What is Making Tax Digital (MTD)?
Making Tax Digital is an initiative by the UK Government which seeks to improve the UK tax system. By digitising the process the HMRC believe this will make the tax system efficient and easier.
Who is affected by MTD?
The first phase begins on 1 April 2019 with MTD for VAT. From 1 April 2019, VAT registered businesses with turnover above the VAT threshold of £85,000 will have to keep digital records and submit VAT returns using compatible software.