Get Self Assessment right all year-round with BTCSoftware

Congratulations to all accountants who managed to survive another high-pressure January, full of completing Self Assessment tax returns for clients. To those of you who found yourselves burning the midnight oil, battling against tight deadlines – we salute your valiant efforts. We know it’s been a hectic time for many of you and we’d like to take a moment to celebrate your efforts. We’d celebrate for longer, but an accountants work is never truly done.

After such a busy month, it’s important to reflect on how your Self Assessment season went. For some accountants it will have been straightforward because they had all client information at hand. They’d made progress towards returns throughout the year and even submitted some tax returns early. On the other hand, we’ve talked to many forlorn accountants who described last month as torture, with days and nights spent sleep-deprived, stressing about the deadline and chasing client information.

If sleep deprivation and high stress levels sound familiar to you, then maybe it’s time to make a change. January doesn’t have to be a mad scramble to get everything done before the deadline. By being organised and planning throughout the year, you can make Self Assessment season as easy as it should be with for a modern, digital practice.

2023 Self Assessment: Don’t kick the can down the road

First things first, look after yourself. So, if you’re feeling the effects of a hectic January, take a few days to rest and get back to your best.

Feeling recharged and ready to get ahead of next year? Then it’s time to start preparations (yes, 11 months ahead!). You may be thinking we’re daft, suggesting that you dive straight back into the task which took over your live for the last month, but trust us – if you start early and get ahead, next January will be a walk in the park.

A great place to start is by talking to your clients and make sure to collect all documents, deductions, and relevant information at the outset, so you won’t be scrambling to track down crucial details later.

Here’s a list of some important things you should do in February (and throughout the year) to stay ahead:

Gather any information you may need: Collect any data you may need as you go along. Don’t just think documentation – consider things like tax credits or monthly financial statements. Make sure you have everything you need to ensure your clients can claim everything they are entitled to.

Ensure clients are aware of their tax liabilities once work is finished: Once the liability is established, it’s wise to send out a letter detailing the payments that need to be made. This will ensure there’s plenty of money in their accounts when the time comes.

Don’t push tax to the new year: Everyone’s got those clients who are less-than-thrilled to pay their taxes. A quick fix might be shifting their liability by balancing out the books, but this will just increase next year’s tax bill. It’s better to deal with it there and then.

Ask clients to use a separate bank account for business activities: It is much easier to produce accounts and prepare a Self Assessment return when your clients maintain a separate bank account for their business or taxable activity. This will make bank reconciliation a simple process and ensure all expenses are captured.

Communicate possible tax band changes: Get ahead of the game with your clients who may move into a higher tax bracket. An early chat will ensure they know exactly what to expect and make their Self Assessment process less stressful.

Don’t wait until the last minute to file your return

Tax time can be stressful and overwhelming but the key to minimising your headache is to file some client returns ahead of time – be proactive. It sounds obvious but remember, deadlines are just the final day for submission, so make sure to plan for clients who may give you their information at the last minute, by allocating extra time for their submissions.

Here’s some other reasons why it’s good practice to get returns in sooner rather than later:

HMRC will be busy in January: It may take some time to register new businesses due to the increased volume HMRC receive in January. This will be the same with their phone lines, so you may be left waiting for long periods of time.

You’ll have time to save for your tax bill: Submitting early does not change the tax bill due date – 31st January. However, it will give you time to gather the funds.

You’ll avoid penalties: Late submissions will incur fines which can add up quite quickly.

You can enjoy your Christmas: Wouldn’t you prefer to enjoy your time off without a dreaded workload hanging over your head?

Our final tip – use effective Self Assessment software

Self Assessment software is a great way to simplify your life when it comes to filing taxes. Not only does it provide features that are designed for accuracy and speed, but it’s also easy to use for anyone – from experienced tax consultants to everyday citizens who want some help with their taxes. With Self Assessment software, tax returns can be completed quickly, accurately and with confidence. No more headaches or stress – just an efficient way to get your taxes done right.

These days, most accountants use software to streamline this process, but you should make sure to choose a feature-rich solution to save as much time as possible and benefit from unique capabilities. A great option for this is BTCSoftware’s Self Assessment solution which can make January super simple with tools like:

• Efficient Tax Returns with online filing to HMRC

• Many two-way accounting integrations

• Associate Partners with Partnerships

• Capital Allowance Calculator

• Fee-earner allocation

• HMRC integration

• In-built reminders

• And much more

Don’t just take our word for it

AccountingWEB has been running the ‘State of the Nation’ survey to help software providers find out what users think of their solutions. From a Bright perspective, we’re proud to share our that we greatly surpassed the industry average in a number of important areas:

BTCSoftware customer ratings

Related webinar:

• Your Self Assessment secret weapon

If you’re interested in learning more about BTCSoftware’s Self Assessment solution, book a free demo with one of our product experts.

This content may have been developed with the assistance of AI tools. Content is reviewed by a member of the Bright team before publication. Guidance on legislation can be obtained from your industry body.