As an interim measure HMRC are allowing businesses to use bridging software to submit their VAT returns under MTD rules. This could involve manually typing your records onto a spreadsheet or existing software which can then be connected and transmitted electronically to HMRC using the bridging software. Using this method, you still have the manual task of entering your data, and are required to retain copies of the original documents.
As said, the bridging software option is an interim measure and could be more of a burden than your current manual practices. In the end, somewhere at the start of the 2020-21 tax year, you will have to move over to a fully MTD platform anyway and eventually the requirement will be to keep your documents in a digital format as well.
Moving over to an integrated cloud accounting platform that fully supports Making Tax Digital is easy with the right support. It will save you time and effort in the long run and could save you money. It will give you and your accountant a clearer view of how your business is doing. Your documents can be scanned into your books and retained in a digital format (no need to keep paper documents) and transmitted to HMRC at the click of a button when you are ready.
Please call on 01293 402368 or use the contact form to book a free consultation and see how I can help.
More detailed information from HMRC on Making Tax Digital for VAT can be found here ▼
