Making Tax Digital for VAT now mandatory for VAT-registered businesses

Making Tax Digital (MTD) has now become mandatory for VAT-registered businesses, from 1 April 2022.

MTD helps taxpayers get their tax returns right by reducing common mistakes as well as saving time managing their tax affairs and is a key part of the overall digitalisation of UK tax.

Around a third of VAT-registered businesses with taxable turnover below £85,000 have voluntarily signed up to MTD for VAT ahead of April 2022.

VAT-registered businesses that have not yet signed up to MTD for VAT should do so now. All VAT-registered businesses must use MTD for VAT for their first VAT return starting on or after 1 April 2022.

You can read more about this on the Gov.uk website.