For many sole traders, time is already in short supply. Between managing jobs, keeping customers happy and juggling everything else that comes with running a business, preparing for Making Tax Digital (MTD) can feel like one more thing on an already busy to-do list. With the next quarterly MTD deadline of 7 November fast approaching, understanding what's changed and how to stay compliant is becoming increasingly important.
Most builders would rather spend their time on site than behind a screen. But with Making Tax Digital now underway, keeping accurate digital records and submitting tax information more regularly is becoming a routine part of running a successful construction business, and having the right tools and support in place can make the transition considerably easier.
To help tradies with the MTD submission process, Sage is sponsoring sole traders with free hi-vis items alongside access to Sage Sole Trader, its free MTD-compatible accounting software. The initiative combines a practical helping hand with the necessary digital accounting tools sole traders need to keep their records up to date and stay on top of their new reporting requirements.
The need for greater awareness is clear. Sage research found that 70% of sole traders are not confident they understand the steps needed to stay compliant with Making Tax Digital, while almost one in five (18%) are more aware of football’s transfer deadline day than the upcoming tax reporting deadlines. With MTD now applying to self-employed people earning more than £50,000, many sole trader builders are still getting to grips with new requirements, including digital record keeping and quarterly submissions using compatible software.
Though the first quarterly deadline of August 7 has now passed, sole traders can still claim their free hi vis sponsorship package on Sage’s hi vis webstore, including hi vis hoodies and vests designed for site use, as well as access to free MTD-compatible Sage Sole Trader accounting software.
With the second quarterly MTD deadline of November 7 quickly approaching, Sage is continuing to support sole traders with the new tax changes, helping raise awareness of the updated requirements and keeping them MTD-compliant.
From putting football legend, businessman and Sage ambassador Gary Neville at the heart of the campaign, to EFL hi-vis steward takeovers across the country and a six-metre hi-vis jacket at Builders Depot in New Southgate, London, Sage has leveraged existing ambassador and partnership relationships throughout the campaign period to create high-impact moments that bring their hi vis sponsorship to life and drive awareness of the new rules.
Stuart Bogazzi, Founder of Oak Sure Construction in Croydon, said: "Whenever anyone hears talk of new tax rules, your mind jumps to conclusions that it's just another thing to think about in the busy working day of a tradie. But Sage Sole Trader has saved me so much time. I used to spend around three hours a week doing admin and now that it's down to about 20 minutes, I can spend the rest of the time with my family.”
Lisa Ewens, SVP Product, Small Business and Accountants at Sage, said: "For sole trader builders, every hour spent on admin is time not spent on site or with customers. We know many people are still getting to grips with Making Tax Digital, so we're focused on helping them understand what the changes mean in practice and giving them simple tools that take some of the stress out of staying compliant."
For sole traders in the construction sector, the message is simple: check if the rules apply to you, confirm your deadline, and make sure digital record keeping is in place before quarterly reporting becomes mandatory.
Sole traders can claim their free hi vis work gear and access Sage Sole Trader software at www.sage.com/hi-vis.