David Warr
THE red tape burden on small firms is being cut by changes to rules governing GST returns.
Treasury Minister Philip Ozouf says this is the first of a number of initiatives designed to reduce the amount of form filling and administration companies have to endure.
Although the move has been welcomed by a group that represents small businesses, the group chairman David Warr is concerned that making large single payments could affect cash flow.
The new rules mean that businesses with a turnover of under £500,000 a year will only have to make one GST return annually instead of quarterly returns. They will also only make two payments to the Treasury instead of four.
It is estimated that up to 700 companies could benefit from the changes that come into force today.
Article posted on 1st February, 2010 - 3.00pm
One Article Comment
How can it affect cash flows? its not their money anyway, its money they have taken from a customer on behalf of the government and I am quite sure if it is likely to affect their cash flows now then they will not have the tax money to hand over at the end of the year.
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