MP warns MTD is MTQ

4 November 2016

That’s Much Too Quick, by the way.

Just over a month ago, we wrote a blog which explained the significance of an open letter about Making Tax Digital (MTD) sent from MP Andrew Tyrie, to our new Chancellor, Philip Hammond. We intended to write a follow up based on Mr Hammond’s response;  however Mr Tyrie has beaten him to it, sending a further open letter in even stronger terms. The letter conveyed concerns Mr Tyrie had heard from the Federation of Small Businesses and representative accountancy bodies, highlighting that

“the introduction of MTD should not be rushed”.

Mr Tyrie appears to be fast becoming the champion of small business within government and with his background including:

  • chairing the Treasury Select Committee;
  • advising numerous Chancellors of the Exchequer;
  • acting as shadow Financial Secretary; and
  • private sector work as an economist before becoming an MP.

He may prove a thorn in the side of Mr Hammond, with regard to pushing this policy through.

“pilot its introduction, perhaps over several years”

Of course, MTD was introduced by Mr Hammond’s predecessor, George Osborne, and since his promotion to Chancellor, we’ve heard very little from Mr Hammond other than murmurings of fiscal stability to counteract the uncertainty resulting from Brexit. On 23 November, he will deliver his first Autumn Statement and this may be the first insight we get into what type of Chancellor he intends to be.

Mr Tyrie does not appear to want to wait until 23 November, though, closing his letter:

“I originally wrote to you on MTD on 15 September. I would be grateful for a prompt reply to both my letters”

There is now less than a week left to respond to the seven open consultations which the government are running on MTD.  Therefore be quick to share your thoughts as time  is running out To find out more about Making Tax Digital and what it means for you, please get in touch with Graham Boar or your usual UHY adviser.