Making Tax Digital - marketing to clients?

Gem7321

So in light of this https://www.gov.uk/government/publications/making-tax-digital/summary-of-consultation-responses I'm thinking about how I'm going to engage clients in Making Tax Digital. I have been raising awareness generally through my facebook page and at new client meetings etc. but now thinking I need something more robust to physically send to clients (especially those who are not IT-literate).

I'm just not sure how to tackle it though! What is everyone else doing? A letter? A brochure? An infograph? What sort of content are you putting on there? Are you advising that you anticipate a change in fees?

Hoping to bat around some ideas

burg

We are talking to all clients currently and throughout February and March will eb developing an email/letter.
We are trying to turn it into a positive as much as possible and pushing Xero as the solution. Fees are increasing but we are putting the blame where it belongs, with HMRC.

Gem7321

I saw this from Xero https://www.xero.com/uk/accountant-bookkeeper-guides/cloud-accounting/making-tax-digital/ and expect I shall use extracts of it in my communications

paulstafford

Will advise clients when I send out 16/17 tax return checklist in April. Hopefully by then we will have clarity on the turnover threshold and a bit more idea on spreadsheets.

My plan is to have all clients above VAT threshold on either Xero; Freeagent or VT if they prefer desktop. This does seem like a golden opportunity to increase prices and sort a few book-keeping issues out.

I am hoping the turnover threshold will increase significantly ( to at least £50k). We shall see........

Gem7321

What's your plan for non-VAT registered?

paulstafford

Really depends on what the MTD threshold is. If it stays so low that building subbies and the like are caught up then my fees for this type of client will double if I have to submit quarterly. I don't have many clients like this and I am prepared to lose them and focus on other clients.

There are a few clients below VAT threshold, say around £50k who I will encourage to move onto accounts software or MTD compliant spreadsheets, although some are going to struggle.

TreadStone

Exciting times ahead.....

Gem7321

I think they've already said that although clients can use spreadsheets for record-keeping they're unlikely to meet the requirements of MTD so is likely to involve using software as well to submit.

I've got many clients who will struggle; don't use online banking, can barely use email etc. and I am dreading it for them.

paulstafford

Hopefully the spread-sheet import facility on VT transactions will be updated to MTD compliant standards....whatever they are! Then it should be an easy job to import and press the submit button.

Although mrme89 suggestion sounds like a good idea...

Gem7321

I heard that VT aren't going to be developing anything for MTD, but it may just be a rumour!

monkeypuzzle47

This is not true under hot topics on vts website it reads...Making tax digital
The Tax Data menu in VT Transaction+ has been renamed Tax Data/MTD and a new Send To HMRC command added. The command does not do anything yet. The functionality will be added when HMRC make the exact technical details available. I have also confirmed this via the telephone