The Making Tax Digital for VAT deadline is now upon us. We thought it would be useful to share some frequently asked questions about MTD. Evans & Partners are here to help you through the changes.
How do I sign up for Making Tax Digital for VAT?
If Evans & Partners submit your VAT on your behalf:
Nothing to do – we will carry out all required changes on your behalf.
If you submit VAT through your own Government Gateway Account:
1. You will need to sign up for MTD – this can be done by following the instructions from this link: https://www.tax.service.gov.uk/vat-through-software/sign-up/have-software
2. You will receive a confirmation email from HRMC within three days.
3. Enable MTD in your Accounting Software – go to the VAT Return in Xero (or the equivalent in your preferred MTD-enabled accounting software) and select ‘Connect to HMRC’ link.
This will give Xero permission to interact with HMRC – your VAT returns will now be displayed in Xero hereafter.
How do I apply for an exemption from MTD?
HMRC have detailed that some individuals may be exempt from the proposed changes due to religion i.e. the individual “is a practising member of a religious society or order whose beliefs are incompatible with the use of electronic communications”. Moreover, HMRC will consider exemptions where is not reasonably practicable to “make a return using an electronic return system for reasons of disability, age, remoteness of location or any other reason”.
In order to contact HMRC to apply for an exemption you can either call or write to them using the details below:
HMRC VAT Helpline: 0300 200 3700
HM Revenue and Customs, VAT Written Enquiries Team, Portcullis House, 21 India Street, Glasgow, G2 4PZ
If you have any queries on the above or require any assistance, please contact our Xero Technologist and Making Tax Digital Expert
If you have any queries about MTD or require help, please contact our Making Tax Digital Expert, Amar:
Email: client.service@evanspartners.co.uk or call: 0117 9675215.
Sources: https://www.gov.uk/government/publications/making-tax-digital-how-vat-businesses-and-other-vat-entities-can-get-ready/making-tax-digital-how-vat-businesses-and-other-vat-entities-can-get-ready
https://www.gov.uk/government/consultations/making-tax-digital-reforms-affecting-businesses/making-tax-digital-for-vat-legislation-overview#primary-legislation
https://www.gov.uk/guidance/sign-up-for-making-tax-digital-for-vat
