Businesses Must Now File VAT Returns Using Making Tax Digital Compatible Software

20th October 2022

The way businesses file VAT Returns has changed, as part of Making Tax Digital.

You should already be using Making Tax Digital compatible software, since this became mandatory from April 2022. From 1 November 2022, you will not be able to file monthly or quarterly using your existing VAT online account to submit your VAT Returns.

If you have not already done so, you must sign up to Making Tax Digital and use Making Tax Digital compatible software now to keep your VAT records and file your VAT Returns. This will reduce common mistakes and make it quicker and easier for you to manage your tax affairs.

If you do not sign up for Making Tax Digital and file your VAT Returns using software, you may have to pay a penalty.

Even if you already use Making Tax Digital compatible software to keep your records and file your VAT Returns online, do not forget to sign up to Making Tax Digital before you file your next return.