The implementation of Making Tax Digital for VAT will affect most VAT registered businesses with turnover of above £85,000 for VAT returns starting from 1April 2019. You may be wondering when exactly to sign up for the new scheme.
Before you sign up you must ensure that you have MTD compatible software to submit your return, or bridging software to submit returns derived from spreadsheets or other non-compliant systems.
You may need to upgrade or purchase software before you sign up.
Importantly do not sign up to submit the current period VAT return until the previous period's return has been submitted.
Whilst MTDforVAT is compulsory for returns starting on or after 1April (1 October for deferrals), you could start earlier by joining the pilot. Just follow the link above and be careful if you have a direct debit set up (see below) as this will affect when you can sign up.
This makes timing important so please pay attention to the dates below and note that if you submit your last return on the old system before the due date it may extend the signing up windows. The dates below assume that you submitted your last return on the due date of the 7th and that HMRC can take 72 hours to confirm sign up so the sign up windows are at least 3 days before the due date of the return.