Compulsory online filing is coming
Draft regulations have been published which will affect the way many small businesses and employers interact with HMRC. These regulations when entered into law will make it compulsory to make online filings for PAYE, National Insurance contributions and VAT.
The main changes are as follows:
– An extension to existing online filing requirements for PAYE and NICs which already apply to businesses with 50 or more employees. It is expected that from April 2010 all employers will have to file annual and in-year forms online.
– New requirements are also being introduced which will affect almost all VAT registered businesses. With effect from relevant accounting periods starting after 1 April 2010 all businesses with a turnover of £100,000 or more will need to file VAT returns online and pay VAT due electronically.
– All new businesses registering for VAT on or after 1 April 2010 will also be required to file returns and pay VAT electronically.
Comments can be made on the draft regulations up to 3 July 2009.