The upside nobody mentions
We’ve teamed up with Mazuma, our accountancy partner, to make Making Tax Digital easier to understand. This article is general information only, so please speak to a qualified accountant if you need advice about your own tax position.
Nobody enjoys change, and most of the coverage of Making Tax Digital treats it as a burden to be endured. There is a genuine silver lining hiding inhere, though, and it is worth pointing out.
What you actually gain
- No more January shock. Doing your numbers each quarter gives you a running view of your likely tax bill, so the nasty surprise in January becomes a thing of the past.
- Faster refunds. If you are due a rebate, staying close to your numbers through the year means you can claim it sooner.
- A lighter January. By the time you reach the Final Declaration, most of the work is already done, so the year-end becomes a quick wrap-up rather than a marathon.
- You understand your own business better. Looking at your income and costs every quarter is one of the most useful habits any business owner can build.
Put simply, being nudged to engage with your numbers four times a year is no bad thing. The visibility alone tends to make people better at running their business, and the surprises at the end of the year all but disappear.
If engaging with the numbers is exactly the bit you would rather avoid, that is fine too. An accountant gives you that visibility without you having to build the spreadsheets yourself. Mazuma sends clients clear, regular figures so they always know roughly where they stand.
Public and Employers’ Liability Insurance Explained
Key differences between the two:
Covers injury or damage to the public.
Covers injury or illness to employees.
Not legally required.
Legally required with staff.
Common for customer-facing businesses.
Required for any business with staff.