As one of the selected firms by Xero to beta test Xero Tax it has been a pleasure.
In its testing stage Xero tax has allowed us to file FRS105 micro entity accounts without having to leave the Xero platform. (FRS 102a will be released in Feb/March)
We at LHP have been making full use of Xero with clients taking on the bookkeeping, staff using Xero working papers and now the final ingredient, filing with Xero tax.
As Xero is online the first steps is to review the company data against what is held on companies house. This is great for the change of addresses and directors.
The accounts check is also impressive. Xero will review your accounts for prepayments, accruals, corporation tax and if this years reserves match last years on companies house.
Once the check on the accounts are complete we move to the CT600 for review. Xero will use it’s Fixed Asset Register to pick up and additions to add to your capital allowances calculation as well as disposals. R&D claims are also possible through Xero Tax.
Once all is complete Xero will generate FRS105 accounts and CT600 with tax complications. This can be sent for partner review. Once review is passed it can be sent to the client for E-signature.
Now that all the documents are signed in a click of a button you can file your annual accounts and CT600 directly to Companies House and HMRC.
The one point I would like to finish on is that through the whole process I have not needed to MAP one account.
-Cerith Williams, Senior Accountant.