Businesses who have deferred VAT payments until the end of June 2020 should continue to file Making Tax Digital (MTD) returns as normal, the regulator has confirmed.
According to a leading accounting software provider, over 50 per cent of UK small and medium-sized enterprise (SME) owners have made a mistake when filing their VAT returns, while just a quarter (25 per cent) feel confident that they have filed their VAT accurately.
Whether you’re a seasoned pro or a tax ‘newbie’, VAT can cause headaches for business owners. From VAT schemes and registration to Making Tax Digital and exempted goods and services, VAT can cause even the most experienced entrepreneur to slip up from time to time.
HM Revenue and Customs (HMRC) has revealed that 1.1 million businesses have now signed up for Making Tax Digital (MTD) and so far, 1.2 million VAT returns have been successfully submitted through the service.
Making Tax Digital (MTD) for VAT was launched in April 2019, which means that hundreds of thousands of businesses are now recording and reporting their accounts digitally to HM Revenue & Customs (HMRC).
According to the latest industry research, thousands of businesses are struggling to get to grips with Making Tax Digital (MTD).