New Tax Administration Systems 31st August 2016 Making Tax Digital (MTD) and BREXIT: Calls for more exemptions. The MTD consultation documents issued by HMRC on 15th August included an exemption from the proposals for quarterly digital reporting for small businesses and landlords with income below £10,000. This has prompted calls from interested parties for further concessions including an increase in the exemption threshold and a delay in the implementation of the proposals to allow more time for the impact of MTD proposals to be considered, particularly in the context of the Brexit vote. Clarification of who might be amongst the “digitally excluded” and benefit from exemption from MTD is also required. Britain’s decision to leave the EU has fundamental implications for the current system of charging and collecting VAT which, for most businesses, is based on making quarterly returns. This presents the opportunity for a complete re-think of the way in which a future UK tax on consumption should be charged and administered. Perhaps now is the time for a more joined up tax system combining the new MTD proposals and any new (digital) system for administering VAT….