GDS is working under the guidance of HMRC to make its software products compliant with the new legislation and we expect to release software updates for the Making Tax Digital regulations in January 2019.
Making Tax Digital (MTD) is a key part of the UK government’s plans to make it easier for individuals and businesses to get their tax right and keep on top of their affairs. New regulations come into effect on 1st April 2019 that require VAT Returns to be submitted electronically by business management and accounting systems. VAT Returns can no longer be submitted by manually keying the figures in online or submitting a paper VAT Return.
If you presently use an accounts system like Xero or Sage and you use these systems to generate your VAT returns then you are likely already set to meet the requirements. You don’t need to get a 3rd party system like Xero or Sage if you don’t require one presently. GDS can integrate with Sage, and export data files for use in Xero if you do use these systems.
If you wish to use your GDS system to generate your VAT Returns then you will need our MTD updates installing before April 2019 in order to meet the new requirements.
Please see this link to the UK government website for more details: https://www.gov.uk/government/publications/making-tax-digital/overview-of-making-tax-digital