The Federation of Small Businesses has backed a call for a radical shake-up of the tax system to be delayed for three years.

It has welcomed a report from an influential House of Lords committee, which calls for a delay in the launch of the Government's 'Making Tax Digital' programme until 2020.

The cross-party Economic Affairs Finance Bill sub-committee has also recommended that the smallest and most vulnerable businesses are exempt from plans to force companies to report on a quarterly basis.

This latest report comes after the Treasury Select Committee warned in January that the programme "could be a disaster" for small firms.

FSB national chairman Mike Cherry said: "Today's cross-party report from the House of Lords backs FSB's proposals to make the Government's Making Tax Digital programme work.

"A delay to 2020 would give hard-pressed businesses time to get their systems ready, and a higher exemption threshold would take out those that are going to be struggling the most with this change.

"In addition we want to see a more comprehensive Impact Assessment as more details of the scheme become clear."

What do you think? Email mark@moosemarketingandpr.co.uk 

Picture credit: pixabay