Budget 2018 : the big news

The big news that affects us all is the increase in the rate of VAT from 14% to 15% on 1 April 2018.  This will require some changes both to thinking and software – from accounting packages and spreadsheets to e-commerce systems that auto invoice.There will also be some gymnastics for the next while in claiming VAT on expenses as these can only be claimed as inputs based on the invoiced VAT amount which on some returns may mean a mixture of inputs 14% and 15%.  We recommend that you contact us to discuss any concerns you may have on this or how to change the settings on your accounting software.