Making Tax Digital - VAT

oz0707

Slightly annoyed by this change as I currently file my VAT online with the use of a spreadsheet to keep track of amounts.

Whats the MSE consensus on the cheapest software to file VAT online from the Making Tax Digital date? I cannot believe government can force you into using third party software to file a return which is an obligation! Why don't they develop their own software like HMRC basic PAYE tools?

Thanks

00ec25

read page 2 of the earlier thread on the same topic
https://forums.moneysavingexpert.com/discussion/5879284/making-tax-digital

Pennywise

oz0707 wrote: »

Whats the MSE consensus on the cheapest software to file VAT online from the Making Tax Digital date?

There's an excellent free desktop software called VT cash book which you can download from vtaccounts.co.uk. If you need ledgers, then they have VT transaction which you can download a trial for free and then buy for around £130 one off lifetime purchase. VT say that both will be MTD compatible.

oz0707 wrote: »

I cannot believe government can force you into using third party software to file a return which is an obligation! Why don't they develop their own software like HMRC basic PAYE tools?Thanks

But their basic PAYE tools software was pretty awful to use and had very limited functionality. It's not really HMRC's job to write and support accounting software - not even the professional software firms such as Sage with all the millions they have for development budgets can come up with any decent easy to use software that covers all eventualities, so HMRC have no hope at all of doing it. Anyway I thought that their basic PAYE tools software was being withdrawn meaning all employers will need to buy their own software in the future.

bengalknights

Xero basic can also do this

oz0707

Pennywise wrote: »

It's not really HMRC's job to write and support accounting software - not even the professional software firms such as Sage with all the millions they have for development budgets can come up with any decent easy to use software that covers all eventualities, so HMRC have no hope at all of doing it. Anyway I thought that their basic PAYE tools software was being withdrawn meaning all employers will need to buy their own software in the future.

Theres nothing wrong with the way it is now though!

Pennywise

oz0707 wrote: »

Theres nothing wrong with the way it is now though!

Tell HMRC that! They've been told by the accountancy/tax professional bodies, they've been warned by House of Lords select committee, and HMRC themselves have watered down their original proposals so much so that the current plans are completely pointless. But HMRC are sitting with their fingers in their ears chanting "la la la" and apparently genuinely thinking that the new MTD will miraculously make everyone's VAT returns more accurate. Doh!

johnhemming

HMRC provide a list of companies that can provide MTD software. I cannot give you the link to this as I am new to MSE and cannot post links, but someone else should be able to find it.

kevin_grey

Hi, I use a spreadsheet for my accounts, you can still use a spreadsheet. This did bug me so I joined the HMRC developers and wrote my own MTD VAT software. It has been approved by the HMRC and if any wants its a free download.