A welcome delay for businesses impacted by COVID19
Businesses that are participating in Making Tax Digital for VAT (MTD) now have until 1 April 2021 to meet the requirement to have ‘digital links’ within their record keeping. This delay has been introduced to ease the burden on businesses in light of the Coronavirus:COVID-19 pandemic.
The deadline has been pushed back for 12 months from its original date of 1 April 2020.
Records can be kept in more than one piece of software or spreadsheet and businesses were given a year from the launch of MTD for VAT to establish a digital link between them. The purpose of the digital link was to avoid the manual transfer of data between different software products.
HMRC have now confirmed that businesses have until their first VAT return period starting on or after 1 April 2021 to put the required digital links in place.
If you have any questions on MTD for VAT please email your usual Alliotts partner or please contact us.
For more information relating to COVID-19, please view our COVID-19. Information Quick Find page