Xero have announced that their Making Tax Digital (MTD) for VAT solution went live today – ahead of the 1 April mandation date. It will be available in all Xero plans that support VAT at no extra cost.
Under MTD for VAT, most VAT registered businesses with a turnover above the £85k threshold will have to keep digital records and file their VAT returns using compatible software.
The solution ensures businesses are fully compliant with the new HMRC rule.
We’re pleased to let you know that our Making Tax Digital (MTD) for VAT solution is now live for all customers in Xero ahead of 1 April. The new VAT return is available for all plans that support VAT and comes at no extra cost to subscribers.
Xero’s Ready Before You Need To Be
Xero have been working hard to prepare for the 1st April and they have been working to prepare customers and clients every step of the way.
Xero accounting and bookkeeper partners have participated in Xero’s MTD Learning Journey, soaking up the knowledge from their education workshops and earning themselves the all-important MTD-ready badge.
Others have been utilising the communication toolkit provided by Xero to inform clients of the upcoming changes.
And now they’re live with their brand-new MTD for VAT solution, so you can start setting up in Xero before the official start date.
Making Tax Digital doesn’t have to be overwhelming – Xero has been working closely with HMRC for five years to ensure their clients are supported through this transition.
After conducting several pilots and gathering feedback from accountants and businesses, they’ve built a whole new VAT process that ensures you can fulfil your MTD obligations.
New features include a VAT Dashboard, extra reports, the ability to post VAT adjustments and submit in real-time to HMRC.