Are you ready for Making Tax Digital?

Category: Amber AccountingMaking Tax Digital - Posted On: Sep 14 2018


HMRC have embarked on a massive project, Making Tax Digital (MTD), to insist that most businesses, including sole traders and landlords, keep their accounting records using computer software. The aim is that the software will automatically update HMRC with relevant data on their business income and expenses on a quarterly basis.

From April 2019 VAT registered businesses with turnover above the VAT threshold (currently £85,000) will be required to keep accounting records digitally, and file their VAT returns to HMRC through MTD software. Other businesses are likely to follow from 2020.

What does it mean?

Under MTD, businesses and landlords will be required to keep digital accounting records using accounting software such as Xero, Quickbooks or Sage. Spreadsheets will be accepted but will need to be uploaded using appropriate bridging software or excel add-ons. Manual records will not be accepted.

Therefore, if you currently use manual records, you’ll need to consider updating your existing process.

How can we help?

We have a dedicated Virtual Finance Office (VFO) that can offer our expertise and support with your day-to-day financial controls. We can assist in ensuring that your existing software is MTD compatible or if you currently use manual records or spreadsheets and need to implement cloud accounting software, our team can advise on the best online package for your business. They can help with the initial set up and training, or can provide support and do your bookkeeping on your behalf to ensure you are MTD compliant.

Would you like more information?

You can read more about how our VFO, part of our Amber Accounting department can help here.

If you would like to discuss your own business requirements, you can contact our team who will happily talk you through your options, tailored towards your business.

Please contact our Amber Accounting department using the details below.

Email: info@amberaccounting.co.uk

Tel: Dundee – 01382 312140 / Forfar – 01307 474274