Making Tax Digital for VAT has been mandated and live since April 2019. If you haven’t yet signed up for BTCHub and your Agent Services Account with HMRC, BTCSoftware has now published an updated guide following HMRC recent updates for Agents and Businesses in association with AccountingWeb.
The MTD impact on businesses
According to HMRC, many of the 1.2 million businesses impacted by the Making Tax Digital rules would need to file their first quarterly VAT return by the VAT filing date to the department using the software. Businesses, which plan to pay by direct debit, must register by 27 July. Did you know this? Making Tax Digital is not new to the accounting industry, as it was introduced four years ago; however, HMRC has implemented MTD for VAT this year. Its change is expected to benefit businesses and practices to get onto the right tax codes and reduces losses for both HMRC and businesses.
Making Tax Digital Solution from BTCSoftware
BTCHub is a cloud-based software that allows you as an agent to file VAT returns on behalf of clients via APIs to HMRC. This means your clients’ data transmits digitally from your existing VAT spreadsheets or bookkeeping package to HMRC, and to allow this you need to sign up for a new Government Gateway account. Download the guide to understand how the process works, and how to link your existing clients into your own Agent Services Account.
MTD Key Facts:
- VAT Returns for businesses with taxable turnover of over £85,000 must be submitted with Making Tax Digital compatible software such as BTCHub.
- MTD for VAT was mandated from April 1st, 2019. This means the first return period starting on or after this date must be Making Tax Digital compatible.
- Businesses that pay by Direct Debit must sign up at least 15 working days before submission.
- Once your clients are set up on MTD for VAT, they will no longer be able to use VAT Online Services.
Step-by-Step Guide for you
Our guide to Making Tax Digital sign up takes you step-by-step through the process as either an agent or a business. We’ve also included helpful links to further information. Click through to Accounting Web to download your copy of the white paper now.
How we can help you
To speak to one of our team about signing up to BTCHub, please call us on 0345 241 5030 option 1, or email sales@btcsoftware.co.uk
