What bookkeeping do I need to do and do I need software?

Following the introduction of Making Tax Digital (MTD), VAT-registered businesses with a taxable turnover above the VAT threshold (currently £85,000) are required to keep digital records and use software to submit their VAT returns.

If you are voluntarily VAT registered with turnover below the VAT threshold then the MTD rules come into effect on 1st April 2022 for you too. This applies to both the self-employed and landlords.

Even if you are not VAT registered at all you should start to think about using MTD compatible software to record your business transactions as HMRC is planning to extend the scope of MTD to cover all businesses and landlords with a turnover over £10,000 in the coming years.

Also, preparing accounts from software that has been well maintained is much more straightforward than from manual records so it can help to keep your accountancy costs down too!

There are lots of software providers to choose from such as Sage, Xero, QuickBooks and FreeAgent but before you sign up for any new cloud-based bookkeeping software, contact us to discuss the discounts we can offer.

Remember we offer Sage Business Cloud Accounting FREE for 12 months too!

We can also provide one to one training on your choice of software if required, which is highly recommended.

If you would prefer to spend your valuable time building your business rather than writing up your books, we do offer a complete bookkeeping service too.

Please contact us to discuss your requirements and to find out about our FREE software offer.