Making Tax Digital

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ninja-lewis

4,241 posts

190 months

Wednesday 18th July 2018
quotequote all
markcoznottz said:
So the million dollar question is, will there at introduction or any time after that be free software available? If not, then that is simply the biggest single British state supported extortion racket in history.
From one of the suppliers on the HMRC list:

"Liquid will provide a single company, single user version of Liquid VAT Filer free of charge to any VAT registered business"

http://liquidaccounts.com/liquid-vat-filer/

Eric Mc

Original Poster:

122,031 posts

265 months

Wednesday 18th July 2018
quotequote all
plasticpig said:
One of the driving forces behind the supplemental data HMRC are proposing to collect is so they don't have to do so many VAT inspections. For instance if they can tell why the input VAT exceeds the output VAT for several VAT returns in a row from the supplemental data provided then they may not carry out a VAT inspection.
They don't have many VAT inspections now.


markcoznottz

7,155 posts

224 months

Wednesday 18th July 2018
quotequote all
ninja-lewis said:
markcoznottz said:
So the million dollar question is, will there at introduction or any time after that be free software available? If not, then that is simply the biggest single British state supported extortion racket in history.
From one of the suppliers on the HMRC list:

"Liquid will provide a single company, single user version of Liquid VAT Filer free of charge to any VAT registered business"

http://liquidaccounts.com/liquid-vat-filer/
What about a free simple version for non vat registered sole traders etc.

Eric Mc

Original Poster:

122,031 posts

265 months

Wednesday 18th July 2018
quotequote all
markcoznottz said:
What about a free simple version for non vat registered sole traders etc.
Not required yet. They were hoping such a product would be in place by 5 April 2018 because that was the original implementation date of "full fat" MTD.

That has now been postponed until April 2020 at the earliest.

What does a commercial software company get supplying a product for nothing?

jammy-git

29,778 posts

212 months

Wednesday 18th July 2018
quotequote all
Eric Mc said:
What does a commercial software company get supplying a product for nothing?
An easy upgrade path for those free users if they ever decide they need a few more features...

Eric Mc

Original Poster:

122,031 posts

265 months

Wednesday 18th July 2018
quotequote all
jammy-git said:
Eric Mc said:
What does a commercial software company get supplying a product for nothing?
An easy upgrade path for those free users if they ever decide they need a few more features...
And nothing but losses from those who don't.

jammy-git

29,778 posts

212 months

Wednesday 18th July 2018
quotequote all
The Freenium model is a well travelled business model.

Eric Mc

Original Poster:

122,031 posts

265 months

Wednesday 18th July 2018
quotequote all
jammy-git said:
The Freenium model is a well travelled business model.
Explain how it works.

Most "free" software isn't really free. Most of us have acquired it when we bought a product so the cost was included in the purchase of the machine. This giving away of software is so successful that some of what used to be "free" is no longer free. That obviously worked. My Excel package used to be "free". Now I have to pay an annual fee for it.

MEC

2,604 posts

273 months

Wednesday 18th July 2018
quotequote all
I don't think Excel has ever been free? It's moved from a one off fee to a monthly fee generally (Office 365), but you can still buy it outright. Sage is seemingly at the same game.

A few of the payroll companies offer completely free versions for small numbers of employees (Brightpay springs to mind), obviously on the basis you will grow, take on more staff and then need to pay....

hyphen

26,262 posts

90 months

Wednesday 18th July 2018
quotequote all
Eric Mc said:
jammy-git said:
Eric Mc said:
What does a commercial software company get supplying a product for nothing?
An easy upgrade path for those free users if they ever decide they need a few more features...
And nothing but losses from those who don't.
It''s a way to eliminate the competition. And as said, once you have a trusted brand, the larger customers will follow.

bga

8,134 posts

251 months

Thursday 19th July 2018
quotequote all
Eric Mc said:
Explain how it works.

Most "free" software isn't really free. Most of us have acquired it when we bought a product so the cost was included in the purchase of the machine. This giving away of software is so successful that some of what used to be "free" is no longer free. That obviously worked. My Excel package used to be "free". Now I have to pay an annual fee for it.
I can only talk about the products I work with but the cost of providing something like a spreadsheet solution is minimal. The tech is simple as is the ongoing support. It's a relatively cheap way of getting your name known by lots of companies, some of whom will grow and need more fully featured solutions in the future.

Unlike Excel this type of submission functionality is commodity and there will always be someone providing it for free.


98elise

26,596 posts

161 months

Thursday 19th July 2018
quotequote all
Eric Mc said:
jammy-git said:
The Freenium model is a well travelled business model.
Explain how it works.

Most "free" software isn't really free. Most of us have acquired it when we bought a product so the cost was included in the purchase of the machine. This giving away of software is so successful that some of what used to be "free" is no longer free. That obviously worked. My Excel package used to be "free". Now I have to pay an annual fee for it.
Open office, libre office, and Google docs as all free.

90% of the software on my phone and tablet was free. The ones I paid for are then ones I want extra features on.

Kccv23highliftcam

1,783 posts

75 months

Thursday 26th July 2018
quotequote all
Getting rather frustrated at the level of adumbration that HMRC have put in place when one actually wants to GIVE them some money.

Really, what is so so difficult about having a nice simple conversation with a representative. ?

So

26,283 posts

222 months

Thursday 26th July 2018
quotequote all
Kccv23highliftcam said:
Getting rather frustrated at the level of adumbration that HMRC have put in place when one actually wants to GIVE them some money.

Really, what is so so difficult about having a nice simple conversation with a representative. ?
Adumbration is a great word.

loafer123

15,440 posts

215 months

Thursday 26th July 2018
quotequote all
Kccv23highliftcam said:
Getting rather frustrated at the level of adumbration that HMRC have put in place when one actually wants to GIVE them some money.

Really, what is so so difficult about having a nice simple conversation with a representative. ?
Their web chat facility is great, in my experience.

PurpleMoonlight

22,362 posts

157 months

Monday 3rd September 2018
quotequote all
HMRC admits MTD will cost business £37m but extra tax of £1bn will be collected (which is the real reason for this).

http://www.dailymail.co.uk/money/news/article-6122...

Eric Mc

Original Poster:

122,031 posts

265 months

Monday 3rd September 2018
quotequote all
PurpleMoonlight said:
HMRC admits MTD will cost business £37m but extra tax of £1bn will be collected (which is the real reason for this).

http://www.dailymail.co.uk/money/news/article-6122...
HMRC has never explained how they assume that MTD will result in an extra tax take for them.

PurpleMoonlight

22,362 posts

157 months

Monday 3rd September 2018
quotequote all
Eric Mc said:
HMRC has never explained how they assume that MTD will result in an extra tax take for them.
I would presume the hope less likelihood of incorrect reporting?

Seems an awful lot though.

Eric Mc

Original Poster:

122,031 posts

265 months

Monday 3rd September 2018
quotequote all
PurpleMoonlight said:
I would presume the hope less likelihood of incorrect reporting?

Seems an awful lot though.
Why should incorrect posting automatically assume that under the current reporting systems there are tax shortfalls? Unless they are assuming that the incorrect reporting is down to deliberate understating of income and profits - which is, of course, fraud.

So far, HMRC has not stated that M<TD was anything to do with cutting down tax fraud. Are they being "economical with the truth" of their motives?

PurpleMoonlight

22,362 posts

157 months

Monday 3rd September 2018
quotequote all
Eric Mc said:
Why should incorrect posting automatically assume that under the current reporting systems there are tax shortfalls? Unless they are assuming that the incorrect reporting is down to deliberate understating of income and profits - which is, of course, fraud.

So far, HMRC has not stated that M<TD was anything to do with cutting down tax fraud. Are they being "economical with the truth" of their motives?
Do bears shi .....