The new Making Tax Digital regulation is one of the biggest disruptors to how companies do business to happen in recent years. For those of you who have missed this, all companies whose revenue is above the VAT threshold of £85,000 will have to submit their VAT returns to HMRC via MTD-compatible software by April 2019. And by April 2020, data must be transferred digitally by all software used by a business for VAT.
Going digital with VAT returns makes perfect sense. Most businesses bank online so submitting VAT returns, and all matters to do with electronically transferring data about VAT & taxes, is the logical next step. It signals the end of paper-based accounting and will create a very advanced tax system that improves efficiency and ease of compliance.
What does this mean for you?
Many businesses already use ERP systems (Enterprise Resource Planning), which automate their business processes by centrally combining data on accounting and financials, purchasing and operations, sales and service, manufacturing and materials planning. Not all ERP and financial solutions are compliant with MTD regulations however, so it is important for businesses to consider how they will comply with regulations if their software doesn’t?
In business terms, April 2019 is not very far away. Your company may need to urgently review software options that are compliant with MTD. However, reviewing software solutions that are fundamental to your business operations and processes is not usually a quick and easy decision. There are many aspects to consider when choosing new software solutions, and how they will fit with your particular business needs. It is also important to take into consideration the length of time it takes to make the choice over new systems, and thereafter, how long it takes to get those systems and processes implemented. This is why businesses need to take action now.
SAP Business One
If your company currently uses SAP Business One, you can be assured that release version 9.3 PL08 is MTD compliant. This patch is due for release in December 2018, which is several months ahead of legal requirement. For current SAP Business One customers, upgrading to this version is a straight-forward process and your SAP partner will be able to help you achieve this.
Companies considering implementing SAP Business One can be reassured that the solution is compliant to new and upcoming legislative changes, such as GDPR and MTD; as one of the world’s leading software companies, SAP has a clear product roadmap to take into account any future legislation that might affect SAP Business One.
How can Ascarii help?
Ascarii is the UK’s only dedicated SAP Business One Cloud partner, having focused on deploying SAP Business One in the cloud since its inception. Our technical team is working closely with SAP to develop and roll-out the Making Tax Digital compliant version of SAP Business One. The team also has many years’ experience in developing cloud-based solutions, added to a deep understanding of business processes and the pains that can sometimes hamper progress, which helps them to provide a solution that really fits the needs of a modern business.
SAP Business One can be deployed as an on-premise or cloud-based solution. Deploying SAP Business One in the cloud keeps the total cost of ownership down, while still enabling companies to take advantage of one of the most comprehensive ERP solutions for SMEs. Security is of paramount importance, and upgrades are handled seamlessly, meaning that your system is always up-to-date and compliant with the latest legislative requirements. To find out more about SAP Business One, and complying with the new Making Tax Digital regulations, please contact the Ascarii team now.
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