Could glitches be on the way for HMRC?
New reform for Pay As You Earn – also known as PAYE – is on the way, but HM Revenue and Customs are expecting that there will be technological hiccups along the way. The changes towards submitting information in real-time is one of the biggest reforms that the taxman has introduced in decades.
The reason why this procedure is underway is to prevent a backlog of payments which are currently stagnating. However, it could be slow to take off, as just 16% of businesses that will be affected are ready for the new scheme.
When data changes at HMRC, there are usually challenges with computers keeping up. To compound the problem, with IT spend one of the areas that has been addressed with costcutting measures at the governmental department, there may not be as many contingencies as one hopes.
What do you think? Will you need to invest more of your cash in order to have the systems needed to cope with the new guidelines? Do you have an accountant to help?