Making Tax Digital (MTD)
We know that keeping up with changing tax legislation can feel like a maze. But don’t worry DXE Accountants are here to break it down and make it simple for you!
What is Making Tax Digital?
Making Tax Digital (MTD) is a new initiative aimed at transforming the tax system into a more modern, efficient, and user-friendly process. It requires businesses and individuals to keep digital records and file tax returns using approved software, making tax administration easier for everyone. DXE Accountants are here to help with this transition.
How will Making Tax Digital work?
Instead of keeping paper-based records or using spreadsheets, MTD requires businesses to store their financial data digitally. This means transactions are automatically recorded, updated, and categorised in real-time through accounting software.
Once you’ve got your digital records, MTD allows you to file your tax returns online, directly from your software to HMRC. This eliminates the need to fill out manual tax forms and reduces the chance of errors.
MTD requires more frequent reporting to HMRC. Instead of annual tax returns, you will need to submit information quarterly, ensuring that your tax obligations are more up-to-date and you can avoid any unexpected surprises at the end of the year.
How will Making Tax Digital impact me?
How can DXE Accountants assist with this transition?
Switching to Making Tax Digital might feel like a big step, but we’re here to guide you through the process, ensuring your transition is smooth and hassle-free.
We provide expert advice, recommend MTD-compliant software, and help you set up your system, so you can get back to focusing on what you do best, running your business!
Switching to an MTD-compliant software will not only ensure you are on track to meet HMRC’s deadline, but will also revolutionise the way you manage your businesses finances - providing greater financial transparency and more effective business information.
Ready to embrace the future of digital tax? Get in touch - Let’s get you set up with Making Tax Digital today.