Michaela Merz

UK: Making Tax Digital – your new obligation as from 1 of April 2019

1 Comment

HMRC recently published their final version of the legislation introducing the new MTD VAT reporting obligations, which are to take effect from 1 April 2019.

From this date, businesses with UK taxable turnover above the VAT registration threshold (currently ₤85,000 per annum) will need to keep and preserve digital records and submit UK VAT returns using compatible software.

What does this mean for you?

Taxpayers will be required to an “application programming interface” (API) which will enable electronic communication with HMRC. They will also have to use “functional compatible software”, i.e. a software program or set of compatible software programs, the functions of which include:

  • recording and preserving electronic records in an electronic form;
  • providing information to HMRC from the electronic records and returns in an electronic form and by using the API platform; and
  • receiving information from HMRC.

HMRC will not be providing taxpayers with software, but says it is working with software suppliers to help them design functional compatible software.

For more information, get in touch with:

Tom Birch
tom.birch@pwc.com
+44 7703 563 631

 

Bilquelle: Tony Hegewald / pixelio.de

 

One thought on “UK: Making Tax Digital – your new obligation as from 1 of April 2019

  1. Pingback: Making Tax Digital – your new obligation as from 1 of April 2019 - VATupdate

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s