I am a Chartered Accountant, in private practice as a sole practitioner since 1985
This is so depressing on so many levels. I am wondering what the unrepresented trader will make of the project when HMRC finally deign to reveal this to the public. I think they have been completely dishonest about the cost of compliant software, the estimates are woefully under what the probable cost will be. I have no idea how larger traders can make their bespoke software comply. And there is no way any of this will make reporting of VAT less error prone, actually it is going to be worse. I feel helpless, and dread the extra workload and deadlines
I couldn't agree more with you. That describes most of my VAT registered clients. Actually, with some of them, I post the paperwork to VT+, which I had fondly imagined would take care of things, but you know how that is panning out.
I am still totally baffled as to what any company with bespoke systems is going to do; I only have one client in that boat. He is naturally completely in the dark about this, and I don't have the strength of mind to raise it yet. After all, it might not happen (with fingers tightly crossed)
I'd like to know how Sagars are preparing one of their larger clients, one who is using bespoke accounting software, to get to grips with this MTDfV. Hardly anyone seems to be talking about this
I think Rebecca is in cloud cuckoo land. I never hear a word of criticism of the project. HMRC put a temporary stop to MTD, not because it listened to its critics, but because the General election was called and that threw a spanner in the works. What about a mention of the cost of cloud software that traders don't need. What about the idea that the current VAT portal, with possibly just two boxes to complete (under flat rate) is perfectly effective, and the proposed system provides no more benefit. And even worse, she, and many others, only see this from the accountants point of view. What about the millions of traders who don't have accountants to help them. How will they get to grips with this MTD thing? That seems sh0cking thing to me, the idea that an app on your mobile phone will enable you to cope. I could go on, but frankly, it's just too depressing
What is also extremely depressing is the fact that this all moves ahead in the face of a barrage of criticism from the professional bodies. I read the CIOT responses, and those of the ICAEW. Both made very good points, but what's the point of inviting a response if they are going to be ignored?
I started a thread a week or so ago, when I first heard about VT giving up the idea of adapting VTT+ to MTD. I wanted to know if any other software could compare for the ease of data entry. Specifically, it's the importing via a csv file, the ability to move entries from one account to another, to match off entries, to change periods, to export as an excel file, what other software can currently do these things. I've used Xero and QB, and it all seems so laborious by comparison. Still wondering!
I'm thinking of hairdressers, where the cost of products used is going to be more than 2%. There must be plenty of this kind of service business which
are not affected.
It's too much to hope that the tax year end could be changed to 31 March. Oh no, much too simple. At the moment, there seems to be complete confusion over who starts to file under MTD from when. I think HMRC are assuming most have a 5 April year end, although I would say most account to 31 March. This appears to provide a further year before one has to get involved. On or after 6 April 2018, now postponed to 6 April 2019, means the first period will begin on 1 April 2020
Much too simple; HMRC will never go for it!
It would be great if business organisations got involved. But if you look at the Federation of Small Businesses website, there isn't much on MTD, and what there is appears to be pretty much in favour, and very little by way of critique of the proposals, and nothing recent. There are also plenty of accountants websites appearing to praise the coming revolution, or just re-presenting HMRC's view. It's only on AW that I have seen what I regard as cogent criticism