What It Means:
MTD, when introduced on April 2024 (save the date) will mean landlords earning over £10,000 in income will be obliged to submit quarterly earnings reports to the HMRC, much like how public companies on stock exchanges must submit quarterly earnings statements as well. This means that if you own even just two properties, a grand total of TEN statements per year will need to be submitted – quarterlies for both, plus the grand total end of year statement.
The £10k applies to gross income or turnover, not profit. This undoubtedly will increase the workload for a landlord who may be stretched for time, but Reddbox offers a tailor made solution to your management needs. With Reddbox, statements can be submitted using the camera function in the app that registers gross margin, profit etc. figures, which are then stored in the app and will be used to generate numbers for your statement. That way you can fill in your forms and send them off without having to do the calculations yourself. We also advise you set up your own bank account for your property dealings, as to not conflate them with your personal expenses.
Why It Matters Today:
Getting into the habit of storing records digitally before the switchover will also save you time and streamline your workload.
It will also become mandatory that digital records be kept, so as to minimise miscalculations. The original date was April 6th 2023 but has recently been postponed by one year in order to appease landlords and lawmakers in this busy climate. Certain groups will be exempt, as follows:
- Those for whom it is not reasonably practicable to use digital tools to keep their business records or submit quarterly returns due to age, disability, remoteness of location or any other reason (often referred to as ‘digital exclusion’).
- Those who are subject to insolvency procedures.
- Those whose businesses are run entirely by practising members of a religious society or order whose beliefs are incompatible with using electronic communications or keeping electronic records.
With our digital organiser, you can upload documents to the app quickly and easily. In future updates, the app will be built to churn out the figures for you and provide you the figures you need to fill in those pesky statements.
Download the app and follow few screens to provide your details, and that’s it. Some of the key features why you should consider Reddbox are –
- A completely app-based, super simple booking process
- Option to pay for the service over few months without any additional interest or fee.
- You can book the service seven days a week, which means no need to disrupt your busy day
- A very transparent cancellation and refund policy.
- And the best one – Reddbox will automatically organise all the relevant documents such as the invoice and the certificate.