How and when will it affect you?
AEL Markhams has been submitting personal tax information securely online to HM Revenue and Customs (HMRC) for some years now,
and every individual & business in the UK has a digital tax account. If you have chosen us to look after your personal and, or business’s tax affairs, then managing this account is another part of the tax service we can provide for you.
How HMRC receive information currently
Information about your personal and your business’s tax affairs arrive with HMRC in various ways. An example would be information on an employed person’s weekly or monthly wage or a pensioner’s pension payments which comes directly to HMRC from the employer’s Individual taxpayers Self-Assessment Tax Returns How HMRC receive information currently payroll submissions. Or in the case of the state
pension, from the Department for Works and Pensions (DWP).
Self-Assessment Tax Returns
Businesses and many individuals complete an annual Tax Return called a Self-Assessment which is needed to substantiate the information from the third parties and the information submitted by the individual, or from us, your accountant. Some examples would be Year-End Accounts, Rental Income & Expenses, Income from Investments and sale of assets.
Note, the most significant change is that paper records will no longer be acceptable under tax law. Digital documents and digital filing of quarterly reports, together with a Year-End Statement, will become mandatory for many taxpayers.