Making Tax Digital

We give you more detailed information about preparing for, managing, and submitting VAT in the UK with the Making Tax Digital initiative.

Kate

Making Tax Digital: don’t miss the August 7th deadline

A major date in the MTD calendar is fast approaching: August 7th is the first compulsory deadline for submitting quarterly VAT Returns since the roll-out of HMRC's Making Tax Digital initiative.

Although Making Tax Digital came into effect on April 1st, until now, you might not have noticed any changes in the way you report your taxes, and you might not have made any steps towards preparing your business for online VAT Returns. But with the first major MTD deadline fast approaching, all of this is about to change.

In this blog post, we look at what August 7th means for businesses using HMRC’s Making Tax Digital scheme and what you should do to make sure you don’t miss this deadline.

Don't miss the August 7th deadline for online VAT Returns under Making Tax Digital. Sign up to Debitoor Making Tax Digital software today.

Steve Bicknell

Sign up for Making Tax Digital - is it the right time?

While there is a considerable amount of information available regarding HMRC’s new Making Tax Digital (MTD) initiative, it can quickly become confusing for businesses that are required to now submit their VAT returns online with approved software.

Get the timing right for MTD sign up. This calendar and computer are all you need.

For example, many businesses were not aware that it is necessary to sign up for MTD. Qualifying businesses are not automatically able to submit VAT returns online.

Businesses already working with HMRC-approved software also had the belief that this meant they were already signed up for MTD, or that by connecting through their current software, this would sign them up. This is not the case.

Whitney

Preparing for Making Tax Digital - 3 things you can do now

It’s almost here. In less than a week, the April 1st Making Tax Digital deadline arrives. What does this mean for businesses? For some, it will mean that they will need to use HMRC-approved software to digitally keep track of their records and submit returns directly to HMRC online.

If you already know that your business falls under the requirements for using Making Tax Digital software and you’re a Debitoor user, then you’re already ahead of the game. But just in case you’re just getting started, here is a quick list of three things you can do now to get ready:

Do you have a checklist like this one for the arrival of Making Tax Digital? Debitoor accounting & invoicing software is HMRC-approved.

Whitney

HMRC’s Making Tax Digital: A Debitoor Q&A

The start of Making Tax Digital for businesses over the taxable turnover threshold of £85,000 is just around the corner. With April 1st coming up quickly, VAT-registered businesses in the UK are looking for answers and solutions for managing VAT returns under the requirements laid out by this new regulation.

Here at Debitoor, we’ve also been hard at work preparing for the April 1st deadline, to ensure that the software offers the options necessary for our users to continue their invoicing and accounting needs and meet the requirements of Making Tax Digital software.

In this article we have a short set of questions and answers about MTD in general, plus specific information about Making Tax Digital and Debitoor.

Debitoor accounting and invoicing software is HMRC approved. Submit your VAT returns easily from your account to HMRC, just like on this computer.

Jack

Rules for digital records keeping as part of Making Tax Digital

Before you start panicking - if you're used to keeping paper records or doing things manually, this doesn't suddenly mean that you have to start scanning everything you've ever done so that there's a digital copy of it all. You can carry on with a paper based system so long as each individual transaction is also recorded and stored somewhere digitally (to later be communicated to HMRC).

Jack

Moving from Excel to online accounting software for Making Tax Digital

By this point, you've probably heard somewhat of HMRC's new Making Tax Digital Scheme that's set to roll out on the 1st of April 2019. Or you might be very familiar with it.

HMRC want to use their Making Tax Digital initiative to bring tax reporting and compliance up to date - and for HMRC themselves to become one of the most digital advanced tax administrations in the world.

As it stands, all businesses that are over the VAT threshold of £85,000 a year turnover and are not complex in nature will have to comply with HMRC's Making Tax Digital scheme when it's introduced in April.

If your business is considered complicated, then Making Tax Digital will not come into effect for you until October 2019.

Whitney

HMRC and your VAT

In 2019, HMRC is introducing the newest regulations involving the digitisation of tax in Making Tax Digital for business. The new requirements will apply to any business with an annual turnover above the VAT threshold, as well as those that have voluntarily registered for VAT.

HMRC is introducing Making Tax Digital, which means all businesses including those in the buildings from this picture of downtown London, will need to use software to report VAT