HMRC have been and will continue to bring in the new regulations and systems for making tax digital (MTD). It started with VAT back in April 2019 when all VAT registered businesses with turnover over £85,000 were required to submit VAT returns under making tax digital. From April 2022 all VAT registered businesses regardless of their turnover will be required to submit their VAT returns under MTD.
It will then progress onto MTD for income tax, where self employed business and landlords with annual business or property income over £10,000 will have to follow the new MTD rules from April 2024. This will involve keeping and sending business records electronically to HMRC on a quarterly basis, instead of annually.
Finally it will then bring in MTD for corporation tax. This has not yet been timetabled and we have been informed it will not be mandated before 2026.
At Botting & Co we have already assisted our VAT registered clients ensure compliance with MTD by providing comprehensive cloud bookkeeping solutions. We are now looking to assist current and new clients that are self employed businesses and landlords.
Come talk to us about ensuring making tax digital delivers a positive change for your business.