Making Tax Digital update

Jun 05, 2018

As readers are aware, the MTD for VAT pilot started in April 2018. At present the pilot is by invitation only and has started with a small number of the simplest businesses. Later in the summer we expect HMRC to open the pilot to more businesses and to start the public beta stage.

At present, there is no full list of software with MTD for VAT functionality. The Institute recommends in the meantime that agents and businesses already using software speak to their software supplier about the timetable for the release of MTD compliant products.

The MTD for income tax pilot also continues and moved to public beta in April. The pilot is now open to all taxpayers with one self-employment who have no other source of income and who have purchased MTD for income tax software. The pilot has also recently been extended to enable reporting for renting out UK property (excluding furnished holiday lettings).

The Institute is also launching its MTD hub in the coming weeks. In the meantime, download our MTD for VAT decision tree and check if your clients will be required to report and keep records digitally for VAT.

For more information, see: