5 February 2019
The UK tax authority (HMRC) recently confirmed that it has extended the Making Tax Digital for VAT pilot available to members of VAT Groups, partnerships and companies using the flat rate scheme.
During October 2018, the pilot was opened up to the public for testing and this enabled most taxpayers to submit VAT returns using the new system.
As stated in our previous article, MTD will require VAT registered businesses to use special software to provide summary tax data directly to the tax office electronically. This data will then be used to automatically generate tax records, instead of manually calculating and filing a VAT return. Once fully implemented the new system will also synchronise VAT reporting requirements with income tax and corporation tax obligations for resident UK businesses.
In preparation for MTD, Fiscal Solutions have developed a software to ensure compliance when filing client returns.
If you have any concerns about MTD and compliance, please contact us for advice and information.