Making Tax Digital

Making Tax Digital Is Coming

Are you ready for the Making Tax Digital (MTD) revolution that will affect your business from 1 April 2019?

 

So What’s Changing on 1 April 2019?
As a VAT registered business with a turnover in excess of the VAT threshold, currently £85,000 a year, from 1 April 2019 you will be required to keep business accounting records in an electronic format and submit future VAT returns electronically using connected software.  The option to use the Government Gateway for submitting VAT returns will cease.

 

This is just the first step towards the Treasury-driven implementation of MTD.  Subsequently, you will be required to submit quarterly returns of ‘real time’ business accounts information as well.  This will effectively be the delivery of Quarterly Accounts to HMRC in addition to final Annual Accounts, and will require up-to-date electronic accounting information to be available throughout the year.

 

Act Now, We Want to Help
To make these reporting changes as smooth and painless as possible, we want to assist you and your business to transition from existing bookkeeping and accounting processes to digital connected accounting software.  Acting now will ensure everything is in place, tried and tested all in good time.

 

Read our latest blogs and keep up with the most recent developments as well as our newsletters and events created to keep you up to date with the MTD journey.

 

Our latest Making Tax Digital Newsletters can be found below –

 

Issue 1 – Making Tax Digital… are you prepared?

Issue 2 – MTD – Making Tax Digital or Making Tax Difficult?

Issue 3 – Making Tax Digital … on hold for new Parliament

Issue 4 – Making Tax Digital… a reminder

September 2017 – MTD Leaflet

 

   



 
Latest Blogs in Making Tax Digital
 
Scott Butcher
25th November 2020 Making Tax Digital for Corporation Tax

Earlier this month HMRC published their consultation and plans for Making Tax Digital for corporation tax (MTD for CT).   HMRC have proposed the main elements of the scheme to be:-   All entities within the charge of corporation tax will need to maintain their records digitally; Those entities should use MTD compliant software to…

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Richard Alecock
24th November 2020 Making Tax Digital for VAT – The next steps

As HMRC’s ambition to become one of the most digitally advanced tax administrations in the world continues so the way the tax system works to become more effective, more efficient and easier for taxpayers to get their tax right the next steps have been issued by HMRC.   Currently VAT-registered businesses with a taxable turnover…

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Stephen Malkin
22nd July 2020 Government sets out draft agenda for a 21st century tax system

Today the government has set out its draft agenda for a 21st century tax system, they say these are the next steps in an ambitious plan to create a modernised digital tax system fit for the modern world.   This is part of the Treasury’s long term tax digitisation plan, which is designed to increase…

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Stephen Malkin
22nd July 2020 Are you MTD compliant?

Over the last week or two HMRC have begun getting in touch with small businesses across the UK who are not complying with Making Tax Digital (MTD) but are required by law to do so.  These businesses need to take action now to avoid any potential penalties being levied.   If you are a VAT…

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Trina Nunn
2nd April 2020 COVID-19: HMRC Delays MTD ‘Digital links requirement’ until 1 April 2021

In light of the Covid-19 pandemic presenting unprecedented challenges for everyone, HMRC has announced a one year deferment to the requirement to digitally link separate software programmes when preparing your VAT return. The soft landing period of MTD (Making Tax Digital) had originally been in place for businesses to make a manual transfer – this…

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Thomas Carter
6th March 2020 Making Tax Digital – Soft Landing Period Ending Soon

Have you been waiting for the soft-landing period to expire before worrying about your MTD for VAT software? VAT registered businesses in the UK with taxable turnover above £85,000 – are due to come out of soft landing effective from their first VAT return period starting on or after April 1st 2020.   HMRC have allowed…

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Scott Butcher
7th June 2019 Making Tax Digital – when you need to sign up and what you’ll need

We are now two months past the start date of the 1st April 2019 for Making Tax Digital for VAT and into the last month of what will be some businesses first VAT quarter under Making Tax Digital. Some businesses may not be aware that even though they may be on MTD compliant software that…

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Richard Alecock
24th May 2019 Making Tax Digital for VAT: Supplier statements now acceptable

In a welcome about turn, HMRC has changed its controversial policy on the recording of purchase invoices under Making Tax Digital for VAT. This will mean a huge time-saving for many businesses using the cash accounting scheme.   Under the cash accounting scheme, input tax is only claimed when payments are made to suppliers, and…

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Lisa Smith
9th April 2019 Digital Records for VAT – HMRC Guidance published

  From 1 April 2019, most businesses with a taxable turnover above £85,000 are required to follow the rules for Making Tax Digital for VAT.  As a result, HMRC has published new guidance on record keeping, which  explains what records a business needs to keep digitally if it has signed up for Making Tax Digital…

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Darren Weir
7th March 2019 How to submit a VAT Return using Sage

Submitting a VAT Return using Sage is a simple process, however before you can do this you need the correct log in details to do so.  These log in details are commonly known as a Government Gateway ID. As a Sage user that is not currently using Sage to submit your VAT returns, you will…

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