Making Tax Digital is the UK government’s pioneering initiative to take all tax submission online and to therefore enforce digital record keeping via computer software.
VAT-registered businesses are the first to take part as of April 2019, with other forms of business tax following in 2020 and beyond.
The timeline and goals of Making Tax Digital have changed several times following government review and this guide – based around a series of frequently asked questions – aims to remove any ambiguity for businesses.
Beyond a full description of the Making Tax Digital scheme and a helpful business checklist, here are just some of the questions answered within the guide:
1)What records do I need to keep as part of Making Tax Digital for VAT?
2)How much will it cost businesses to comply with Making Tax Digital for VAT?
3)What does this mean for my business?
4)Will there be penalties for not complying with Making Tax Digital?
5)My business is not VAT registered and I don’t know if I will earn £85,000 this year. What should I do?