New draft legislation to extend Making Tax Digital was revealed by the Government on 21 July.
What was announced?
- April 2021: the MTD for VAT ‘soft landing’ period ends: digital links must be in place for all VAT quarters beginning on or after 1 April 2021.
- April 2022: MTD for VAT will apply to all VAT registered businesses, regardless of their threshold.
- April 2023: the programme will be extended taxpayers who file income tax self-assessment tax returns for business or property income over £10,000 annually.