Now Making tax digital is compulsory for all VAT registered businesses!

Since April 2019, VAT-registered businesses with a turnover above the VAT threshold (currently £85,000) keep VAT records digitally and send returns using Making Tax Digital (MTD) compatible software.From April‌‌‌ 2022, these requirements will apply to all VAT-registered businesses, including those with a taxable turnover below the VAT threshold.which means all VAT registered businesses must :

• Keep VAT records electronically

• keep VAT records for at least 6 years

• keep an electronic record of sales and purchases

• keep a separate summary of VAT called a VAT account

• issue correct VAT invoices

• issue and keep electronic invoices

• keep copies of all the sales invoices you issue even if you cancel them or produce one by mistake

• keep all purchase invoices for items you buy

You can hire an accountant if you need help with your VAT. At MBM-Accountex we can help your business with VAT&MTD and if you choose us we will give you free access to HMRC compatible MTD software.