MAKING TAX DIGITAL - VAT RETURNS

Published 24 March 2022

Since April 2019 , VAT registered businesses in the UK above the registration threshold which is currently £85,000 are required to submit their VAT returns using compatible digital software to submit and store their VAT information to HMRC.
 
From the 1 April 2022, ALL VAT registered businesses will be required to use Making Tax Digital (MTD) for their VAT accounting regardless of their turnover.  This also applies to rental properties which prepare VAT returns.
 
The key point is that it will no longer be possible to submit VAT returns manually via the HMRC website for your first full VAT period after April 2022.  This must be done via software.
 
If you fail to follow the MTD rules and do not submit your VAT information to HMRC using the compatible software, you will be subject to fines and penalties.
 
There is not a lot of time left until the deadline especially if you have to update your internal processes or keep alternative records.  Dealing with the compliance changes can be challenging but at Mayes Accountants we are willing to guide you through the process.   We can work with you in advising on software or taking over the process from you freeing up your time to work on your business.

​Please contact us for more information and advice.