HMRC will close the VAT online account for filing returns to most businesses from 1 November 2022.
Since 1 April 2022, all VAT-registered businesses are required to comply with Making Tax Digital (MTD) requirements. This includes using compatible software to keep VAT records and file VAT returns.
Despite this requirement, it has remained possible for businesses to file VAT returns through their VAT online account. ICAEW’s Tax Faculty understands that there are several hundred thousand businesses filing in this way.
From 1 November 2022, businesses that file VAT returns on a monthly or quarterly basis will no longer be able to submit returns through their VAT online account. They must file through MTD-compatible software. Businesses that do not file their VAT returns through MTD-compatible software may have to pay a penalty.
Source ICAEW
