Making Tax Digital: how to comply
Making Tax Digital (MTD) 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. It is an HMRC requirement. Romsey based Accountant, Clear Vision, highlights the key changes that MTD will bring and what to do next to make sure you’re ready.
Making Tax Digital is less than 6 months away
MTD begins on 1 April 2019 with MTD for VAT. From that date, VAT-registered businesses above the threshold of £85k will have to keep digital records and submit VAT returns using compatible software.
Other components of MTD, such as income tax and corporation tax, have been placed on hold until April 2020 at the earliest.
What will HMRC need when MTD is in effect?
HMRC have announced the records that they require within the MTD quarterly submissions:
- Business name
- Address of principal place of business
- VAT registration number
- VAT accounting schemes (if applicable)
- Tax point of sales/purchases
- Net value of sales/purchases
- Rate of VAT charged on sales/purchases
How to make your tax return digital
Clear Vision, a financial management company in Romsey, can help by using MTD compatible software to file all your accounts. It is fast and easy to do, and we can take care of everything. We can ensure MTD is a smooth transition for you, without being a burden. Contact us at Clear Vision with any questions or to see how we can help you.
