Self Assessment Tax Season 2022: Is Your Team Prepared for it?

The accounting world’s busiest and most exhausting period of the year is approaching. Even though it is still August, and we are pretty far from the Self Assessment tax season and return deadline, it can still look daunting.

Thanks to the flourishing job opportunities in the global market, there is a constant increase in the number of tax-paying individuals. Even though many of them file taxes on their own, a considerable percentage of this group turn to accountants. Accounting professionals are constantly on their toes as they must keep track of the changing tax regulations, connect with clients, and assemble the necessary forms and paperwork.

Stress is unavoidable during the inescapable busy tax season. Heaps of paperwork and a flurry of client calls could reduce your team’s productivity and affect their mental health. It can be really challenging to run an accounting practice during the tax season efficiently. But it will be much simpler if you are prepared, organised, and clear about what you’re being asked for. Read on for some tips to prepare your team for the upcoming Self Assessment tax season.

INCENTIVISE CLIENTS TO START EARLY

Encourage your clients to submit the required information in good time, so there won’t be any rush, and you can also meet deadlines efficiently. Reach out to your clients ahead of the season and set your expectations clear. Perhaps even use a workflow or software to gather all the necessary information and conduct regular follow-ups. You will have more time for double-checking as well as prevent stressful and tedious last-minute tasks.

COMMUNICATE WITH CLIENTS REGULARLY

Accounting practices have a hard time collecting and verifying the necessary data and documents from their clients. And last-minute filing tasks become highly stressful. In order to get all the information you need in one go, ask for the correct information via email and ask for them to be sent in one shot using a checklist. Provide clear and structured instructions that they can follow. Communicate regularly and constantly remind them via email or calls to have all the paperwork in place to avoid delays. You could also make a list of those clients who delayed submitting their documents the previous year and schedule reminders in advance.

WARN YOUR CLIENTS ABOUT THE DEADLINES, PENALTIES, AND FINES

Submitting and paying tax bills on time is crucial to avoiding penalties and fines. The deadlines for submitting your tax returns are 31^st October for paper filing and 31^st January for online filing. The payment deadline for both paper and online tax returns is also 31^st January, and if you are required to pay on account, the deadline for your second payment would be 31^st July.

Tax return penalties: failing to submit tax bills to HMRC on or before the deadline mentioned above will be prone to penalties. A three-month late payment will attract a fine of £100 alongside interest on the tax.

Must Read: The Ultimate Tax Preparation Outsourcing Handbook for Accountants

FIGURE OUT NEW WAYS TO OBTAIN CLIENT INFORMATION

You need a backup plan if your clients aren’t providing the necessary information or documents on time. Perhaps you could use the data already held by HRMC in the client’s Digital Tax account. Or you might plan to collect client information digitally. Not only will this enable you to review the data and make changes accordingly but also can you send it automatically into the tax returns. This way, you will be able to save time and prevent human error risks.

PREPARE CAPACITY PLANNING AHEAD

Clients’ expectations of accountants go beyond core tax preparation and accounting functions. Your staff is expected to be subject matter experts and advisors to help businesses scale amid the growing competition. Having a precise mechanism to quantify the amount of work you have and evaluating if you have adequate staff to handle them is called capacity planning. Inadequate capacity planning can get you swamped with the workload. Therefore, planning your accounting practice’s capacity several months ahead will help paint a picture of how you can function through the tax season.

TECHNOLOGY UPGRADES

Owing to MTD, it has now become mandatory for businesses to get tech-savvy. Numerous tax processing software such as Taxfiler, TaxCalc, IRIS, 1Tap, Receipt Bank, etc., are up-to-date with the latest tax norms. Ensure you train your accounting staff on using these software and plan to deal with last-minute glitches. It is best not to wait until the tax season to start sorting your tech. Whether upgrading your software or purchasing new printers, do it ahead. Also, setting up a documentation portal for your clients can make uploading the paperwork absolutely hassle-free.

GET HELP

Tax season is indeed very stressful for your accounting team. Even if they have been doing fine the whole year, they might really need some extra hands now. A competent accounting practice owner won’t let their staff burn out and will go the extra mile to relieve their burden. Tax returns will ear your staff’s regular working hours, which could be more profitably spent on business development, innovation, or client-focused work. Outsourcing to a dedicated tax service provider like QXAS guarantees that your clients’ taxes will be filed accurately and in full compliance.

What’s more? It can also help you save costs, gain access to tax expertise, mitigate risks and gain more flexibility.

WRAPPING UP

The next hectic season is fast approaching. Running an accounting practice during the busy tax season can be overwhelming. There are mountains of paperwork, tight deadlines, last-minute tasks, and repeated follow-ups with clients. Despite the increase in workload, you don’t have to fear it. Staying ahead of the tax season can be a walk in the park if you choose to outsource. Outsourced tax preparation service providers like QXAS can help your accounting staff focus on growth, optimise their productivity, and, more importantly, physical and mental well-being.

HELP YOUR TEAM BE PREPARED FOR THE SELF ASSESSMENT TAX SEASON AHEAD WITH QXAS

To avoid the last-minute rush and handle clients who dilly-dally in submitting their documentation, plan with QXAS. QXAS’ TAX & Accounting UK supports accounting practices navigate the workload and sail smoothly through the busy tax season. We at QXAS understand your plight and are here to help you stay outsmart the flooding tax preparation requests. Our outsourcing solutions will enable you to offer a high-quality tax service to your clients.

Why QXAS?

• Substantial Cost Savings: Up To 50% On Operations Costs For Each Tax Return
• Dedicated Team of 1500+ Skilled & Highly Trained Tax Experts
• Customised Pricing & Flexible Engagement Models
• Airtight Data Security Measures
• Quick Turnaround Time
• Expert Understanding of Tax Software & Documentation
• Fully compliant: ISO 27001 certified for information security & ISO 9001 for quality
• 100% Score on Every BSI Audit