As digital technology continues to evolve there are revolutionary changes in the business world. Advanced software allows huge volumes of work to be done in short durations of time and paperwork has become a thing of the past.
Government’s around the world have embraced these advancements, using new initiatives to design and transform the tax systems in their countries by digitalising them. As a result, individuals and businesses are now able to file their VAT (Value Added Tax) returns easily and maintain their records using compatible digital tax software.
Businesses that are VAT registered are expected to use the digital tax platform, reducing the occurrence of errors and ensuring that an accurate amount of tax is paid in due time.
Some businesses may be apprehensive about the change in systems but it is essential to keep in mind the advantages that will come with the initiative. Some of the benefits of Making Tax Digital for businesses include:
- Say goodbye to paperwork
Have you ever tried looking for a specific document in a huge pile of files? Searching for physical copies of documents can be a time-consuming process. Making Tax Digital compliant software allows the automation of financial records in your business and also allows you to make updates easily. With all of your data in one place, it becomes easier to get any information that you want – giving a higher level of transparency for both the government and your business.
- Reduce errors
Avoidable tax mistakes can cost your company a fortune. With paperwork, there can be a huge number of errors but when using digital tax software businesses are able to avoid mistakes easily by keeping accurate and clear records of data. Additionally, digital tax software will keep you updated on any deadlines for filing your returns, preventing you from incurring any penalties.
- Easy accessibility
The Making Tax Digital initiative has enabled businesses to easily access its platform and search for any information required. Businesses are now able to keep track of repayments, liabilities and any tax due with a system that is easy to navigate and understand. Minimise risk by continuously accessing the platform, keeping up-to-date with notifications and avoiding any penalties. Using a compatible Making Tax Digital software, business owners can enjoy a seamless and simple experience with their financial solutions.
- Being in the cloud can result in growth
MTD for VAT‘s main focus is on business compliance but it can also help enable growth. Submitting tax digitally using cloud business tools can increase the revenues of the business – helping them achieve their goals. Additionally, businesses gain control and visibility over their information, becoming more consolidated with the industries in which they are in.
- Save time and resources
Time is money! The automation of tax compliance services enables businesses to save a huge amount of time and resources. Log in from anywhere, using any device – increasing productivity for your business.