The biggest change coming to the tax world is Making Tax Digital. When it comes in April 2019 it will mean that the majority of businesses will need to store and submit their records digitally. They will have to use a compatible piece of software for all submissions. As one of the top names for VAT returns London has, we would like to offer more information about this topic following an update from HMRC.
HMRC gave an update on Making Tax Digital on 12th February 2019. The main thing to take away from it is that businesses can join a pilot scheme rather than wait until April. This would give them a chance to take part in a test of the scheme. A business must be in the UK to take part though; overseas companies cannot sign up.
Who can take part?
When MTD comes into force most businesses who earn over £85,000 a year in turnover will need to submit VAT returns digitally. With this in mind the people who can sign up for the pilot is broad. All you need to be is VAT registered and based in the UK. This includes sole traders, partnerships, VAT groups, trust or non-profit organisations.
The big advantage of signing up for the pilot is you get more time to look at the software to choose the right one for you. This is important because it will help you to get comfortable with it.
If you already use software it is vital you check it will be suitable for MTD. You can view a list of compatible products on the Gov.uk website. You can also ask your provider if someone else handles the return for you.
To sign up you need some important information. This includes your VAT registration number as well as your ID and password for the Government Gateway. Make sure you check for a confirmation email before submitting any information.
Brian G Lonis appreciates that MTD could be a tough change for businesses. We are on hand to help, offering the most reliable VAT returns London can offer. Trust our team to get everything right for you.
If you have any questions please get in touch with us.