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Clarity needed on costs of Making Tax Digital

9 February 2017

Rt Hon. Andrew Tyrie MP, Chairman of the Treasury Committee, writes to Jane Ellison MP, Financial Secretary to the Treasury, and Mike Cherry, National Chairman of the Federation of Small Businesses (FSB), about the compliance cost of Making Tax Digital.

Chair's comments

Commenting on the correspondence, Mr Tyrie said:

"The compliance cost estimates are so far apart that at least one of them must be wrong. I have written to both the Treasury and the Federation of Small Businesses to ask for detailed supporting methodology for their estimates.

If the FSB are right, the effects of Making Tax Digital would be crippling for many small businesses. If the Government are right, businesses have something to gain in the longer term and one would expect them to be queuing up to join the pilot."

Further information

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