Recently, HMRC confirmed that it will be moving to a points-based system to manage late payment of taxes.

What will this entail? Well, it’s a bit like getting points on your driving licence.

HMRC have suggested that there would be a point given to the taxpayer every time they make a late submission, with a penalty charge over a certain threshold of points. It’s widely expected that VAT will be the first subject for implementation into the system in 2020.

But what does this realistically mean for you? Not a lot, but that’s only if you have a good accountant by your side who will ensure you don’t get caught paying late.

Contact your local AIMS Accountant.