HMRC is consulting until 10 November on proposed secondary and tertiary legislation for income tax and VAT affecting the making tax digital (MTD) requirements for businesses. The consultation covers two sets of income tax regulations and an overview of the VAT legislation.
· Draft Income Tax (Digital Requirement) Regulations: set out the digital record-keeping and quarterly reporting obligations on businesses under the MTD regime (which will not apply for income tax purposes before April 2020 at the earliest), together with a draft of an income tax notice, some parts of which will have the force of law, providing information and guidance on the regulations;
· Draft Income and Corporation Taxes (Electronic Communications) (Amendment) Regulations: specify the requirements for electronic delivery of information to, or by, HMRC under the MTD regime; and
· VAT legislation overview: covers the primary legislation contained in Finance (No. 2) Bill 2017, introduced on 8 September, and outlines the main requirements to be set out in VAT regulations which the government intends to introduce no later than April 2018 (MTD will become mandatory for VAT purposes from April 2019).
HMRC is consulting until 10 November on proposed secondary and tertiary legislation for income tax and VAT affecting the making tax digital (MTD) requirements for businesses. The consultation covers two sets of income tax regulations and an overview of the VAT legislation.
· Draft Income Tax (Digital Requirement) Regulations: set out the digital record-keeping and quarterly reporting obligations on businesses under the MTD regime (which will not apply for income tax purposes before April 2020 at the earliest), together with a draft of an income tax notice, some parts of which will have the force of law, providing information and guidance on the regulations;
· Draft Income and Corporation Taxes (Electronic Communications) (Amendment) Regulations: specify the requirements for electronic delivery of information to, or by, HMRC under the MTD regime; and
· VAT legislation overview: covers the primary legislation contained in Finance (No. 2) Bill 2017, introduced on 8 September, and outlines the main requirements to be set out in VAT regulations which the government intends to introduce no later than April 2018 (MTD will become mandatory for VAT purposes from April 2019).
