In April 2019, HMRC’s Making Tax Digital scheme will come into effect. This means that VAT registered associations and other social housing providers will be obligated to submit their tax digitally. In response, OmniLedger are developing new software that will calculate VAT and generate a file for submission to HMRC. The software will be designed to assist customers who are both fully registered and partially exempt from VAT, with the Pyramid Housing Management System automatically calculating breakdowns for the latter.
For a number of VAT registered associations with more complex requirements, the scheme will not take effect until October 2019. Businesses that fall under this 6-month deferral are defined by HMRC:
Making Tax Digital mandated for customers that have been deferred. The 6-month deferral applies to customers who fall into one of the following categories: trusts, ‘not for profit’ organisations that are not set up as a company, VAT divisions, VAT groups, those public sector entities required to provide additional information on their VAT return (Government departments, NHS Trusts), local authorities, public corporations, traders based overseas, those required to make payments on account and annual accounting scheme users.
As part of the development process, OmniLedger will be undergoing HMRC’s VAT Recognition programme, with any developed software having passed their examination procedure prior to release.
If your organisation is fully registered or partially exempt from VAT and would like further updates as new developments become available then please register your interest by completing the form to the right.
For more information of HMRC’s Making Tax Digital, you can do so via the Gov UK website.
Not sure when your should sign up to Making Tax Digital? Read our free guide by clicking download.