The truth is, all businesses, self-employed individuals and landlords will be required by law to start using the digital tax service and it is going to be phased in from 2018. HMRC wants to help businesses to get their tax right and have more clarity of what your tax liability will be.
So, from April 2018 if your turnover is above the VAT threshold (currently £83,000) you will be required to submit details for your PAYE and NIC and a year later if your turnover is below the VAT threshold.
Everyone who is registered for VAT will be affected from April 2019 and from April 2020 if you are liable to pay Corporation Tax you must also make submissions.
If you use the services of a bookkeeper or accountant, they should already be gearing you up for MTD but it makes sound sense to start acting now. Choosing the right cloud based accounting software is something that you should be considering. There are lots of options out there so getting the right software for your business is a very important decision you must make and soon.
If you need further advice about MTD or help in choosing the right software for your business please get in touch by calling 020 8087 1341, emailing us at firstname.lastname@example.org or by completing the contact box on our website www.cainandbeer.com.