Making Tax Digital Compulsory for VAT
Author: Sam Hart (ACCA), LHP Associate
If you are VAT-registered and not yet filing your VAT returns using Making Tax Digital-compatible software, we need to talk. All businesses that are voluntarily registered for VAT (turnover under £85,000) also need to comply with the Making Tax Digital regime from their VAT period that begins on/after 1 April 2022.
You may have already received a letter from HMRC setting out your MTD obligations, which includes the requirement to keep digital records. Don’t panic! This is not as onerous as it sounds. The solution is to use cloud-based accountancy software and we recommend Xero, and sometimes QuickBooks and Sage, depending on your unique position. Cloud comes with many user benefits including anytime, anyplace access, automation and real-time insights – it simplifies your business finances and is nothing to be scared of.
As Platinum Xero Partners and award-winning cloud accountants we offer affordable fixed fees, training and support of the highest standard, setting us apart as a leading cloud accountancy firm in South West Wales. In fact we have 5 offices across Wales, over 70 staff, 5,000 clients and a wide range of services from payroll to probate, all under one roof.
You can transfer to our cloud accounting software required for the VAT return to HMRC in no time. We should discuss who will be responsible for keeping the digital records and submitting the VAT return from April 2022.
Get in touch if you are not yet doing your VAT reporting using Making Tax Digital-compliant software. Let’s Talk.