Third Party Survey - what do HMRC’s digital tax changes mean for you?
Published On: 19 October 2016
On the back of the proposed change to make a large swathe of businesses submit tax returns quarterly rather than annually as at present, one of our clients conducted a survey to investigate this further. M&S also circulated this survey via our mailing list and, while not statistically significant, the results were interesting, revealing that a lot of people didn’t know much about what was happening.
The headline results of this survey are:
- 72% were not aware of the HMRC ‘Myth Buster’ document.
- Having read the Myth Buster document, 74% said they did not believe what HMRC was saying in it!
- 38% learned about the HMRC proposal from their accountants, 35% from friends/business acquaintances, and 42% from the media but…
- 90% did NOT know that after the announcement there was then an HMRC consultation on this subject!
- 87% of respondents were unhappy about the likelihood of having to pay up to four times each year to use an accountant to ensure your submissions to HMRC are correct.
- A slight majority (54%) do NOT currently use accounting software. This suggests a lot of people will have to learn how to do so, with all the potential this has for error.
- 15% said they would stop using an accountant if they had to pay up to four times a year for tax submissions and 41% said they would consider stopping. 44% said they would carry on using an accountant in these circumstances.
- In response to the suggestion from HMRC that these changes would “contribute to our target to reduce business burdens by £400m”, 82% believe that this is not likely and in fact the costs to business will be far in excess of this amount.
If you would like to see the full survey results, please go to this link http://www.thepotentmix.co.uk/sites/default/files/research-documents/What do HMRC’s digital tax changes mean for you_0.pdf.
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