Taxpayers have benefited from recent changes allowing cash accounting for sole traders and simplified company reporting. The press releases accompanying these changes talk a lot about simplification, with the sub-text that enterprise Britain enables small businesses to deal easily direct with HMRC and companies house. There is no need to pay an accountant so say the politicians.
The reality for small business owners is very different.
You may know that exports are zero rated and think that there's nothing else to worry about. You're expecting to recover VAT on your costs so you're in a net recovery position each month. You might even be thinking of submitting monthly VAT returns to optimise your cashflow.
However, to be correct, you need to be able to agree with the following statement.