MTD compulsory for VAT
If you are VAT-registered and not yet filing your VAT returns using MTDcompatible software, we need to talk.
All businesses that are voluntarily registered for VAT (turnover under £85,000) need to comply with the MTD (Making Tax Digital) regime from their VAT period that begins on or after 1 April 2022.
You may have already received a letter from HMRC setting out your MTD obligations, which include the requirement to keep digital records.
Don’t panic! This is not as onerous as it sounds. If you record your business transactions on a spreadsheet, this counts as a digital record. It is not necessary to use cloud-based accountancy software, although that solution will suit some businesses.
You can transfer your spreadsheet to us by email; we can then plug it into our MTD software to send the figures required for the VAT return to HMRC.
We should discuss who will be responsible for keeping the digital records and submitting the VAT return from April 2022.
| Action Point! |
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| Get in touch if you are not yet doing your VAT reporting using MTD compliant software. |