Why do I need to use accounting software?
Making Tax Digital (MTD) is a key part of the government’s plans to make it easier for individuals and businesses to get their tax right and keep on top of their affairs – meaning the end of the annual tax return for millions.
What this means in reality for you is that in order for this soon to be compulsory change is that you will need to keep digital records of all your business transactions such as purchase receipts and sales invoices in order to comply with the legislation as well as the practicality of quarterly filing and submissions of tax return information.
By using accounting software, we can take the stress out of this for you and keep your records up to date in real time allowing you to know your current financial situation at any point. It allows you to know your personal liabilities well in advance so that there are no unpleasant tax surprises. We are able to better help you in advising you on situations as well as being able to speedily complete accounts, tax returns, VAT returns and mortgage applications.
We currently recommend and support FreeAgent and Xero accounting software. Each one is tailored to your individual needs. Smaller less complex businesses will find that FreeAgent is more beneficial. Larger businesses which require more detailed analysis will find that Xero can crunch the numbers with a superior reporting faciality.