Making Tax Digital for VAT
The CIOT has produced a chart which compares the current position with the expected position under MTD for VAT in detail.
Main issues for consideration
(27 July 2017, updated 30 October 2017, updated 9 May 2018, 10 August 2018, last updated 14 November 2018)
Joining the pilot for Making Tax Digital for VAT
The pilot was opened to sole traders and limited companies that are on standard accounting period VAT returns on 16 October 2018, for those who are up to date with VAT, but who are not:
- a trust or charity,
- part of a VAT group or VAT Division,
- trading in goods or services with the EU,
- based overseas,
- a partnership,
- submitting annual returns,
- making VAT payments on account,
- using the VAT Flat Rate Scheme, and
- a business that is newly registered for VAT and have not previously used the VAT online account to submit its VAT Return, and
Businesses that have incurred a default surcharge in the last 24 months could not initially join the pilot but have been able to join from early November 2018
Businesses that pay VAT by direct debit will not be able to sign up for the MTD for VAT pilot in the 15 days leading up to the VAT return submission date.
More information and the sign-up link can be found here.
HMRC Talking Points webinars
Talking Points are weekly online digital meetings for tax agents and advisers. They usually last 45 minutes to an hour and focus on topics agents have said they’re interested in or on new issues identified by agents and HMRC that may have widespread impact. HMRC experts will be available to answer questions.
All HMRC’s Talking Points webinars including those focused on MTD are listed on GOV.UK where it will also tell you how to register. Recordings of past webinars are also available from this link.
Agent Services Account
In order to access the new MTD services and to supply updates on behalf of clients, agents will need a new Agent Services Account (ASA). This is in effect a new Government Gateway to access the new service. Each agency will have just one account per firm, and will be able to set up staff with administrator or delegate access to the account. Many firms may already have created an ASA in order to submit Trust Registration Service returns.
A basic outline of the ASA and how to set one up can be found here.
Link to our MTD webinars
Making Tax Digital webinar – VAT and Income Tax
The slides are available to download here.
We have compiled a list of Q&As from questions that were sent to us before and during the broadcast, and this can be found here.
(7 June 2018)
Making Tax Digital – CIOT and ATT webinar
(23 September 2016)