VAT increases to 20% with effect from the 4th January. The normal tax point rules…
New year is almost upon us, time to clear those desks and start the new year with less clutter.
You can start with getting rid of those annoying little receipts – you know the petrol receipts, the parking tickets, the small value postage receipts and the like.
HMRC do dictate that you keep a copy of such receipts for 7 years, BUT the copy can be either paper or electronic.
With the rise in the use of smartphones, such as the iphone, there is a great and simple way of storing all those receipts electronically.
Firstly, scan the receipt onto your phone. There is an iphone app here that acts as a scanner. That means you can dispose of the receipt straight away – no more clutter in your pocket or wallet for weeks on end!
Secondly, I’d never recommend storing the scanned receipt on your phone. So much can go wrong, such as getting the phone stolen or it crashing. Once you’ve scanned the receipt, I’d recommend using a free online storage application, such as Dropbox to transfer your receipts to.
Finally, if you use one of the great online bookkeeping software packages, such as Kashflow, Free Agent or Xero, you can then upload your receipt from Dropbox into the software and store it as an attachment to your accounting entry. That way, the receipt will always be “tagged” should you ever need to retrieve it.
There you have it, three simple steps using today’s technology that will ensure you never have another lost receipt, another receipt not claimed for or a pocket full of old receipts!