Making Tax Digital (MTD) is an HMRC initiative designed to upgrade the UK tax system for ease and efficiency. Starting 01 April 2019, VAT-registered businesses with a turnover above £85k will be required to keep digital records and submit VAT digitally.
We have everything you need to know about MTD. From planning and preparing to upgrading your software, you can rest easy knowing we’ll help you get MTD ready.
Making Tax Digital explained
Making Tax Digital for VAT requires VAT registered businesses with taxable turnover above the VAT registration threshold to keep records in digital form and file your VAT Returns using Denovo Legal Intelligence software.
The difference under Making Tax Digital is that your digital VAT Return records must communicate with HMRC digitally via their API platform.
If your digital records are up to date, Denovo Legal Intelligence software will be able to collate and prepare your return for you. It will then show the return to you and ask you to declare that it is correct and confirm that you want to submit it to HMRC. Once you have submitted your return you will receive confirmation through your Legal Intelligence software that it has been received.