Henry and Banwell Chartered Accountants > News > Making Tax Digital > I am VAT registered, do I have to comply with Making Tax Digital?

I am VAT registered, do I have to comply with Making Tax Digital?

  • Posted by: Michael Winkelmann

There are exemptions for Making Tax Digital (MTD) as follows:

1.Exemptions can be claimed by:

  • those who are not able to engage digitally for religious reasons
  • those who cannot comply
    • due to age or
    • due to disability or
    • due to location (eg, no availability of broadband).

2.Exemption applies to VAT registered businesses with turnover of less than the VAT threshold of £85,000 (i.e., businesses who have registered voluntarily) but this exemption may be removed from 2020 or later.

3.Businesses in insolvency procedures are exempt from MTD.

4.Large companies have a further 6 months to implement MTD so their deadline is 1 October 2019.

The six month deferral will apply to many of the largest businesses as it applies to VAT divisions, VAT groups and  those required to make payments on account.