What is Making Tax digital?

Making Tax Digital is a UK government initiative designed to ensure a more timely and accurate recording and submission of VAT returns.

When did it begin?

On the 13th July 2018 the government eventually produced notice 700/22 setting out the rules for making tax digital for VAT applying from 1st April 2019.

Who does it affect?

Currently MTD only affects VAT registered businesses with a turnover above the current VAT registration threshold (currently £85,000). These businesses will be required to keep their records digitally (for VAT purposes only) and provide their VAT return information to HMRC through Making Tax Digital compatible software.

Why are we Making Tax Digital?

Making Tax Digital 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.

​

HMRC’s ambition is to become one of the most digitally advanced tax administrations in the world. Making Tax Digital is making fundamental changes to the way the tax system works – transforming tax administration so that it's:

​

• More effective

• More efficient

• Easier for taxpayers to get their tax right

How we can help

We have worked hard in providing solutions to our clients across a range of software. We started this process for our clients over a year ago to ensure that each client was setup and supported in the way that suited them and their business best. While it is true that a few clients don't like the change, the majority are saying that they wish they had done it sooner.

Our experts can help with software conversion, advice and training and ensure if you are already using software, that it is compliant with the rules and regulations of Making Tax Digital.

Explore more

Starting a business

Download our free guide to help you get started. See helpful tips, legal requirements and more.

Changing Accountants

Is it time to switch accountants? It's not as hard as you may think. Find out more about how the process works.

Software & Solutions

We will show you how you can use accounting software to benefit you and your business, complying with MTD.