From April 2022, all VAT registered businesses must have signed up for MTD for VAT.
Previously, only VAT registered businesses with a taxable turnover of 85,000 had to sign up for MTD for VAT.
As of April 2022, it will apply to all VAT registered businesses, regardless of what they earn.
Finding software which is compliant with this new change can seem like a daunting task.
Not to worry, we have all the information you need in order to choose the correct software for you.
Cloud software is the only viable option for most businesses.
Spectrum Accountancy Solutions are certified Xero partners.
Xero has made sure that its software is 100% compatible with these new MTD rules for HMRC.
All of their VAT supporting software cover MTD at no extra cost.
The government have a full list of compatible software to help you choose the right one for your business. www.gov.uk/guidance/find-software-thats-compatible-with-making-tax-digital-for-vat
As well as using Xero at Spectrum, we also work with Quickbooks, Sage, Freeagent etc.
You need to thing about signing up for MTD for VAT sooner rather than later.
As this is to come into effect at the start of April 2022.
Keeping documents on paper will no longer be compliant with HMRC’s new rules.
How can Spectrum help?
Having to keep accounting records for up to 6 years means that keeping them stored on a local PC or server won’t guarantee the required life expectancy. All it takes is a failed hard drive for you to stop being compliant.
In addition, making the transition to compliant software in time will be a challenge for some. Make sure you have a partner who can support you in the process.
Spectrum can provide you with affordable cloud based bookkeeping solutions to suit your individual business needs.
We are here to help you every step of the way of this transition, just give us a call on 0117 9902218 or send us an email at email@example.com to discuss how we can help you make the move to be MTD compliant.Tags: 2021, accounting, Finance, Making Tax Digital, MTD, MTD for VAT, TAX, VAT
This post was written by Daisy Vowles