Making VAT Digital: top tips for businesses

If your business is registered for VAT and has a taxable turnover of over £85,000, from 1 April 2019 businesses will have to comply with new Making Tax Digital VAT rules or face fines of up to 15% of their annual VAT bill, warns Alison Horner, VAT partner at MHA MacIntyre Hudson

As yet, HMRC hasn’t announced any further penalties for non-compliance. The main issue will be when taxpayers continue to submit their returns using the old system. Unfortunately, as the VAT return will not be properly “furnished” this may mean that the default late payment surcharge regime applies even though the taxpayer thinks they have done the right thing and paid their VAT on time.

Your free features:

  • Breaking news and expert analysis
  • Customisable daily newsletters
  • Six free CPD learning modules each year
  • Personalised CPD tracker
  • Top 75 Firms league tables
  • Regulatory changes
  • Hardman’s Tax Data

Sign up to Business & Accountancy Daily

Related Articles
Subscribe