The Charity Commission is advising trustees to prepare for the imminent new VAT filing regime.
Its website is advising that for VAT periods starting on or after 1 April 2019, most VAT registered entities with taxable turnover above the VAT threshold (£85,000) will need to keep their records digitally and send their VAT return data to HMRC using MTD-compatible software.
The exception is a small minority of VAT registered entities with more complex requirements. For these the MTD rules will apply from 1 October 2019.
You can prepare by:
- looking at how you can keep your records digitally, if you do not already.
- asking your software provider if you currently use commercial accounting software about when it will be MTD-compatible.
- (for more complex charities) looking at your internal operations to make sure your end-to-end process is digital.
- joining the MTD VAT pilot as soon as you can.
Find out more by going to https://tinyurl.com/ycjmtj59.