- Overview of Making Tax Digital (MTD): MTD is UK legislation mandating that VAT-registered businesses maintain digital accounting records and submit VAT returns electronically using HMRC-compatible software. The initiative aims to reduce errors, simplify tax processes, and modernize the interaction between businesses and the tax authority.
- Compliance Timeline and Expansion: Since April 1, 2019, MTD has been mandatory for businesses with a taxable turnover above £85,000, and from April 2022, all VAT-registered businesses must comply with digital record-keeping and electronic submissions. The initiative will expand to include Income Tax Self Assessment (ITSA) for self-employed individuals and landlords starting April 2026, with further requirements rolling out in subsequent years.
Source Edicom
Latest Posts in "United Kingdom"
- UK Implements EPR Scheme: Producers Pay Fees for Packaging Waste Management Starting 2025
- Rachel Reeves Considers VAT Adjustments Amid Budget Challenges Despite Labour’s Pledge
- Cayman Implements New Taxes on Imported Vehicles
- Tribunal Rules Nitrous Oxide Not Zero-Rated Food in Telamara VAT Case
- HMRC Updates VAT Notice 700/18: New Guidelines for Bad Debt Relief Claims