It’s not too late to get ahead! And here’s how…
Our Capium team was pleased to take part in this year’s AccountingWeb Live Expo, which was nestled away from the cold weather inside the Coventry Building Society Arena. There were many notable and expert accountants at the event, willing to share their experiences and give advice to help other accountants through the next steps of their MTD journey.
When MTD for VAT was first introduced in 2019, the concept seemed frightening to many, but eventually, it didn’t turn out to be an MTDifficult change as many thought. Now that accountants have made it through MTD for VAT, the next phases shouldn’t be as scary.
Experienced accountants shared the most important things they learned during their MTD journeys to guide others through the next phase and give advice on how to prepare for MTD for ITSA, if you hadn’t already started.
Our primary advice: Research, Research, Research!
Do your research to find advice that can help you prepare your practice today for the deadlines ahead: Accounting web provides news, updates and practice advice articles written by experts on a daily basis. You can also subscribe to the HMRC website which frequently provides updates and upcoming changes.
One of the many panel discussions that were held at the expo was the TaxTalk Live: MTD ITSA Special, a Q&A session where accountants could ask the expert panellists for their thoughts and advice on preparing for MTD ITSA. In case you missed it, we will highlight the top 3 tips that were shared by the pros:
- Find the software that works for your practice
It’s up to you, the accountant, to find the right solution for you and your clients. Your staff and your clients need access to a cloud based software where they can share digital records easily. There are many types of software out there, and it’s up to you, the accountant, to find the one that suits your practice and your clients needs. Rebecca Benneyworth advised to keep in mind that in the near future, accountants won’t be calculating TAX, but HMRC will. This is an alarming concept for accountants (unless you trust HMRC’s calculations fully). So to be on the safe side, make sure to ask your provider if their software is able to calculate your TAX as well, so you can spot it when HMRC’s calculations are wrong!
Ask us if our software can calculate your TAX for you.
- Work closely with your clients
Not only should you aim to get your practice ready for MTD ITSA, but your clients should be prepared too! Many accountants are not used to talking to their clients properly, but it is important now more than ever to start talking to your clients and get used to regular reporting, advised Zoe Whitman, the 6 figure Bookkeeper. You have to inform your clients about MTD and the importance of digital record keeping, so they can help you make your job easier. So start preparing your clients to join you on the MTD journey, and you will march on through it confidently, hand in hand.
- Make digital record keeping a mantra for your clients, and your practice
The overall aim of MTD is to get into the habit of keeping records digitally, and this shouldn’t be so hard as we live in a world where almost everything we do now is online. Once you have found the right software for you, the next step is to reorganise your practice by training your staff and your clients to make digital record keeping a habit in their daily lives. As Rebecca Benneyworth mentioned during the discussion, ‘the hard work is the digital record keeping; the rest is easy’. As long as all records are digital, the rest of your tasks should be a breeze. Caroline Miskin, ICAEW, also agreed by advising accountants to tackle January ahead of time by improving your clients’ record keeping.
These are only a few important tips of the massive valuable amount that was shared by the expert panellists. We hope they will help you, your clients and practice getting MTD ready.
Want to see if Capium’s Integrated Cloud Accounting Software is the right fit for your clients and your practice? Sign up to a free trial today and explore our modules, or call us on 02033225578 to learn more.