And so it begins. The annual slog/ritual/celebration(!) of getting information from clients to prepare and submit their tax returns before 31 January. But this year should be different. This year, in addition to working on client records for the 2021/22 tax year, you also need to start/continue the MTD for ITSA communication.
Unless the Government announces any MTD for ITSA updates in the Autumn Statement on 17 November, this blog assumes that the current rules that have been announced will remain in place.
How to engage in MTD for ITSA communication
Over the coming weeks use the time spent working on your client’s tax returns and liaising with them to remind them of the changes which will affect them from April 2024. You can do this by:
- Talking to them! Pick up the phone to discuss their tax return but also mention MTD for ITSA and explain how the Self Assessment process will be changing.
- Sending them an email about it, preferably after this year’s tax return has been completed, so as not to distract them!
- Writing blogs about MTD for ITSA and how taxpayers will need to change their approach to Self Assessment. These blogs can be posted on your website, attached or linked to from emails, used on social media and sent to newspaper/magazine editors to be considered for publication.
- Mentioning MTD for ITSA in your newsletters.
- Writing a factsheet or leaflet which can be printed and handed out during client meetings (or at networking meetings) or saved as a PDF so it can be loaded onto your website, added to social media or emailed to clients.
- Organising seminars which can highlight the changes coming in with MTD for ITSA but could also showcase the different types of software which clients could use.
Carry out market research
You could also use the opportunity for more client contact time during tax season, to do some of your own market research. The implementation of MTD for ITSA is unlikely to be a ‘one size fits all’ and different clients will have different needs. Starting the MTD conversation earlier will help you prepare clients for the change and also ascertain how much support they will need from you. This will give you an insight into what resources you will need in order to help your clients comply.
Client communication is key
MTD for ITSA is the biggest change to affect taxpayers since Self Assessment was introduced. The reaction from your clients is likely to vary enormously. The sooner you start the conversation the sooner you can give them all the information they need to help make the transition as smooth as possible (and well ahead of the implementation date).
If I can help you write blogs, factsheets/leaflets or emails, do get in touch.
