Making Tax Digital (MTD) is a government initiative, changing the way businesses report their income, expenditure and taxes. The first phase commences on 1st April 2019 for VAT registered businesses with a taxable turnover above the VAT threshold (currently £85,000). For all other businesses the implementation date is proposed at April 2021.
Under MTD, taxpayers will send HMRC details of their income and expenditure in a digital format at least four times a year. HMRC’s view being that information received more regularly, tends to be more accurate.
In order to submit accounts digitally tax payers will need to integrate their accounts with compatible software, which can then connect to HMRC.
Whatever the size of your business, there is a time of great change ahead, we are ready and able to help you with this change. Here at England and Company we have taken steps to ensure that we are fully versed with MTD requirements in order to guide you and your business through the transition. We have 16 Xero certified advisors, Quickbooks champions and migration specialists and can provide full training for you and your employees.
The positive outcome being that businesses have current, up to date, correct financial information to hand on which business decision making can rely.