Time to invest in MTD future
Making Tax Digital is only a few months away now, but this is only the start of the overhaul of the tax system, says ICAEW IT Faculty technical manager Mark Taylor.
Shortly after MTD for VAT we will see the next phases arrive, namely MTD for income tax and corporation tax after that.
While MTD may signal the start of new ways of working there is a need to consider what the future may hold as well. Choosing an information technology system that could potentially be used for years to come requires careful consideration.
Already we are seeing a wide range of products and services that cater for MTD. Some are targeted towards larger organisations and others towards sole traders and the like.
Each application may well contain a wealth of features. While many of these features may not be needed today they may well become useful in the future.
Many organisations that make limited use of technology today, for example simple spreadsheets, will need to consider their business needs in the future. The IT applications or services you make use of today may not be suitable in just a few short years.
Thankfully help is at hand: Business Application Software Developers Association (BASDA) has created a series of easy to understand guides on how to approach selecting business software. In November 2018 BASDA launched two guides to support companies selecting accounting software and payroll software.
The guides are particularly aimed at micro businesses and provide guidance to these smaller firms that are seeking to procure new business software solutions.
The guides can be downloaded from www.basda.org/bsg.
BASDA is currently finalising a further guide on ‘10 Things to Consider when purchasing Making Tax Digital (MTD) software for VAT’ which will be launched shortly.
Mark Taylor is ICAEW IT Faculty technical manager. This article first appeared on the ICAEW IT Faculty blog.
Liked this? Read these: