The delay will provide time for businesses, their representatives and HMRC to prepare and put in place robust IT solutions that deliver a digitalised process in line with the scope of MTD.
MTD will require digital records to be kept and to submit updates on a quarterly basis to HMRC with an “end of period statement” for each income source to finalise the reporting for each year.
In time, will this lead to tax payments on a quarterly basis?
The new penalty system for late filing and late payment of tax for income tax has also been delayed to be aligned with the introduction of MTD.
Insights and news
Tax rules on partner profits set to change
Profits for the self-employed