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Making Tax Digital

Making Tax Digital (MTD) will fundamentally change the administration of the UK tax system. On 13 July 2017 the government announced a new timetable and changes to the implementation, which mean that MTD will not take effect until April 2019 and will only be mandatory at that time for VAT registered businesses over the VAT threshold.

In this section

Articles and features

The latest updates on Making Tax Digital

Keeping up with Making Tax Digital can be difficult, especially when that includes Making Tax Digital for individuals and for business. Caroline Miskin of the ICAEW Tax Faculty guides members on the latest updates and what you should do to prepare.

The Tax Faculty 2018 AGM

The Tax Faculty’s 27th Annual General Meeting was held in the Great Hall at Chartered Accountants’ Hall on Friday 11 May 2018 at 12:30 and was attended by 26 members. Reported by Chrissie O’Connor.

Business VAT update

Businesses will need to be prepared for some significant issues concerning VAT. Neil Warren provides an update.

Webinars and videos

TAXtalk April 2018

This month the panel discusses MTD for VAT regulations, MTD for income tax now it has moved into public beta, and new changes to UK based agents.

Practice of the Future conference

Watch the recording of the Practice of the Future conference, held on 7 March 2018, which covered: new ways of working, digital accounting, Making Tax Digital and practical changes that small firms should be considering.

Demystifying MTD the VAT requirements

First broadcast on 16th January 2018. HMRC's vision for a digital tax system is well underway. Join the Tax Faculty as they talk through the current state of play and explain what we know so far about the requirements for VAT.

TAXtalk October 2017

In the October 2017 TAXtalk, Anita Monteith, Caroline Miskin and Sue Moore take a closer look at the digitalisation of personal tax.

Practical guidance

MTD for agents

MTD is likely to result in significant changes to the agent-client relationship. The terms of each engagement, and the scope of the services to be provided in future, will need to be reviewed.

Agent Services Account

As HMRC rolls out new digital services to agents, including MTD for business services, access will be via a new agent services account (ASA).

TAXguide 02/18: Demystifying MTD - the VAT requirements

In TAXguide 02/18, Sarah Ghaffari answers a selection of the key questions raised by viewers of the Tax Faculty webinar ‘Demystifying Making Tax Digital: the VAT requirements’, broadcast on 16 January 2018. Read a summary here, ICAEW members can download the full guide.

MTD software and cyber security

Experts from ICAEW offer guidance on what software offers you the best way to meet the requirements of legislative changes, resulting from MTD programme.

MTD for businesses

Businesses and landlords will be required to use commercial software to maintain their records and to update HMRC quarterly, starting with VAT.

MTD tools and resources

Useful resources and a list of events from ICAEW for agents, business and individuals to support them in meeting the requirements of MTD.

MTD for businesses

Businesses and landlords will be required to use commercial software to maintain their records and to update HMRC quarterly, starting with VAT.

MTD for individuals

MTD for individuals is centred around the Personal Tax Account (PTA) which already has many of the services needed by PAYE taxpayers. HMRC continues to improve and develop the PTA.

Tools for agents

MTD agent planning checklist

ICAEW Tax Faculty has created this checklist which has been designed to help tax agents prepare their clients and their own practice for MTD.

Client MTD factsheet - non VAT registered businesses

A factsheet developed by ICAEW Tax Faculty to be shared by accountants to clients that are not VAT registered businesses and would like more information on Making Tax Digital

Client MTD factsheet - VAT registered businesses

A factsheet developed by ICAEW Tax Faculty to be shared by accountants to clients that are VAT registered businesses and would like more information on Making Tax Digital

Follow up to MTD client factsheet

A factsheet developed by ICAEW Tax Faculty to be shared by accountants to clients that recieved information on Making Tax Digital before changes outlined in the Finance Bill 2017

Representations

ICAEW Rep 94/18

Off-payroll working in the private sector.

ICAEW Rep 65/18

ICAEW's Tax Faculty responds to the consultation: Cash and digital payments in the new economy: call for evidence published by HM Treasury on 13 March 2018.

ICAEW Rep 62/18

ICAEW's Tax Faculty responds to the VAT registration threshold call for evidence published by HM Treasury on 13 March 2018.

ICAEW Rep 18/18

MTD – Draft value added tax (amendment) regulations & notice 2018

Further support

Useful links

Some resources that we link to may pre-date the latest amendments to the relevant tax regulations. While these links contain useful information, please treat them with appropriate caution.

Software suppliers supporting Making Tax Digital for VAT

List of companies who are supplying suitable software to support the MTD for VAT pilot. These suppliers have tested their products in HMRC's test environment and have already demonstrated a prototype of their software to HMRC.

VAT Notice 700/22: Making Tax Digital for VAT

Notice giving updated guidance on digital record keeping and return requirements of MTD for VAT. It explains the digital records that businesses must keep, ways to record transactions digitally in certain special circumstances, and what counts as ‘functional compatible software’.

Making Tax Digital: changing the scope and pace - technical note

Technical note giving a revised statement of impacts for the Making Tax Digital for Business programme to reflect the changed scale and scope of the mandatory elements announced in the government's Written Ministerial Statement of 13 July 2017.

Machine learning and its impact on accounting

A summary of a panel discussion on machine learning, artificial intelligence and its impact on accounting. The article looks at predictions for 2018 and the implications for making tax digital (MTD).

Finance Bill: Written statement - HCWS47

Statement made by Mel Stride, Financial Secretary to the Treasury, announcing policy changes to the timeframe and scope of Making Tax Digital rules.

Overview of Making Tax Digital

Policy paper explaining the foundations of MTD, the impact on individuals and businesses, links to consultations, the next steps for implementing MTD for business, and case studies.

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