If you haven’t already considered moving to cloud bookkeeping, now is a good time to consider making the move. From April 2019, the UK Government is starting to move British businesses onto its Making Tax Digital (MTD) programme.
The MTD regime will apply for different businesses, at different times, as it will be implemented on a staggered timetable. But whatever size of business you have, it is high time you prepared to adapt your processes and procedures, to ensure they are compliant.
Here are some of the ways that MTD will require companies large and small to change their ways. Regular VAT returns will need to be submitted digitally, with the option of entering figures into the HMRC website being taken away. And corporates will need to maintain digital records of their accounts. This will mean at the very least spreadsheets such as Excel need to be kept, while an online accounting package such as Xero will deliver the preferred solution.
Is this change a scary thought? It doesn’t have to be. In fact, this requirement to change your processes should be embraced, and seen as the opportunity it is, to update systems and provide a whole new level of information about the finances of your business. With real-time information on your business, you will be in a far better position to keep a day-to-day watch on the key metrics of your company’s performance with cloud bookkeeping.
One of the best systems for taking your bookkeeping and accounts into the new age, is a system by the name of Xero. Timewise VA works closely with Xero, using it for many clients and is in a great position to help new clients migrate their systems easily and efficiently. Xero is constantly being developed and is evolving to meet the changing requirements of tax authorities, and accounting rules. And, being a cloud-based system, there is no need to spend on expensive software that then needs to be installed. Instead, Xero works via a browser, making it easy to access from anywhere that has an internet connection.
Xero not only makes cloud bookkeeping simpler and more efficient, it also interfaces with the requirements of accountants, improving their efficiency in providing regular financial reports as well as statutory documents such as annual accounts submissions. And it has a number of additional features, for example using the latest scanning and smartphone technology to speed up the filing and allocating of expenses.
So, if you are looking for an easy way to turn your bookkeeping over to the world of digital, consider asking a partner such as Timewise VA to help hold your hand, and make the process much easier than you would ever have thought. The modest investment you make will pay dividends many times over, as you gain a much more timely insight into your organisation’s finances. What are you waiting for?