Making tax digital?

[Cathy Johns]

Hi anyone got info on Making Tax Digital which is due 2019/20 . As far as I can see this means VAT returns would be completed electronically via some software straight from the business system (e.g. sage or whatever) or possibly from a smart pc based till boking system. Maybe its like when you make an employer submission with the pay roll run i.e. the info is uploaded to HMRC as you do the payslips. At the moment for VAT you fill in an online form and that's it.
Thanks
CJ

 

[salonfrog]

Hi Cathy

You’ve got the main points there.

VAT returns to be completed and submitted end to end without manual intervention. So yes, you have 2 options:

Use your accounting system (eg Sage as you mentioned). You can’t use your till system because VAT relates to your costs as well which till systems won’t know.

Option 2 is to get an accountant to do it for you.

There’s the usual quarterly returns to do and then a new final year confirmation. HMRC have issued a list of approved accounting softwares so worth checking:

https://www.gov.uk/government/publi...ppliers-supporting-making-tax-digital-for-vat

The other Taxes will follow from 2020 in the same way.

Any questions, just PM me!

Andrew | Salonfrog