This representation ahead of the March 2024 Spring Budget sets out AAT’s policy position on tax, professional standards, support for SMEs and late payments.

We believe HMRC must stick to a timeframe for the roll-out, simplify as well as digitise complex processes, and build greater awareness among small businesses.

We think practical benefits are likely, but while a reduction in errors is possible in the medium to long term, they may increase in the short term.

While we agree that HMRC's digital agenda can create a better taxpayer experience, we note that taxpayers have absorbed the administrative burden and costs.

We believe that points should be immediately appealable, and that one points total covering all the customer’s submission obligations is the right approach.

We recommend that implementation start from April 2018 for businesses above the VAT registration threshold, and that HMRC allow no penalties for a set period.