For around 1.1 million businesses that are VAT registered but with taxable turnover below the VAT threshold, MTD becomes mandatory for the first VAT period starting on or after 1 April 2022. This means accounting and VAT records will need to be kept digitally, and VAT information has to be filed with HMRC through compatible software.
The digital records could be a spreadsheet, but additional software will be needed to make the filing.
Some businesses may take the decision to deregister from VAT. We can advise you on the potential effect this might have on your business.
If you have not already made the transition to MTD VAT, we would urgently suggest you start taking action now and not leave it to the last minute!
Come and talk to us now if you are affected.
