Digital VAT reporting

[Montello]

I have heard a few rumblings about this, anyone know what is actually happening and how it may effect a sole trade?

Currently I use Sage for accounts and report for VAT on the HMRC website.

[blackal]

I've done it for over a year now, and use VitalTax, which was free for first year, and now costs something like £10/submission

https://vitaltax.uk/

Whatever spreadsheet you use to track purchases/sales, just link to the relevant cells in that - in the 'template' (VitalTax add-in, in Excel)

So - just add a vitaltax sheet in your workbook and then link back to the other sheet.

It works well, is accredited of course - and is a LOT less than most things like SAGE etc

[pretty sure it was a thread on here that directed me to VitalTax. have a search]

[demonloop]

If you’re a Sage subscriber you should be able to use their MTD VAT module in the software to submit electronically. If you’re using software you bought as a one-off, you can’t IIRC

I used Sage for years and their MTD module was clunky at best. Switched to Xero and it’s a breeze

[blackal]

Search on here for Vitaltax - there are 2 decent threads about digital vat

[Montello]

If you’re a Sage subscriber you should be able to use their MTD VAT module in the software to submit electronically. If you’re using software you bought as a one-off, you can’t IIRC

I used Sage for years and their MTD module was clunky at best. Switched to Xero and it’s a breeze

I use an old version of Sage for the Balance Sheet and P&L. Maybe I need to upgrade but I’m winding the business down.

- - - Updated - - -

Search on here for Vitaltax - there are 2 decent threads about digital vat

Thanks, is there a deadline?

[33JS]

I'd echo: Vital tax. So very easy and cheap.

[MrSmith]

is there a deadline?

April 2022
i‘m amazed you haven’t had numerous letters and emails about this over the last 2 years.
theres been ad campaigns in press/TV too.

[demonloop]

If you decide to upgrade your Sage it’ll cost about £40 a month. Depends on your view on cost -v- convenience whether or not it’s worth it

[DMC102]

Thanks, is there a deadline?

MTD takes effect from the beginning of your first VAT accounting period starting on or after 1 April, so if e.g. you have a March - May quarterly return, the regulations won't apply to you until 1 June. From then you need to comply with the digital record-keeping requirements and be ready to file your returns electronically.

You have to sign up to MTD online at HMRC, but not before your final old-style return has been filed and paid - once you sign up, the regulations apply immediately, regardless of your deadline.

[Montello]

April 2022
i‘m amazed you haven’t had numerous letters and emails about this over the last 2 years.
theres been ad campaigns in press/TV too.

I have had just one letter.

Just weighing up if it’s just easier to de register for VAT. I have very little purchases as it mainly an advise based business now.

[blackal]

I have had just one letter.

Just weighing up if it’s just easier to de register for VAT. I have very little purchases as it mainly an advise based business now.

Worth remaining in it, for such low running costs/effort, I think.

[learningtofly]

If you decide to upgrade your Sage it’ll cost about £40 a month. Depends on your view on cost -v- convenience whether or not it’s worth it

Really? I pay £18 excl. per month for the accounting package, and that includes the full MTD functionality. It couldn't be easier to submit to HMRC, either.

[Maysie]

Anyone switched from Sage to Zero or Sage to Quickbooks?

How painful/painless/seamless was it to shift across?

[demonloop]

Really? I pay £18 excl. per month for the accounting package, and that includes the full MTD functionality. It couldn't be easier to submit to HMRC, either.

Mine is £40 inc VAT, but I do have the foreign currency module and a few other add-ons now that I think about it

Xero is much easier to submit IME though, I used Sage for a long time and much prefer Xero

[demonloop]

Anyone switched from Sage to Zero or Sage to Quickbooks?

How painful/painless/seamless was it to shift across?

I went from Sage 50 to Xero, it's dead simple - you can use movemybooks for free for the last 24 months tranx, if you need more you can pay for extra years

No downtime, just picked up on Xero where I left off on Sage

Used Sage for nearly 15 years, wouldn't swap back

[Montello]

Worth remaining in it, for such low running costs/effort, I think.

Probably correct its just I'm getting less interested in the business ...

Just checked I have just one single letter dated Nov 21 about MTD ...

I'm going to have a look at this VitalTax; looks like it will do the job ... thanks for the recommends; as ever plenty of knowledge here ....

[DMC102]

I went from Sage 50 to Xero, it's dead simple - you can use movemybooks for free for the last 24 months tranx, if you need more you can pay for extra years

No downtime, just picked up on Xero where I left off on Sage

Used Sage for nearly 15 years, wouldn't swap back

Xero is currently offering new subscribers a 50% discount for the first six months too.

[cbh]

I have found this company to work very easily for my MTD VAT, been using them for over a year now and it couldn't be simpler, free for year one then £15 a year for 4 returns, obviously depends on how complicated your business is, mine is simple, fill in the Excel doc and upload it, job done.

https://www.123efiling.co.uk/page/mtd-vat

[Routers]

My accountant takes care of it for around £15 a quarter (ie per return).
I just fill in the details on an excel template and email it to him.
Been doing it for a while now.

[blackal]

My accountant takes care of it for around £15 a quarter (ie per return).
I just fill in the details on an excel template and email it to him.
Been doing it for a while now.

If there are savings to be made on that cost- they aren't great.

The upside is - that they should provide back-up to the submission.

[Montello]

I've done it for over a year now, and use VitalTax, which was free for first year, and now costs something like £10/submission

https://vitaltax.uk/

Whatever spreadsheet you use to track purchases/sales, just link to the relevant cells in that - in the 'template' (VitalTax add-in, in Excel)

So - just add a vitaltax sheet in your workbook and then link back to the other sheet.

It works well, is accredited of course - and is a LOT less than most things like SAGE etc

[pretty sure it was a thread on here that directed me to VitalTax. have a search]

Thanks for the recommendation - just done my first return using VitalTax ... very easy and works without any glitches.

There really are some very useful threads here ...