Henry and Banwell Chartered Accountants > News > Making Tax Digital > MTD update and your first quarterly VAT return

MTD update and your first quarterly VAT return

  • Posted by: Michael Winkelmann
MTD update and your first quarterly VAT return | MTD for VAT | Making Tax Digital for VAT

For most people* this is the first time that their VAT return must be submitted online via MTD (Making Tax Digital) compliant systems. For the 30 June 2019 quarter this must be done by 7 August 2019 but do allow yourself extra time to sign up and get used to the new system.

Even if you’re already using suitable accounting software* there are still a few things that you need to do differently:

  1. In spite of the fact that MTD is compulsory you still need to log into your company’s Government Gateway account to sign up for MTDfV (MTD for VAT)
  2. Signing up is a simple process and will take about 10 minutes. You will need access to the phone which you have registered for your 2 factor authentication. There is nothing complicated but you will be asked to confirm you email address several times. This is because HMRC will rely on you receiving their official emails so do pick an account which is monitored.
  3. Once you have registered you need to wait a further 72 hours before submitting your first MTD VAT return.
  4. After receiving confirmation that you are signed up then you will need to tweak your accounting software to connect to the new account. Your software should prompt you to do this.
  5. Now you can submit your VAT returns through your software as normal

Further information on the sign up process is available from HMRC : https://www.gov.uk/guidance/sign-up-for-making-tax-digital-for-vat

For the first 12 months HMRC have confirmed that they will take a light touch approach to any penalties where businesses are doing their best to comply with the law on digital record keeping. If you need additional support then we will, of course, be happy to help.

* If you’re not sure if this affects you then give us a call on 0117 927 7301 and we’ll set your mind at rest.