Making Tax Digital (MTD) Archives - Page 2 of 5

Dec 18 2024

Making Tax Digital Threshold Lowered

By admin HMRC, Making Tax Digital (MTD), Potts & Co Accountancy & Business Advice News

Many more sole traders and landlords will be required to comply with making tax digital (MTD) for income tax when the qualifying income threshold is reduced from £30,000 to £20,000 The Budget confirmed that taxpayers with qualifying income of £50,000 or more will be required to join MTD in April…

Sep 24 2024

Making Tax Digital: Jointly-Owned Property

By admin HMRC, Making Tax Digital (MTD), Potts & Co Accountancy & Business Advice News, Property

From April 2026, sole traders and landlords with qualifying income over £50,000 will have to comply with the Making Tax Digital (MTD) for Income Tax requirements. Quarterly updates Mandated taxpayers will need to use third party MTD-compliant software to keep digital records and file quarterly summaries of their income and…

Mar 29 2024

Potts & Co Accountants Ltd - Accountancy & Business Advice

Making Tax Digital: Quarterly Update Returns

By admin HMRC, Making Tax Digital (MTD), Making Tax Digital For Income Tax Self-Assessment (MTD ITSA), Potts & Co Accountancy & Business Advice News, Self Assessment

HMRC has confirmed the mandation dates for making tax digital for income tax self assessment (MTD SA) as announced in the Autumn Statement 2023. From April 2026, taxpayers subject to income tax on their trade, profession, property income or business and who have income above £50,000 will be required to…

Nov 29 2023

MTD Simplification

By admin HMRC, ITSA (Income Tax Self Assessment) , Making Tax Digital (MTD), Making Tax Digital For Income Tax Self-Assessment (MTD ITSA), Potts & Co Accountancy & Business Advice News, Self Assessment

A dramatic simplification of the MTD processes to be introduced in 2026 including no EOPS; cumulative submissions each quarter; and restrictions for complex situations. Taxpayers with turnover over £50,000 will be brought into MTD ITSA (Income Tax Self Assessment) from April 2026. The £50,000 threshold applies to gross total self-employment…

Nov 28 2023

Cash Basis To Replace Accruals

By admin HMRC, Making Tax Digital (MTD), Potts & Co Accountancy & Business Advice News, Self Assessment

Cash basis to replace accruals for the self-employed as standard tax reporting method for 2024-25 (first year of tax year accounting). From April 2024, as part of a move to simplify calculation of taxable profits for Making Tax Digital, all self-employed taxpayers and partnerships will by default report their taxable…

Sep 02 2023

HMRC Demands More Data

By admin Dividends, HMRC, Making Tax Digital (MTD), Personal Tax, Potts & Co Accountancy & Business Advice News

HMRC has confirmed that requirements to report additional information will come into effect from the 2025-26 tax year or possibly a later period. HMRC has set out its intention to collect data relating to trade sectors; locations; occupations; hours worked; shareholdings and dividends paid; and self-employed trading dates. Draft legislation…

Mar 04 2023

New VAT Late-Filing Penalties

By admin HMRC, Making Tax Digital (MTD), Potts & Co Accountancy & Business Advice News, VAT

All VAT returns must now be submitted digitally using MTD compatible software (unless the business has an exemption) so the VAT penalties have been revised to fit with this new regime. If you submit a VAT return late for a period starting on or after 1 January 2023 the HMRC…

Mar 02 2023

MTD For Income Tax Delayed Again

By admin HMRC, Making Tax Digital (MTD), Making Tax Digital For Income Tax Self-Assessment (MTD ITSA), Potts & Co Accountancy & Business Advice News

Making Tax Digital For Income Tax Self-Assessment (MTD ITSA) was set to take effect from 6 April 2024. This has been postponed until 6 April 2026. The new regime will require sole traders and individual landlords to keep their business records digitally and to send summaries of business income and…

Sep 15 2022

VAT Portal To Close

By admin HMRC, Making Tax Digital (MTD), Potts & Co Accountancy & Business Advice News, VAT

All VAT-registered businesses are now required to file VAT returns using MTD-compatible software and keep VAT records in a digital format. This applies from the start of the first VAT period for newly registered businesses. The old way to submit VAT returns was to type the figures into a web-based…

Jun 17 2022

Preparing For MTD For Income Tax

By admin HMRC, Income Tax, Making Tax Digital (MTD), Potts & Co Accountancy & Business Advice News, Property, VAT

The Making Tax Digital (MTD) rules currently only apply to businesses that submit VAT returns. Those traders need to keep their VAT records in a digital format and transmit their VAT return data directly from their digital records to HMRC using MTD-compatible software. From 6 April 2024 similar MTD rules…

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