Making Tax Digital (MTD)
Introduction to Making Tax Digital
Making Tax Digital is a key part of the government's plans to make it easier for individuals and businesses to get their tax right and keep on top of their affairs.
HMRC's ambition is to become one of the most digitally advanced tax administrations in the world. Making Tax Digital is making fundamental changes to the way the tax system works - transforming tax administration so that it is:
- more effective
- more efficient
- easier for taxpayers to get their tax right
Making Tax Digital for VAT
The government have taken a major step forward in this ambition with the introduction of Making Tax Digital for VAT.
VAT-registered businesses with a taxable turnover above the VAT threshold are required to use the Making Tax Digital service to keep records digitally and use software to submit their VAT returns from 1 April 2019.
The exception to this is a small minority of VAT-registered businesses with more complex requirements. As part of planning for the VAT pilot, HMRC continued to engage with stakeholders and listen to their concerns about business readiness for Making Tax Digital. We have made the decision to delay mandation for these customers until 1 October 2019 to ensure there is sufficient time to test the service with them in the pilot before they are mandated to join - see the timeline below.
Great News!
Carole Walker Business Solutions are MTD Ready and our accounting software is fully compliant for the new digital tax era. We are also a Making Tax Digital ProAdvisor for QuickBooks™.
Any questions about getting your business ready for Making Tax Digital? Give us a call on 01462 681144 or Email Us.