Everything you need to know about MTD…..
Are you ready for MTD (Making Tax Digital)?
MTD is now live and this means all VAT registered businesses (with a turnover of £85k and above) will be required to submit all future VAT returns using compatible software.
This comes into effect for the first full VAT return following the 1 April 2019, but please be warned that you will need to register for MTD and this can take at least 7 working days to be activated if you pay by direct debit or up to 72 hours if you don’t pay by direct debit.
Once you have set up your MTD account you can no longer use your present online VAT account, so any VAT returns outstanding before MTD compliance is required should be completed and submitted before setting up your MTD account.
This table below shows the sign up windows for the first quarters falling within MTD for those paying by direct debit.
|First MTD for VAT return||Sign up period starts||Sign up period end|
|Apr/May/Jun 2019||15 May 2019||29 July 2019|
|May/Jun/Jul 2019||17 June 2019||28 August 2019|
|Jun/Jul/Aug 2019||15 July 2019||26 September 2019|
What do I need to do?
You are required to keep track of your tax affairs digitally using MTD compatible software, and to update HMRC at least quarterly via your digital tax account.
There are many software options available to you. Please get in touch to allow us to find the best solution for you and to help you with this transition by calling us on 0161 249 5040.