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Out-of-date accounting is dangerous accounting – why risk it?

Author: Henry Ejdelbaum

Tags: Accounting in Practice, HMRC Penalties, self-assessment

Accounting’s an ever-changing topic. Even from one month to the next, changes of all sizes happen across the UK’s tax system. That’s why W.H. Smith’s caused such a stir last month when it was found to be selling a self-assessment guide from 2015.

Out-of-date accounting advice is a serious risk to businesses across the UK. 5 years might not seem like much in a centuries-old tax code, but every year there are important stats that are adjusted, and tweaks made that can have big impacts if you’re following outdated advice. Nor is getting your taxes wrong a simple issue to solve – it’s not necessarily just a “slap on the wrist” that you’ll get from HMRC. Filing your taxes according to outdated advice can put you in real danger of serious fines, along with legal consequences. It’s something you want to be avoiding whenever possible!

Issues like this are a big reason why we here at AIMS recommend that regardless of size and sector, every small business has an accountant on hand to help them out with their tax requirements. Tax might be ever-changing, but it’s an accountant’s job to always be up-to-date with the current requirements, and how to navigate them.