Anyone hoping for a last minute reprieve from the introduction of making tax digital was disappointed. The measure will go ahead as planned in April 2019, meaning that VAT registered businesses with turnover over the VAT threshold (£85,000) will be required to keep digital records and make digital returns from the first VAT return starting on or after that date.
Many of our client are already using digital accounting software such as Xero, Quickbooks or Freeagent. These businesses will be able to comply with the new requirements without difficulty.
Clients using desktop accounting software will need to contact their software provider to ensure that they will be compliant by April 2019.
Anyone keeping manual records will need to adopt a new approach.
We will be sending out a separate newsletter with more information on MTD very shortly.