Summer, 2019

Contractors, Consultants&Freelancers UK

INSIDE THIS ISSUEJoining the Dots on Time ... 1Recent IR35 Cases Act as Warning ... 3Featured Add-On 6Try and Sleep on it ... 7Propiteer 9Guest Article: Foundation Stones ... 11Cybersecurity 13Q&A with Matthew Lawrie 14FreeAgent Focus 15FreeAgent Guest Article 16

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Joining the Dots of Time Management for ContractorsIt seems that we live in an age where we are all too busy all of the time. Where modern technology, with all of its whizzy tools and clever gadgets, is supposed to help us, it seems that it is offset by the amount of work constantly being demanded of the time that we have freed up. Surely we should be able to reach the place where enough is enough – where personal output reaches its pinnacle and people are happy with 100%.

How can you actually give 110% anyway? Surely trying to give more of ourselves than we have available is part of the reason so many people

suffer from the stress of busyness in modern life. We’ve all heard of the ‘cruel tyrant’ boss scenario, where they try and draw every last drop of blood or effort from their weary workforce. My advice there would be to just leave. But, if you are a contractor, working for yourself – surely you get to set your own rules and work the way you want to work. Wasn’t that part of the attraction of going self-employed in the first place?

You can’t create time – just use it better!

As you know, I am a huge fan of technology and using the latest add-ons and apps, alongside

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the time-saving brilliance of systems like Free Agent. Ironically, I seem to spend a lot of my time writing about, talking about and preaching to the uninformed and the resistant about the value of such software solutions.

But I also love the good, old-fashioned, time-tested and failsafe time management methods which anyone can embrace. Here are a few for you to try:

The beauty of working for yourself, as a freelancer or contractor, is that you are your own boss. You get to control your environment, and you get to call the shots on how you use your time. Or at least that is how it should be! So, go on, join the dots and take control now.

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Get dotty about repetition: All you need for this one is a red pen. This was an old accountant’s trick from the dark ages of pre-cloud computing. It simply stated that every time you pick up a piece of paper then put it down again without taking any action you put a red dot on the paper. Once a piece of paper had three red dots, it proved that you were procrastinating and meant that you had to deal with it there and then – or file it. This is still a great piece of self-management.

Make to-do list smarter: Simply by having a to-do list, you put yourself in the productive majority. Most lists, however, don’t work as well as the could for these reasons: They are too long, and you never get everything on them done (so you always end up moving tasks across to the next day). There are no deadlines on the list, and no one else is holding you responsible for getting the

things on there done. And finally, We tend to do the easy, box-ticking tasks at the expense of the important ones.

So turn your task list into a productivity list – tackle the tough jobs first, and the rest of your day will be a breeze. Review your list at the beginning of the day – is it achievable or do you need to reschedule anything? Hold yourself to account – finish the tasks on today’s list today.

It’s all about the environment: In the old days, all you had to do was close the door and take the phone off the hook if you wanted some focused ‘get stuff done’ time. Things have changed now, and it is important to remember that email, text and every other beeping notification is still an interruption. The science is irrefutable when it comes to disturbances in your concentration: Every single time someone or something breaks your line of thought it takes at least ten minutes to get back – and those minutes soon turn into hours.

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Recent IR35 Cases Act as Warning in Relying on HMRC’s CESTAt a time when we are awaiting the introduction of IR35 reform in the private sector and improvements to HMRC’s online CEST tool, intended to provide guidance to those required to make a decision on IR35, the recent IR35 cases heard at the tribunals will have had the opposite effect to that desired by HMRC.

In more recent years, and particularly since the announcement of IR35 reform in the public sector which came into effect in 2017, HMRC has pursued more high-profile cases with clients including the likes of ITV and the BBC, presumably with a view to justifying the need for reform.

However, what the recent IR35 cases reiterate to me, are the risks of contractors and clients relying on HMRC tools such as CEST and its guidance.

Current criticisms of CEST highlight that the tool does not address one of the fundamental principles that can determine IR35, mutuality of obligations; nor does it allow the user to consider when a contractor is ‘in business on its own account’.

Furthermore, as it should go without saying, CEST and other HMRC guidance is based on HMRC’s

interpretation of case law. In this case HMRC’s approach to determining IR35.

The recent cases, involving publicly known personalities, highlight fundamental issues with HMRC’s approach to IR35.

Quite apart from having the effect HMRC were seeking (to deter what HMRC believe to be rife non-compliance of IR35), they reveal a picture of HMRC not approaching IR35 in the way ‘clearly’ set out by case law.

In the cases involving Lorraine Kelly and Kaye Adams, best know for her work on Loose Women, as the ‘worker’, HMRC sought to rely on the written contractual arrangements with little regard to the working practices.

Wrong focus…

The two most recent high-profile cases to reach the tribunal have several things in common, in addition to being in relation to well-known personalities.

Firstly, the appeals involved, either in whole or in part, contracts for broadcasts including the

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individuals’ name. In respect of Lorraine Kelly, it was the contract relating to ‘Lorraine’ on ITV and in respect of Kaye Adams, the contract for ‘The Kaye Adams Program’ for BBC Radio Scotland.

Secondly, HMRC’s case in respect of both was based heavily, if not soley, on the written contractual arrangements.

Thirdly, the ladies had been freelancing through their companies well before the original IR35 legislation came into effect, entering into contracts with many clients.

Fourthly, HMRC did not call any witnesses to supports its case.

Contractual arrangements

It is unclear why HMRC took the approach it did in these cases, with heavy reliance on the written contractual arrangements to the exclusion of working practices.

One could presume they became too focused on the high profile a win such cases could bring, the figures involved, or the perceived personal service element of the contract; or maybe the perceived control of industry guidelines following its success in the Christa Ackroyd case (which as I write this article is having its appeal heard at the Upper Tier Tribunal).

Whatever the reason, these cases, far from being the persuasive tool HMRC might seek to prove its suggestion that contractors are not correctly applying IR35, have demonstrated that HMRC frequently interpret the legislation incorrectly.

How then can contractors and clients place reliance on a tool designed by HMRC to draw the correct conclusion for IR35 in respect of its contracts?

Incidentally, the fact the contracts were in respect of contracts including the personalities name, did not automatically mean personal service was required. In making its conclusions in respect of this fundamental factor, the tribunal looked at the written terms and the working practices as it would with any other contract.

More importantly however, is the criticism of HMRC’s approach in which it seemingly ignores the working practices in favour of the written terms.

This is neither the approach the legislation requires us to adopt to create the hypothetical contract that would exist if the relationship were directly between the client and the worker, which clearly states we should looks at all relevant terms, including but not isolated to written terms. Nor, as the judge’s put it in the case involving Continued over ...

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Kaye Adams, the approach case law tells us to adopt:

“It is quite clear from the Supreme Court…that the correct approach to adopt in all cases is to identify the actual legal obligations of the parties” and that in doing so the court must examine all relevant evidence.”

Stating further, that where working practices are so persuasive the tribunal can infer this accurately reflects the terms of the actual (hypothetical) agreement, even where contrary to the written agreement.

Taxpayer’s success

In both cases the tribunal found that IR35 did not apply to the contracts.

In the case of Lorraine Kelly, predominately due to a lack of control, which the judge went so far as to say the:

“level of control falls far substantially below the degree required to demonstrate a contract of service”.

This conclusion, while taking into account the industry guidelines and written terms, was made based on the working practices, leading the tribunal to conclude that Kelly had the discretion to decide the manner, means and method by which she performed the services.

Kaye Adams contracts involved a more collaborative approach between her and the client, which HMRC sought to liken to the Christa Ackroyd’s case; and where none of the fundamental factors determining IR35 were found to be conclusive.

The judge, however, highlighted the many differences between this case and that involving Christa Ackroyd, concluding Adams contract was not within the IR35 legislation as looking at ‘all the evidence’ she was in business on her own account.

An important factor in both cases was despite an implication to the contrary in the written

terms, neither ITV or the BBC respectively, had first call on the workers services and they were not required to obtain the client consent before taking on other work.

Highlighting just one area where HMRC’s approach to rely on the written terms alone was incorrect.

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What we can take from these cases

Generally, in my experience, HMRC often neglects to take a commercial approach when determining cases. Yet, a more fundamental failing occurred here…not taking into account all the evidence.Such failings, despite the ‘clear approach’ the courts have set out, demonstrate the importance of seeking specialist advice being key to determining an accurate IR35 decision; and for clients required to make the determination, attracting quality and expertise in its contractors.

There is no specific appeal process for contractors who believe a client has incorrectly determined IR35, nor is there expected to be one for the off-payroll reform for the private sector. Contractors and clients who decide to base IR35 decisions solely on HMRC guidance can only be at a disadvantage.

With no formal appeal process for contractors who believe a client has incorrectly determined IR35 and the current consultation for reform in the private sector suggesting clients must have a procedure for hearing the contractors’ views of IR35, it is vital you use this opportunity to get your point across.

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Featured Add-on

Making travel plans can be a time-consuming task, there’s just so much choice out there, how do you find the perfect accommodation for your next trip? Whether you’re travelling for work or pleasure, booking.com is the ideal tool for the job.

On the website, and it’s accompanying mobile app, you can choose from thousands of hotels, b&bs and more. Recently, we’ve noticed an increase in the number of self-catering options too – so if you’re away for work, but want the creature comforts of home, there are options to suit.

Do you want to secure the best price, before your next meeting is confirmed? Booking.com has you covered. You can reserve many of the rooms and cancel without charge almost up until the day of arrival. The room rate is a little more, but securing the best hotel can save you a fortune in unnecessary taxi fares.

If you’re travelling to an unfamiliar destination, especially if you’re using public transport, location is everything. Using the handy map feature on the search will help you hunt down the best room closest to your meeting or conference.

And there’s more. It’s not just accommodation, but flights, car rental and airport taxi services can be found on their partner sites too. Booking.com is your all in one travel companion.

www.booking.com

Designed To Make Your Life Easier

In addition, the implications of clients engaging contractors by other means, could, without the proper due diligence, cause more potential risk to clients and contractors than it would first appear.

Such alternatives including third parties can be extremely well marketed. However, contractors and clients alike should always seek independent advice in respect of such prospects in order to assess potential risks to its businesses.

How do I decide if IR35 should be applied to a contract?

My advice, simply put, is by not solely relying on HMRC’s CEST.

The recent tribunal cases alone demonstrate the faults in HMRC’s approach; an approach followed to produce its guidance, including CEST.

It is common knowledge that CEST does not address the fundamental factor of mutuality of obligation and in addition, does not enable the user to draw a conclusion on IR35 based on the secondary test of whether a contractor is in business on its own account.

Whether you are a contractor or a client responsible for the determination of IR35, it is important that you seek specialist advise and keep a record of how you came to your conclusion on IR35 for each contract.

This will ensure you can defend your case should HMRC open an IR35 enquiry; and for clients, enable you to continue to attract the quality and expertise required to fulfil projects to a high standard.

Nicola Smith, Fairford Tax Consulting

Nicola is a specialist advisor to Meades Contractors for all matters relating to IR35. She provides training for our client managers and guidance in more complex contract reviews. Learn more about Nicola’s work at www.fairfordtaxconsulting.co.uk

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Try and Sleep on it…Often, when we have a big decision to make or are facing a challenge people will say, “Why don’t you sleep on it and see how you feel in the morning?” It is an interesting turn of phrase and one we accept in everyday life. But what does it mean, does it work and is there any real science behind it?

Sleep On It

Surprisingly, or perhaps unsurprisingly given the weight of personal experience, the science is pretty solid on the subject. Various practical studies have demonstrated that our unconscious minds seem to unravel mysteries or dig deeper into our thoughts to find answers while we sleep. It is a kind of defrag for the brain that makes everything work a little clearer and smoother.

Can sleep be used as a tool for optimum performance?

Once again, there is ample evidence that a good night’s sleep does more than simply refresh your body and mind. It seems that it can make you better prepared for the day ahead.

The sleep scientist, Nathaniel Kleitman, who first discovered the concept of REM (rapid eye movement) sleep and identified the five stages of the ‘rest-activity cycle,’ did lots of work in this area. His research showed that there are different periods of the day when people were more alert, mentally and physically, or more prone to lapses in concentration. These periods work differently for different people (hence your morning people and your night owl types) but they always occur Continued over ...

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in cycles – with highs and lows throughout the day. Likewise, as we sleep, the REM part of the cycle, in particular, plays a key part in resetting, reallocating or just simply realigning our thoughts.

I think most people would agree from their own personal experience that ‘a good night’s sleep’ can make a world of difference to the following day.

So, here is my top practical tip for sleep-planning.

One of my favourite tricks for starting the day well is to plan it the day before. Most people, particularly self-employed people who don’t necessarily have the support of a PA or administration team behind them, rely a lot on lists. They will start the day with a ‘to do’ list in the morning and tick off the things on it that they like doing, ignoring many of the angst-generating tasks. This becomes the pattern and it is generally

quite effective (despite the fact that horrible jobs often get passed to the next day).

To employ the full power of your subconscious brain, however, why not try writing your list at the end of the day you’ve just finished – rather than in the morning? This will do two things.

Firstly, it will save you a lot of wasted time trying to re-engage after all of the things that happened between finishing work and starting again the next day. You will find that the time to write your list, while you are still in work-mode, is significantly faster than it takes the following morning.

Secondly, the magic of your brain working behind the scenes (as you snuggle down that night) might just come up with the answer to one of the less desirable items on your list while you are ‘sleeping on it’.

Try it and let me know how you get on…

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The Foundation Stonesof Good Investing

Guest Article

Investing is the process of delaying consumption from today to some time in the future and employing that money in the meantime in the markets to grow at a rate at least in line with inflation, but preferably more. Investing money well requires a logical and robust framework on which to build a lifelong investment programme. Ten foundation stones provide the solid base on which to build such a programme.

Foundation stone 1: Have faith in capitalism and confidence in the markets

Capitalism is an adaptive, robust economic system that has delivered incredible developments to the benefit of mankind. It may not be fair, but it has helped to drag many of the World’s poorest out of abject poverty over the past century. It creates wealth. The markets are an efficient mechanism for rewarding those who provide capital to those engaged in the pursuit of wealth creation. Foundation stone 2: Accept that risk and return go hand in hand

One of the inescapable truths of investing is that to achieve higher returns, you have to take on more risk . That seems logical enough, but you would be surprised just how many investors seem to think that it is possible to get high returns with low risk. The one thing we know for sure about risk is that if an investment looks too good to be true, it probably is.

Foundation Stone 3: Let the markets do the heavy lifting

In investing, there are two main sources of potential returns. The first is the return that comes from the market and the second is the return generated through an investor’s skill. There

are two main ways in which an investor – using their skill - can try to deliver a better return than the market return: one is to time when to be in or out of the markets (market timing), the other is to pick great individual stocks (stock picking). Empirical evidence suggests that trying to beat the market is a tough game, with very few long-term winners. As one cannot control the return of the market, and returns from skill are rare, the structure of your portfolio is the most important aspect. Avoiding market timing and picking individual stocks etc. by focussing on market return is likely to deliver a more favourable outcome with less risk.

Foundation stone 4: Be patient - think long-term

There is no easy or quick way to investment success. In the short-term, market returns can be disappointing. The longer you can hold for, the more likely the returns you will receive will be at worst survivable, and hopefully far more palatable. It is time that allows small returns to compound into large differences in outcome for the patient investor. If you want to be a good investor, you have to be patient. Impatient investors tend to lose faith in their investments too quickly, with often painful consequences.

Foundation stone 5: Be disciplined

Patience and discipline are close bed fellows. Once you realise that to generate good long-term returns takes time, patience and belief in the markets, it is essential to put in place the discipline to stop yourself succumbing to impatience and ill-discipline. Discipline comes in many forms: sticking to the principles above; constructing well-researched and tested portfolios that should weather all investment seasons relatively well; not chasing investments that have gone up dramatically, but sticking with the logical reasons for not owning them in

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the first place; and the discipline to not become despondent about short-term, unimportant market noise, and to focus on your long-term strategy.

Foundation stone 6: Build a well-structured portfolio

Once you accept that returns come from markets and are rarely enhanced by the judgemental approaches of professional managers of market timing and stock picking, it is evident that structuring a well-thought-out mix of different investments (referred to as asset classes) should sit at the heart of your investment programme. Your long-term portfolio structure will dominate the investment returns obtained during your investment lifetime .

Foundation stone 7: Use diversification to manage an uncertain future

Not putting all of your eggs in one basket is an intuitive and valuable concept. No-one knows what the future holds and owning a highly diversified portfolio is the key tool that we have to make sure that we are prepared for whatever the markets throw at us over time. It brings its own challenges. Inevitably there will always be one or two parts of the portfolio that are doing well, but one or two that are not. The patient and disciplined investor knows that there is little point in knee-jerk responses, and that this is simply the way that markets are. The impatient and ill-disciplined will seek to change their strategy. More fool them.

Foundation stone 8: Avoid cost leakage from your portfolio

Costs eat away at the market returns that you should be gathering for yourself. Small differences in costs will compound into large differences over extended periods of time. Investment industry costs are high, particularly those related to judgemental (active) managers. If one takes two portfolios with the same gross (pre-cost) returns - one with a low cost of 0.25% a year and the other with a high cost of 1.5% a year – the low cost strategy will, on average, end

up with a staggering 65% more money in the pot over 40 years .

Foundation stone 9: Control your emotions by adopting a systematic approach

Unfortunately, evolution has hard-wired the human brain to be particularly poor at making investment decisions. Evidence of wealth destroying, emotion-driven decision making is plentiful, as impatient and ill-disciplined investors have a propensity to chase fund managers, and markets that have previously performed well, and sell poorly performing investments. Buy-high, sell-low is not a good investment strategy. Research reveals that this bad behaviour may cost investors around 2.5% per annum, on average. Given that equities have returned around 5% above inflation, on average, that is a material erosion of potential wealth.

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In each issue we will now be reporting some of the latest scams that hackers are using to try and steal our money. So, stay vigilant and please don’t get caught out.

Recently we heard about this tricky little tactic to siphon cash via your online banking app. To pay someone via your app, they first need to be set up as a payee. This can only be done via your online bank login and not through the app.

So, what the hackers do is send you some money, then call and explain that it was a mistake. You, being an honest person, send it back but, in doing so, you have inadvertently set them up as a bank contact. Then, the scammers attempt to hack your app and pay themselves as much as they want.Be aware.

CybersecurityFoundation stone 10: Manage risks carefully across time

Our approach to investing positions us as risk managers, rather than performance managers as advisers have traditionally been. Keeping the risk in your portfolio at an appropriate level is achieved through ‘rebalancing’ periodically back to your long-term portfolio strategy. Rebalancing involves selling out of better performing assets and buying less well performing assets i.e. selling, rather than buying ‘hot’ performing asset classes. Fund selection and due diligence and the ongoing governance of the investment process are all important risk management functions.

Employing a systematic investment approach – like the one we have developed – provides the discipline and objectivity that is required to avoid the pitfalls that all investors inevitably face. These foundation stones certainly make investing far simpler and easier, but never easy.

Author: Daniel BirdChartered Financial Planner Email: daniel.bird@tagfp.co.ukTel: 07968 808535

TAG Financial Planning Limited is registered in England and Wales with company number 10846528.

TAG Financial Planning Limited is an appointed representative of Navigator Financial Planning Limited which is authorised and regulated by the Financial Conduct Authority. Our FCA number is 827617.

Other notes and risk warnings

This article is distributed for educational purposes and should not be considered investment advice or an offer of any product for sale. This article contains the opinions of the author but not necessarily the Firm and does not represent a recommendation of any particular security, strategy or investment product. Information contained herein has been obtained from sources believed to be reliable, but is not guaranteed.

Past performance is not indicative of future results and no representation is made that the stated results will be replicated.

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Q&A with Matthew Lawrie

Q: How do you find the service?

A: Professional, prompt, personable.

Q: What are the main benefits for you of working with Meades Contractors?

A: They’re responsive and they don’t make you feel like you’re bothering them. You know how much the service is going to cost and you know what you’re getting for that – and it includes being able to ask them questions.

Q: What about the added value?

A: Sound and trustworthy advice. For example, on expenses, you could ask them: ‘does this count?’ And they’d say ‘yes it does’ or ‘no it doesn’t.’ So it’s very clear.

Q: What do you do and what do you like most about freelance work?

A: I work with organisations who want to understand their organisational culture. I either consult on that or run training on it. It comes out of what I did at uni – a research PhD in that area and then I became a consultant. I like the variety of the different organisations I work with, sometimes in different parts of the world.

Q: What led to you choosing Meades Contractors?

A: I attended a seminar in London quite a few years ago at which Louise Williamson gave a talk. It was the clearest, most useful talk on IR35 that I’d ever heard. In fact, all the talks given by Louise on any topic have been the clearest I’ve heard. Then, when I was looking to change accountants, Meades Contractors were a very clear choice. I spoke with Louise and Paul and they just understood the challenges that people like me face and what we need. They seemed to understand the world from a contractor’s perspective.

“I spoke with Louise and Paul and they just understood the challenges that people like me face and what we need.”

Q: What do you like about working with Meades Contractors?

A: They’re very quick to respond. They’re also very transparent and clear. With Meades, you have one person you contact and they make sure you get the information you need from the right person. It’s about you rather than them. It feels like you’re valued as a client. Also, they’re good value.

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FocusFreeAgent features to help you win the battle against late payments

Chasing late payments can be a time-consuming but essential task. FreeAgent, has some neat features to help you speed up this process and get paid faster.

Automatic reminders – emails and invoices can go astray, it’s just a fact of business life, but to ensure your invoice doesn’t get lost FreeAgent will send out automatic reminders for you. You can even personalise the message – so no unpleasant system generated, personality-free correspondence!

The late payment insight feature will help you identify your slowest paying clients and give you some handy hints on how to change their bad habits!

Consider setting up direct debit mandates – it takes the hassle away from your client and puts you in control of getting paid. GoCardless integrates with FreeAgent, making this a simple process.

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Speedy search

We love the improved search features which help you find transactions by description, category or a specific amount.

Easy estimates

If you’re VAT registered, you know your estimate for a job can appear less competitive than a non-VAT registered contractor. So, FreeAgent gives you the option to show +VAT when pricing a job. 100% clarity whilst maintaining a competitive edge!

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The MTD Deadline for Filing Monthly VAT Returns is Here!

Guest Article

The first Making Tax Digital (MTD) VAT submission deadline is upon us! If your business is VAT registered and has VATable sales above the VAT threshold (currently £85,000), you need to file your VAT returns that start on or after 1st April 2019 using HMRC’s new MTD system. If you file VAT on a monthly basis, this means that you need to file your 1st April-30th April VAT return through MTD-compatible software!

If you file quarterly, your VAT submission for the quarter dated 1st April-30th June (or later) is the first that you will need to file through MTD-compatible software so you will need to make that particular submission by 7th August 2019 at the latest. The deadline for submitting the return online and paying HMRC are usually the same.

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If you’re a current Meades Contractors client, you will be MTD ready, but if you know another contractor who is a little late to the party, please put them in touch with us – we’ll be happy to help.

Remember!

Refer a friend, or 2 or 3 …And each time you do, you (or they) will get a month free!

Learn more here:http://bit.ly/2JzzRpO

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Meades Contractors Ltd39 The Metro CentreTolpits LaneWatfordHertfordshireWD18 9SB

Newsletter design by Dave@deadbunneh.com

CONTACT08000 234484www.meadescontractors.co.ukexperts@meadescontractors.co.uk

With these deadlines in mind, here’s everything you need to do to get yourself prepared for your first MTD VAT submission.

Familiarise yourself with MTD

Before you dive into the world of digital tax legislation, it’s helpful to get to grips with the lingo and some of the key things you need to know about MTD. We have a range of useful guides and materials like our MTD whitepaper, which provides an overview of the initiative and how it will affect your business. We’ve also investigated the 8 common myths surrounding MTD to help you sort fact from fiction.

HMRC has described the first year following the 1st April 2019 launch as a “soft landing period”, which they explain is a period of time “for businesses to have in place digital links between all parts of their functional compatible software”. However, there may be some circumstances in which you could incur a penalty for failing to comply with the initiative during this time. Find out more in our MTD for VAT penalties guide.

Sign up for MTD-compatible accounting software

You need to use compatible cloud accounting software to store your digital records and submit your first MTD VAT submission. Migrating to cloud accounting software is also a chance for you to modernise your record keeping and take control of your finances. Find the software that’s right for you, sign up for MTD and then connect your software to HMRC and you’ll be ready to go. In FreeAgent, your MTD-compatible VAT returns are generated automatically and are populated from the data you enter throughout the quarter. When it’s time to file to HMRC, you can do so directly from within the software.

Keep your digital records up to date

Once your accounting software is connected to HMRC’s MTD system, there are a few day-to-day things you need to take care of to ensure you meet the expectations of the new digital VAT initiative. For example, you’ll need to keep digital records of relevant sales and purchases in your chosen MTD-compatible software.

This article was originally published on the FreeAgent blog: https://www.freeagent.com/blog/mtd-deadline-for-filing-monthly/

Learn more about the benefits of FreeAgent on our website:http://bit.ly/2QkDdkQ

Whereas in the old VAT filing system you could calculate your VAT liabilities in any way you liked, in the new system your accounting software will do this for you.

By keeping your digital records up to date, you can also make sure that you have enough in the bank to cover any upcoming bills. FreeAgent’s unique Tax Timeline is a great tool for this, forecasting what you owe in advance so you know how much you’ll need in order to pay your VAT bill.

FreeAgent is on HMRC’s list of MTD-compatible accounting software providers. Find out more about how FreeAgent supports VAT filing.