MTDfV started on 1st April 2019 for VAT registered businesses with turnover over £85,000 in any 12 month period.
If this affects you, you will need to file your VAT returns via third party software and your records must be kept digitally. The first returns affected by this are:
Mar, Jun, Sep & Dec – quarter ended 30th June 2019
Apr, Jul, Oct & Jan – quarter ended 31st July 2019
May, Aug, Nov & Feb – quarter ended 31st August 2019
You will need to sign up for MTDfV via Gov.UK. The old Government Gateway will be closed.
If you currently use accounting software you will need to check that it is compatible with MTDfV and possibly upgrade to the latest version.
If you do not currently use software (i.e. you use Excel or a manual cashbook), please speak to us to discuss your best way forward. There are a number of products out there that will do the job – we recommend Xero – a cloud based package that can incorporate an automatic bank feed (so that all your bank transactions are automatically brought into the software). You can also use it to create invoices and run customer and supplier ledgers.
If you’d like to try it out, please speak to Henry or David.