Making tax digital for VAT is a software solution that can radically help your accounting procedures in business. BTC Software Solutions has come up with a problematic statute that comes into effect on 1st April, 2019. That is now less than a year away and the time to prepare is now.
On that day, any business with a turnover of above the VAT threshold will have to keep all records digitally. It is for VAT purposes only and companies will be told they must provide all tax returns information to H.M. Revenues and Customs (HMRC).
The current VAT threshold stands at £85,000 but could be subject to change in any government budget reading in the future. All information provided from the company tax accounts and returns that is submitted to the HMRC must be produced through software that is MTDFVAT compatible.
MTDFVAT software will be made available to small companies with a turnover under £85,000, but this will be only on a voluntary basis. It could be a good idea for these smaller businesses to begin using the software in the hope the business will expand and produce a turnover in excess of the current VAT threshold.
BTC Software Solutions can provide three levels of the software:
- Professional. This provides many features including the MTD for VAT submission software, an Excel and bookkeeping bridging solution and provision for an annual licence.
- Business. The Business software solution also provides the above and offers telephone and email support, multi-user support package, dashboard view of VAT return operations.
- 125 Additional Returns. At half the cost of the Professional and Business packages, the 125 Additional Returns package provides an annual licence and the compatible software for submitting the files to HMRC under MTD for VAT software.
MTD for VAT software includes dashboards displaying:
- VAT Return Obligations
- MTD for VAT Submissions
- MTD for VAT Payments and Repayments
The software also features a client centralised database, secure Amazon UK based servers and a client integration feature with PM solution.
Companies with a turnover in excess of £85,000 need to start getting ready now for MTD (making tax digital) as it will take the stress and strain of managing and submitting your VAT returns.
This accounting software will work out how much VAT the business owes, remind you on the date when the returns are due for submission and allows you to seamlessly submit them off the HMRC.