What is Making Tax Digital (MTD) for VAT
MTD for VAT is the requirement for all VAT registered businesses to:
•keep digital VAT records
•submit VAT returns to HMRC from MTD compatible software
VT users are able to submit VAT returns from either VT Transaction+, VT Cash Book, VT MTD for Excel or VT Report. If you do your bookkeeping in VT Transaction+ or VT Cash Book, you should submit your VAT returns directly from those programs and VT MTD for Excel or VT Report is not required.
When to use VT Report for MTD
You keep records in another program that is not MTD compatible or a spreadsheet
VT Report can be used as bridging software to submit a VAT return by MTD.
This means importing data from your other bookkeeping program or spreadsheet to a blank sheet in VT Report and submitting your VAT return from that sheet.
For instructions, see Option 2: Import a VAT return from spreadsheet.
You have simple transactions that can be entered directly on a spreadsheet
If you have simple accounts, you can enter sales and purchases transactions directly on a Digital record template sheet in VT Report, from which a VAT return can be generated and submitted to HMRC.
For instructions, see Option 1: Enter transactions on the Digital record sheet.
You are on the Flat Rate VAT Scheme
VT Report should be used to submit a Flat Rate VAT return as this return cannot be generated directly from VT Transaction+.
For instructions, see Prepare a flat rate VAT return.
Your VAT return requires additional calculations
If your VAT return from VT Transaction+ or VT Cash Book requires additional manual calculations to obtain the final VAT figures (e.g., a group VAT return), you can import the VAT return from those programs to a VAT return template sheet in VT Report, perform the required calculations on the sheet, then submit the final figures directly from the sheet.
For instructions, see Prepare a VAT return: Option 3: Import a VAT return from VT Transaction+.
