MTD - Making Tax Digital
Making Tax Digital was introduced by HMRC to improve tax administration.
Since April 2022, the program has included smaller VAT businesses and is now mandatory for all VAT-registered businesses with a taxable turnover above £85,000.
What does this mean for business, well for a start, businesses are required to have an MTD compatible accounting software and to keep digital records and file VAT returns online.
From April 2024, MTD will include ITSA (Income Tax Self Assessment) for those who are self employed and/or have rental income above £10,000 pa. This means that you'll have to submit quarterly returns with compatible software instead of sending a self assessment tax return. If you are VAT registered, then you will still need to submit VAT returns too.
Further info can be found at gov.uk
Our team work with our clients to ensure that all returns are up to date and submitted on time.