With weeks to go until the next quarterly submission for Making Tax Digital (MTD) for VAT, your practice will need to prepare to make the first MTD-compliant submission. That means you will no longer make your quarterly submission by typing in the nine figures into HMRCs online gateway. Instead you will need to use API-enabled software to make the submission.
What should be top of mind for you is reviewing your VAT clients and assessing your current processes to ensure they are fully compliant.
Here are three ways to prepare for the submission:
Establish who will be submitting the return
Answer the following questions:
- Which of your clients would like to complete and file the VAT return themselves?
- Which of your clients would like your practice to prepare and file on their behalf?
- Which of your clients would like your practice to validate and file the return after they prepare the data?
Don't forget that your clients can now prepare and file their own VAT returns directly with HMRC using the Client Workspace in CCH OneClick.
Once you have agreed on how to proceed for each of your clients, the next step is reviewing the system you and your clients use today and, if not already in place, even setting up a new system for monitoring your deadlines. This will ensure that you know when all the different activities are due and are alerted to filing deadlines ahead of time.
Register your clients with HMRC
You will have to register your clients with HMRC for the service in time for your VAT return deadline. Businesses over the VAT threshold will not be enrolled automatically, even though the changes are now mandatory.
The process includes:
- Creating an agent services account - this is a one-off process.
- Linking clients to your agent services account so you can send VAT Returns and Income Tax updates. You can link your clients or add new ones.
- Signing businesses up to MTD - New businesses will need to register for VAT using the existing service, then navigate to the MTD sign up service and complete that journey.
Many of our customers have already successfully filed VAT returns using CCH OneClick as part of HMRC's pilot. Give your practice enough time to make the submission and iron out any issues with the return. It takes about 72 hours for HMRC to approve a client for MTD for VAT. If you haven't already started setting your clients up in CCH OneClick for VAT filing, we advise you to start this process as soon as you can.
Find out what other customers think about CCH OneClick
We have been overwhelmed by the positive feedback from our early adopters that have already made VAT submissions in HMRC's MTD pilot. Since the introduction of MTD we've been engaging with many our customers to better understand the issues surrounding this change and how CCH OneClick can make the transition simple.
This is what two of our early adopters have to say about CCH OneClick and their first submissions.
DSA Prospect have taken MTD in their stride, thanks to CCHOneClick. Find out how the consistent view of the data and software has upped their efficiency in the end.
“Wolters Kluwer helped us to get to grips with what's required on MTDfVAT and how we can use the software effectively to comply.” - Director and partner Alec Pridsam
Haigh & Co were early adopters of CCHOneClick, submitting their first VAT returns for #MTD in the pilot. Find out how they have made the most of MTD with the help and support of Wolters Kluwer.
“From online help and tutorials to roadshows, the support has been there to guide us in making the most of this change as an opportunity for the business. As a result, we're happy with the way it's all going. ” - Partner Mark Fox.
If you would like to find out more about CCH OneClick, click here or email [email protected]. You can also download our latest Making Tax Digital guide here for more information about how to prepare for your first submission.