All VAT Registered Businesses Must Sign Up

What is Making Tax Digital?

From 1 April 2022, all VAT registered businesses must sign up, whatever they earn.

What Records Must I Keep Digitally?

The following records must be kept digitally:

  • Your business name, address and VAT registration number
  • Any VAT accounting schemes you use
  • The VAT on goods and services you supply
  • The VAT on goods and services you receive
  • Any adjustments you make to a return
  • The ‘time of supply’ and ‘value of supply’ (value excluding VAT) for everything you buy and sell
  • The rate of VAT charged on goods and services you supply
  • Reverse charge transactions (where you record the VAT on the sale and purchase price of goods you buy)
  • Your total daily gross takings if you use a retail scheme
  • Items you can reclaim VAT on if you use the ‘Flat Rate Scheme’
  • Your total sales and their VAT, if you trade in gold and use the ‘Gold Accounting Scheme’
  • You also need to keep digital copies of documents that cover multiple transactions made on behalf of your business by:
  • Volunteers for charity fundraising
  • A third party business
  • Employees for expenses in petty cash

The Next Steps

Our team are here to help, get in touch today to ensure your tax is digital. We provide our services to businesses and individuals in Buckshaw Village, Leyland, Chorley, Preston, Penwortham, Bamber Bridge, Lostock Hall and the surrounding areas.