HomeInsightsBlogVAT: Digital Delay

Insights

Blog // 29/10/2018

VAT: Digital Delay

Understanding the implications of making tax digital to SMEs

HMRC have announced delayed implementation of the Making Tax Digital for VAT (MTD) rules for certain businesses.  Whilst most businesses trading above the VAT registration threshold will have to comply with the new MTD rules from 1 April 2019, certain businesses have been given a further six months to prepare. 

If your business falls into one or more of the following categories, MTD will not become compulsory until your first VAT return period commencing on or after 1 October 2019:

  • VAT group and divisional registrations;
  • Businesses based overseas;
  • Annual Accounting scheme users;
  • Businesses in the Payments on Account (PoA) scheme;
  • Trusts;
  • Not for profit organisations which are not set up as a company; and
  • Certain public sector entities, local authorities and public corporations

Businesses trading above the VAT threshold, which do not feature in the above list, must be MTD compliant in time to submit their first VAT return with a period commencing on or after 1 April 2019. The deadline is fast approaching, so if you have not yet started preparing for MTD, you should act now.


How can we help?

Menzies LLP has a great mix of software and VAT expertise to help your business get MTD compliant. We have already helped hundreds of clients move their accounting records online, apply best practice processes and controls, and take advantage of the associated efficiencies and technologies. MTD for VAT provides yet another compelling reason to review your business’ record-keeping and ‘future-proof’ your systems. Through tailored guidance and training, we can provide bespoke support to help you turn digital. We have already seen these benefits become reality for hundreds of clients that have moved their records on to a digital platform.

For further information or help with MTD, please speak to your usual Menzies contact, Robert Facer (rfacer@menzies.co.ukor 020 7465 1975) or Simon Armstrong (sarmstrong@menzies.co.uk or 020 7465 1920).

FIND OUT MORE ABOUT THE MAKING TAX DIGITAL (MTD) FOR VAT REQUIREMENTS.

Print Friendly, PDF & Email


RELATED CONTENT
  • Finding a solution to your firms succession conundrum

    Succession is widely regarded as the most significant issue facing law firms at present. Senior partners are often embroiled in problems surrounding cash-flow management, cyber security and PI renewals, but what should perhaps take greater priority is the need to find a solution to this conundrum. Prepared for Brexit but not retirement The majority of […]

    Print Friendly, PDF & Email
    READ MORE >
  • Black Friday 2018 what to expect this year?

    Santa Claus is coming and maybe just as importantly for retailers, Black Friday is even closer. Black Friday is now often seen as the day that kicks off the festive season spending sprees, but what can we expect to see from this year’s extravaganza. Well, before looking at 2018, it’s worth considering how this phenomenon […]

    Print Friendly, PDF & Email
    READ MORE >
  • Entrepreneurs’ Relief – Unwelcome uncertainty for businesses considering a sale

    The recent Budget contained important changes to Entrepreneurs’ Relief (ER), which have introduced unwelcome uncertainty for any business owners who may be considering a sale. Broadly, ER can currently reduce the rate of capital gains tax from 20% to 10% on capital gains of up to £10 million, a maximum saving of £1m, and so is […]

    Print Friendly, PDF & Email
    READ MORE >