The following Value Added Tax guidance note Produced by Tolley provides comprehensive and up to date tax information covering:
This guidance note looks at who the Making Tax Digital (MTD) for VAT rules apply to and who is exempt from MTD requirements.
For an overview of MTD for VAT more broadly, see the Making Tax Digital ― overview guidance note.
For in-depth commentary on the legislation, see De Voil Indirect Tax Service V5.101B.
At a high level, the MTD for VAT obligations apply to all VAT registered businesses. However, this is subject to:
phased introduction of the MTD obligations for certain categories of business / person
exemption for voluntarily registered businesses on the grounds of taxable turnover (until April 2022)
exemption on the grounds of limited other reasons
SI 1995/2518, regs 32A, 32B
It is also possible for businesses who are not ‘mandated’ to follow the MTD requirements voluntarily.
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