New Timeline for MTD

In by Jess Brooks

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New timeline for MTD

After a press release from HMRC earlier this week we have put together a new timeline for MTD that has been fully updated with the changes outlined in the press release:

October 2018 – Pilot opens for Sole Traders and Companies

Except for those which are part of a VAT group or VAT division and provided they are up to date with their VAT.  Those who trade with the EU, are based overseas, submit annually, make payments on account, use the Flat Rate Scheme, and those newly registered for VAT are unable to join the scheme at this point

Late 2018 – Private testing begins with partnerships and those customers that trade with the Eu and users of the VAT Flat Rate Scheme

Late 2018/early 2019 – Pilot open to Sole Traders who are not up to date with their VAT and businesses newly registered for VAT

Early 2019 – Pilot open to partnerships and those customers that trade with the EU

1 April 2019 – Making Tax Digital mandated for all customers – except those that have been deferred

Spring 2019 – Pilot opens for those that have been deferred

October 2019 – Making Tax Digital mandated for customers that have been deferred

 

The 6-month deferral applies to customers who fall into one of the following categories: trusts, ‘not for profit’ organisations that are not set up as a company, VAT divisions, VAT groups, those public sector entities required to provide additional information on their VAT return (Government departments, NHS Trusts), local authorities, public corporations, traders based overseas, those required to make payments on account and annual accounting scheme users. The deferral will apply to around 3.5% of mandated customers.