HMRC delays digital tax for businesses until 'at least' 2020
HM Revenue and Customs (HMRC) has delayed the launch of its Making Tax Digital for Business programme until 2020.
Originally, HMRC planned to mandate the use of of digital tax records for businesses by April 2018, but concerns were raised that the deadline did not provide enough time for “such a fundamental change”.
As part of the changes, only businesses with a turnover above the VAT threshold will “have to keep digital records, and only for VAT purposes” from 2019, and businesses will not be asked to keep digital records for other taxes until “at least 2020”. For small businesses, digital tax returns will be voluntary, the government said.