Does Your Accounts System Comply With MTD For VAT?
Making Tax Digital (MTD) for VAT is scheduled to start in April 2019 which means that your VAT information needs to be submitted to HMRC digitally, it is part of the government’s plan to make it easier for businesses to stay on top of their day-to-day accounting. The legislation specifies that “functional compatible software” must be used to record and preserve prescribed VAT related data.
Whilst the plan signals the end of paper accounting for millions across Britain, this brings up new challenges to your accounting operations for those who do not already have compliant software in place. If you or your accountant don’t currently file VAT using software, this new legislation will have a real impact on how you work when it comes into force early next year. By ensuring you are researching this and implementing suitable software now, you won’t fall short as and when the time comes to go digital.
What does this mean for you?
The impending shift to digital tax means companies who don’t currently comply with the new legislation should consider what software is available to them in advance to avoid impending issues next year, as once the legislation comes into act most businesses will no longer be able to submit paper VAT returns.
If you already use a digital accounting platform, such as the OrderWise Accounts module, you are already on track to meet the change. You can prepare for the switch to digital tax by informing your clients that in future all their earnings, expenditures and payroll information must be entered electronically. By encouraging them to make this a part of day-to-day office routine, you ensure a smoother transition on all parts.
How can OrderWise help?
The good news is that OrderWise is HMRC approved for e-VAT submissions and will be compliant ahead of MTD for VAT next year, so companies already using OrderWise Accounts module will have a far smoother and almost effortless transition. For those who don’t use OrderWise Accounts, now is the time to be checking if your current software complies.
OrderWise offers businesses the flexibility of choosing the fully integrated, ICAEW Accredited OrderWise Accounts module to manage all of their accounting tasks. Packing more relevant functionality than many popular systems without adding layers of complexity to the accounts process, OrderWise Accounts provides the ideal accounting solution.
There’s simple data migration, plenty of custom accounting reports, a full audit trail, plus functionality to easily and accurately forecast cash flow based on a number of different options. What’s more, the comprehensive software is also HMRC approved for e-VAT submission, making OrderWise a sensible choice for those wishing to meet the impending demand of this new legislation.
By ensuring your business is meeting the new digital demand, you can guarantee a smooth transition and make your VAT submissions stress free ahead of next year.
If you’d like to discuss OrderWise Accounts module in further detail or what MTD for VAT means for your company, contact our team today on 01522 704083 or email them on;