In relation to VAT, from 1st April 2019 and VAT periods starting thereafter, VAT registered businesses will need to file their VAT returns under MTD. This is causing many small and medium sized businesses a headache since for some time they have relied on being able to keep VAT records how they like and submit their return via the HMRC website. Both of these freedoms are now lost for the majority of businesses.
We understand that this is a challenging time for businesses, with many not fully prepared or in a position to understand the requirements.
Many businesses use a range of systems to record their VAT transactions, not all of which integrate with each other and also with HMRC. Often an element of manual adjustment and manipulation has been required, more often than not using a spreadsheet package.
We know the importance to all businesses of ‘keeping the VAT office happy’ and ensuring their returns remain correct and compliant.
We are working with businesses in all sorts of situations to deal with the challenges of MTD. Whether it be very small businesses who still prefer to record their transactions on paper or in a ‘cash book’ to large businesses with international accounting systems which are just not formulated to prepare and submit VAT returns electronically to HMRC.
Typically, we will meet with the business owners or finance team to understand the current method used and to outline what is expected under MTD. We then work to advise on and implement a solution to ensure the business remains compliant and up to date.
Our services for MTD therefore include:
- Reviewing current systems and processes and providing an analysis and report of changes needed.
- Assisting with the implementation of changes necessary under MTD.
- Working with international finance teams to ensure systems work together.
- Liaising with HMRC in cases where an exemption or ‘special method’ may be necessary.
For more information regarding how we can ensure your business successfully manages the transition to MTD VAT reporting, please contact us.