Making Tax Digital (MTD) is a government initiative that will change the way that businesses file their tax returns. It will mean the end of the annual tax return, which will be replaced with quarterly submissions.
Individuals and businesses will be able to log into a personalised digital tax account where they can clearly view how much tax is owed. It aims to make the process easier for people to keep on top of their tax affairs.
VAT registered businesses are required to use MTD compliant software from April 2022 onwards.