Making Tax Digital Update
We’ve been slightly concerned that some of the issues around MTD are being misreported.
For the absence of doubt:
- The existing HMRC VAT portal will not be closing in April 2019. The portal must remain open for businesses voluntarily registered for VAT that are under the VAT threshold. The new rules on MTD apply only to those businesses over the threshold.
- MTD for VAT is not being postponed. A number of clients have heard this being bandied about by other software companies. It is simply not the case. There are a very small proportion of mandated businesses which have been deferred until October 2019 but the vast majority must comply.
- Businesses can comply with MTD whether they are using cloud-based or on-premise accounting software. Again, there has been some nonsense talked about having to move to a cloud-based solution in order to send HMRC your digital information. Dynamics NAV and Dynamics 365 Business Central will both offer MTD solutions. More details can be found here – VAT Notice.
- Business can choose to submit their MTD data via a spreadsheet. There are software solutions which allow a business to compile their digital data for HMRC in a spreadsheet format and submit this electronically. We can advise users of their options.
Are You Supported?
MTD solutions can be found here at MTD Software on the HMRC site.