When does Making Tax Digital for VAT start?
When does Making Tax Digital (MTD) for VAT start?
MTD for VAT first came into effect in April 2019 for VAT-registered businesses with a taxable turnover above £85k.
From April 2022, all VAT-registered businesses must follow MTD requirements, regardless of turnover.
This means you need to keep digital VAT business records and file returns using MTD-compatible software, such as Xero, from April 2022 (unless you have an exemption).
Making Tax Digital will apply to income tax and corporation tax in the future.
Speak to your accountant or bookkeeper to make sure you’re set up.
These videos are intended as a general guide only. Please consider what is best for your business. If you require further information specific to your business needs, please speak to your professional advisor/s