94% of business owners haven’t heard of Making Tax Digital

With the tax self-assessment deadline approaching on 31 January, tax payers who fail to submit their return on time risk facing a penalty

94% of UK business owners haven’t heard of Making Tax Digital, according to a new report by 1Tap Receipts.

The survey of self-employed workers revealed that a vast majority of respondents are unware of the government initiative, which plans to allow all business owners pay their taxes and manage their tax information online by 2020, despite being frustrated at the present system.

55% of those surveyed said they dislike the current self-assessment process, with 45% spending five hours or more completing their tax returns – while 22% spend over ten hours getting it done.

With the tax self-assessment deadline approaching on 31 January, tax payers who fail to submit their return on time risk facing a penalty and business owners are advised to complete it as soon as possible.

Michael Wood, co-founder of 1Tap Receipts, said:

“Making Tax Digital is a big, but overwhelmingly positive change as it will help self -employed people manage their finances in a much more streamlined and efficient way.

“In fact, many of them, and their accountants, are already automating various parts of the tax return process to give them a real time view of their accounts, but without the headache of hours spent poring over a spreadsheet.”

Worried about self-assessment? These are the common mistakes to avoid.

You can register online for self-assessment here.

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