HMRC to fine small businesses for poor bookkeeping, warns local tax specialist

HMRC to fine small businesses for poor bookkeeping, warns local tax specialist 

HMRC is due to begin its Business Records Checks campaign, targeting small businesses across South West Wales, warns local small business champion Roger Bowen. With up to 40% of all small and medium sized businesses being targeted in this latest campaign, businesses with poor bookkeeping records, where tax is more likely to have been underpaid, are at a higher risk of investigation.

Roger Bowen who runs TaxAssist Accountants in Llanelli comments:

Keeping up to date with bookkeeping can be a big administrative job that often becomes a burden to small businesses. However, keeping on top of records can lead to better management of your business and its cashflow. Plus, HMRC is less likely to take further action if your records are found to be satisfactory.

If you think your records may not be up to scratch, you should think about making improvements by using proper filing systems, spreadsheets or a computerised bookkeeping package. If records are not kept in order penalties of up to £3,000 can be issued. However, if the taxman does come calling and you are charged a penalty, there is the option to appeal against the decision.

TaxAssist Accountants Llanelli is a local business itself, operating across Carmarthen, Llanelli and Swansea providing tax and accountancy advice and services to more than 300 small businesses.

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