Three days until MTD for VAT kicks in

For VAT periods starting from 1 April 2019 about 1.2 million businesses above the VAT threshold will have to keep their records digitally and submit their VAT returns using MTD-compatible software. 

HMRC is urging businesses to get ready now. It states that more than 70 000 businesses have already signed up to the MTD pilot with another 3 000 signing up every day.

Businesses that are either not represented by an accountant or do not already use software will need to select a program and sign up to MTD then authorise their new software for MTD. HMRC’s webpages provide information on a variety of products from free software for businesses with more straightforward tax affairs to more sophisticated paid solutions. The pages also show bridging software that can be used with a spreadsheet for businesses that do not want to change their underlying record keeping system.

A survey for...