What is MTD?
Any business required to operate under MTD must keep and send business records electronically to HMRC on a quarterly basis, instead of annually. HMRC has been and will continue to bring in new regulations and systems for making tax digital (MTD).

Timeline:
It started with VAT back in April 2019 when all VAT registered businesses with a turnover of over £85,000 were required to submit VAT returns under Making Tax Digital.

From April 2022 all VAT registered businesses, regardless of their turnover, were required to submit their VAT returns under MTD.

MTD will then progress onto MTD for income tax, where self-employed people and landlords with annual business or property income over £10,000 will have to follow the new MTD rules from April 2024.

Finally it will then bring in MTD for corporation tax.  This has not yet been timetabled and we have been informed it will not be mandated before 2026.

At Pells Chartered Accountants we have already assisted our VAT registered clients to ensure total compliance with MTD by providing comprehensive cloud bookkeeping solutions. We are now looking to assist current and new clients who are self-employed businesses and landlords.

Talk to us about how we can ensure that MTD delivers a positive change for your business.