Millions of sole traders given are being given “breathing room” thanks to a fresh tax intervention.
Responding to the announcement that the Government will introduce Making Tax Digital (MTD) for Income Tax Self-Assessment (ITSA) a year later than planned, in the tax year beginning April 2024, Federation of Small Businesses (FSB) national vice chair Martin McTague said: “It’s very encouraging to see HMRC responding to our recommendations regarding the roll-out of MTD.
“With recovery efforts now underway, the previous schedule wouldn’t have been the right way forward.
“This move will provide millions of sole traders with a measure of breathing space and some encouragement in a climate beset by spiralling energy costs, supply chain disruption and high levels of debt.
“As more firms make the transition to MTD, we look forward to working with HMRC and the Treasury to keep costs manageable.
“If taken forward in consultation with the small business community, and made affordable, the initiative should deliver productivity gains over the long-term.”