From April 2022, Making Tax Digital (MTD) filing will be compulsory for all VAT-registered traders and from April 2023 for most self-employed traders and individual landlords.
In light of the Coronavirus crisis, HMRC have announced that they will be delaying the digital links deadline for Making Tax Digital (MTD) for VAT by one year.
Thousands of businesses with £85,000+ turnover filed their VAT on HMRC’s Making Tax Digitals platform. HMRC have released new changes to MTD coming in April 2020.
HMRC have announced that you will not be penalised if you have missed the MTD deadline for VAT – but you should file it on time next time.
What is Making Tax Digital and how will it affect your business?
A common misconception of Making Tax Digital (MTD) is that all UK VAT registered business need to be compliant by 1 April 2019.