Changes to the VAT registration threshold should not bring businesses into Making Tax Digital earlier

Jun 18, 2018

That’s according to the NI Tax Committee in its response to this call for evidence. The Committee also expressed concern should there be a “cliff edge” fall in the threshold.

The submission makes two key recommendations in conclusion:-

  1. The entry point for Making Tax Digital for VAT should be fixed at £85,000 and should not be linked to the VAT registration threshold; and
  2. Any reduction in the threshold in future should be done on a stepped and very gradual basis with any reductions only taking effect after the transitional period (if any) post Brexit has ended.

Read the response here