overall benefits proven. Just over a year is too short a lead time for such a fundamental change in any event. There should be a comprehensive set of pilots of the end-to-end system before it is made mandatory for all businesses. The Committee is very concerned about the costs to businesses of introducing MTD, as well as the continuing costs of maintaining digital records and submitting quarterly updates. There is not yet enough information about the free software that will be available, but even if it remains free in perpetuity, businesses will face costs in terms of time and accountants’ fees. In aggregate, these costs may well exceed the benefits to the exchequer in terms of tax gap reduction as a result of fewer taxpayer errors and the overall impact of MTD could even be negative. This requires further investigation.
As it prepares its response to the consultations about its proposals to make MTD mandatory with very few exemptions, the Government needs very carefully to consider the legitimate concerns about the costs and benefits to business, and set them against any benefits to the Exchequer from the proposed approach."