ONE-IN-10 small business owners has admitted missing important tax deadlines and payments, while nearly one-fifth have lost out on grants and tax breaks.
The figures, from a survey by Clydesdale and Yorkshire Banks of 500 small businesses, showed that 19% had missed out on tax breaks and grants, while 10% said they had made late VAT payments or missed tax return deadlines.
Some 16% were unsure of where to turn for advice on regulation, while 15% said they struggled to understand new rules.
“For small businesses, every penny really does count, so the cost of falling foul of red tape can make a fundamental difference to their ability to succeed,” said Gary Lumby, director of small business banking at the banks.
He continued: “In extreme cases, not understanding red tape could lead to them closing. It is worrying that a significant number of small firms do not know where to turn for advice on these matters and we hope to change that for our customers.”
Making Tax Digital will impose significant additional tax compliance costs on small businesses for little or no medium term benefit, tax and small business experts told MPs
MHA MacIntyre Hudson has partnered with cloud accounting software provider Xero ahead of the government’s requirement for digital records
The drive towards a fully digital tax regime is an admirable one, but mandation is simply wrong, according to one of the UK's most senior tax technology practitioners - Paul Aplin
Does Darwin's theory apply to taxation? Colin ponders...