New reporting rules for digital platforms
The government has announced new income reporting rules which will impact businesses and individuals that use or operate digital platforms for selling goods and services. What’s the full story?
HMRC is asking for responses to its recently launched consultation, Reporting rules for digital platforms. It’s part of an international initiative to require firms worldwide that operate digital platforms to report details of businesses and individuals that generate income through their sites, e.g. amounts paid, name, address, bank account number, etc. This will give HMRC another tool for checking the accuracy of accounts and tax returns.
The scope of the new regime is very wide and HMRC anticipates that it will apply to up to 5 million businesses and individuals either being required to report information or as the subject of such reports.
While the system will not be introduced until January 2023, HMRC is asking for those who might be affected to engage now in the process of creating the ground rules. The consultation period closes on 22 October 2021.
Related Topics
-
HMRC reminds employers to check tax codes at start of new tax year
HMRC is reminding employers to review PAYE coding notices as the 2026/27 tax year gets underway. With new tax codes now in operation, what should you be looking out for?
-
Salary v dividends in 2026/27
Dividend tax rates have increased by 2% for 2026/27. Add that on to the other recent tax hikes and it starts to look very expensive to run a company. Is the combination of a low salary topped up with dividends still tax efficient?
-
Practical guide: Incorporating a property business
An individual with a significant property portfolio is considering incorporating their business. What are the key considerations and are there any traps to avoid or tax planning opportunities?
This website uses both its own and third-party cookies to analyze our services and navigation on our website in order to improve its contents (analytical purposes: measure visits and sources of web traffic). The legal basis is the consent of the user, except in the case of basic cookies, which are essential to navigate this website.