Making Tax Digital starts April 2019
The Government and HMRC have announced that they are making it mandatory for VAT registered businesses with a turnover above the VAT Registration threshold, currently £85,000, to keep their accounting records digitally. Full details are not yet available but it is intended that this will apply from the first VAT period starting on or after 1 April 2019.
Under the available guidance individual transactions will need to be recorded digitally. These computerised records will need to interface seamlessly with any subsidiary records eg till records and must be capable of filing the VAT return automatically to HMRC. HMRC is confident that software companies will make compliant products available in the next few months and testing of the process is intended to start in April 2018.
If you are considering changes to your accounting system or wish to discuss the implications for your business Roblins would be happy to advise you.