HMRC have decided to scrap their business records checks (BRCs) with immediate effect, because they weren’t achieving the desired result. These checks were introduced in 2011 to try and ensure that all companies were keeping appropriate records, but have been widely criticised for not being cost-effective.
Evidence has shown that most small businesses are keeping adequate records which, as always, is an essential part of running a successful business. Without good, up-to-date records it’s impossible to produce accurate statutory accounts, not to mention VAT returns, management accounts and forecasts.
Record keeping may well become even more important, as HMRC look to introduce digital tax accounts where you may have to send in information more frequently. And please do remember that you must always keep records for at least the previous 4 complete tax years.
If there’s anything you’d like to discuss please don’t hesitate to get in touch with us on 01782 279615.