HMRC is playing catch-up with digital accountancy

We’ve known about ‘Verify’ for a while now. It’s a new authentication service that requires taxpayers to prove their identity before accessing HMRC’s online services and a number of other digital governmental services.

Verify has been in Beta testing mode for a long time – throughout which it has been adjusted to suit the user’s needs. It seemed at times like there was no end in sight. However, this week it was announced a live version of this service was “nearly there”.

This protracted testing process, combined with the confirmation that HMRC is delaying its consultation on the ‘Making Tax Digital’ initiative until after the EU referendum, indicates that HMRC have some way to go if they are to catch up with the growth of digital accounting in 2016.

Elsewhere, advanced accounting applications such as Xero are providing cutting-edge functionality that’s effortlessly easy to use. These systems are constantly updated to help small business owners, leaving HMRC’s digital accountancy systems in the shade.

Digital accountancy methods are moving faster than HMRC on many fronts. This latest set of delays from the taxman just goes to show that you can’t rely on HMRC as an indicator of where your business should be in terms of technological integration.

Call on the experts at 3 Wise Bears today and find out how they can help you stay ahead of the curve.