Business News

SMES Urged To Keep Business Records in Shape

HM Revenue & Customs (HMRC) has launched new tools to help small businesses, sole traders and the self-employed keep their records in shape.

Four new products were launched in February, ahead of the introduction of HMRC’s new Business Record Checks programme later this year, which will impose penalties for significant record-keeping failures.

Brian Redford, HMRC’s acting director, Business Customer Unit, said: “It may seem like a challenge, particularly when you’re starting out, but keeping good records will bring real advantages to your business.

“Get a proper system in place and you’ll not only be confident that you are paying the right tax, but you’ll keep up-to-date with how much you owe suppliers and how much you are owed.

“Later this year, HMRC will start a programme of Business Records Checks that will look at the adequacy and accuracy of business records in SMEs to bring about a major improvement in the standard of record-keeping. Now is the time to invest a bit of effort to make sure your business records are perfect.”

LINKS

Keeping records for business – what you need to know: www.hmrc.gov.uk/factsheet/record-keeping.pdf

A general guide to keeping records for your tax return: www.hmrc.gov.uk/sa/rk-bk1.pdf

Set up a basic record-keeping system: www.businesslink.gov.uk/recordkeeping

Find out what records you should be keeping: www.businesslink.gov.uk/recordkeepingcheck