HMRC begin their MTD campaign

21st September 2018

With the countdown to MTD just 6 months away, HMRC have launched their online marketing campaign to raise awareness of the new system to small business owners.

This follows some criticism from professionals including accountants of the lack of preparation, support and advice from HMRC ahead of the changes. This knowledge gap has been felt despite HMRC working closely with software providers to help them to bring a wide range of MTD products to the market.

The recent update includes a webpage with information including the new HMRC VAT notice, details on the MTD VAT pilot, as well as an outline of the criteria for the new scheme. It also includes a communications pack designed to support businesses and agents preparing for MTD with source material and information which can be used to support any letters, articles, presentations, social media activity, or web content planned by stakeholders.

The guidance follows on from recent ICAEW research that found that nearly 40% of businesses who will be impacted by the April 2019 legislation are still unaware of exactly what MTD is! So does this new documentation provide additional clarity that businesses and representatives have been asking for?

HMRC have started to push on their social media platforms including twitter where they link to their guidance pages for small business owners.

One of the aspects outlined within this new guidance is the VAT Notice 700/22: Making Tax Digital for VAT. This notice includes–

  • Who needs to follow the MTD rules and from when.
  • The digital records businesses must keep
  • How businesses must use software to keep digital records and file their returns from those digital records

Guidance on software still is still somewhat patchy. HMRC will not confirm until later in the year those software providers that will be accepted under the new scheme when the private pilot becomes public.

There are currently 150 software providers who have stated they’ll be MTD ready by April 2019. Although not all of these are ready with just 6 months remaining. A list of currently approved software providers can be found at:

https://www.gov.uk/government/publications/software-suppliers-supporting-making-tax-digital-for-vat/software-suppliers-supporting-making-tax-digital-for-vat

Only time will tell if software providers, accountancy firms and small business owners will feel prepared when MTD is implemented. What is clear, however, is that HMRC will begin making a more conscious effort to promote it across their platforms.

If you’re looking at your current software and need any assistance then please speak to your office contact for more information.



 
Other items in Blogs
 
Richard Alecock
13th January 2021 Information on local business grants from West Suffolk Council

Find out the up-to-date information on local business grants from West Suffolk Council during the COVID-19 pandemic:   COVID-19 support for business – grants (westsuffolk.gov.uk)

Read More »

Jonathan Moore
8th January 2021 New lockdown grants to support businesses and protect jobs

On 5th January 2021 the Chancellor announced new one-off top up grants for retail, hospitality and leisure businesses worth up to £9,000 per property to help businesses through the new lockdown.   The one-off top-ups will be granted to closed businesses as follows:   £4,000 for businesses with a rateable value of £15,000 or under…

Read More »

Chris Kelly
8th January 2021 Wrongful Trading Liability Suspension – Renewed 26 November 2020

In March 2020 the Government temporarily suspended wrongful trading provisions until 30 September 2020.   The purpose of this measure had been to ensure that company directors could continue to operate during Covid-19 without worrying about becoming personally liable for wrongful trading.   On 26 November 2020, following the 2nd lock down, new legislation came…

Read More »

Jaimie King
4th January 2021 Coronavirus loan scheme deadline extended

On 17th December the government announced a further extension to the Coronavirus Business Interruption Scheme loans (CBILS) – meaning that businesses now have until 31st March 2021 (previously 31st January) to apply.   This welcome announcement means that more businesses will be able to enter the loan scheme, benefitting from the needed funds during these…

Read More »

Nick Edgley
18th December 2020 Don’t miss 31 January deadline for filing your Self-Assessment Tax Return

The New Year is approaching and so is the deadline for filing your Self-Assessment Tax return – January 31, 2021.  Our tax experts can ensure everything is completed accurately and submitted on time.   If you need help or advice with your tax return or any other accounting or financial matters, please contact your local…

Read More »

Ian Piper
8th December 2020 BREXIT: Is your SME ready?

As 1-Jan-21 draws ever nearer what changes should your SME business prepare to adopt ready for Brexit: Exporting Goods to the EU  Despatches are renamed exports. Apply for an EORI number (which will look something like: GB123456789123). Check whether what you sell is a restricted good that requires an export licence. Check whether there are…

Read More »