We’ve had a busy few months talking to accountants, bookkeepers/secretaries and customers alike to raise awareness and provide further information on how we, at Farmplan, will be compliant for MTD and Digital VAT.
We have now analysed our MTD Digital VAT survey results. Thanks to everyone who took part. The survey was designed to find out more about how you manage your businesses and financial reporting so we can make sure any improvements we make to the software will help support what you’re doing and enable you to become MTD complaint, without the worry of any downtime or switching providers.
We received responses from 543 businesses. 88% described themselves as the Business Owner or Administrator with a further 11% Bureaus.
One respondent said, “As I have little doubt that MTD will move forward I feel the best possible outcome is for users to have the support of trusted organisations such as Farmplan.”
The results were really useful for us and highlighted what a mix of businesses we have using our range of accounts software and the variety of requirements. Some of the key concerns that you raised included:
- Making partial exemption VAT returns/adjustments. Interestingly 37% of respondents said they made adjustments for Partial VAT in some of their businesses
- Combining data for multiple enterprises onto one VAT return
- Other adjustments such as proportional VAT for farm cottages, scale charges for cars, housing or fuel
Sally Ashwell, Product Coordinator at Farmplan says, “We’ve had some queries from those new to Farmplan recently about making adjustments such as partial exemption. Business Manager, our accounts and business management program, has been designed to enable all these adjustments to be made using the journal options and, of course any adjustments will be reflected in any electronic submissions made via MTD.”
15% of respondents said they combined data from more than one Business Manager business or other sources prior to submitting their returns. HMRC say all such amalgamations must be made electronically so we have designed our program to ensure this is handled in a straightforward and easy to follow way.
Another one of the other key messages we identified was that many of you believe you are already submitting your VAT returns electronically by logging onto the current HMRC portal. This is not the same as Digital VAT, Anne Cianchi our in-house MTD Project Consultant explains, “MTD for VAT is a completely new way of submitting a business’s VAT returns. It is not simply populating the VAT boxes on the tax authority portals (this option has been available for many years) but is utilising direct links from software straight into HMRC’s systems.”
Do you have a suitable software solution in place for managing Digital VAT? talk to the team at Farmplan today, call 01594 545000.Request a free software demo