[{"data":1,"prerenderedAt":-1},["ShallowReactive",2],{"global":3,"entry:blog:mtd-uk-vat-guide":324},{"id":4,"documentId":5,"siteName":6,"organizationSchema":7,"contactEmail":13,"contactPhones":48,"address":49,"currencyRates":50,"createdAt":70,"updatedAt":71,"publishedAt":72,"logoDark":49,"logoLight":49,"nav":73,"footer":257},1,"ded2oyx8g005xuue0dkk17wm","Accountaire",{"url":8,"logo":9,"name":6,"@type":10,"email":13,"sameAs":14,"address":16,"@context":21,"legalName":22,"telephone":23,"areaServed":24,"knowsAbout":36,"description":46,"foundingDate":47},"https:\u002F\u002Faccountaire.com","https:\u002F\u002Faccountaire.com\u002Flogo.png",[11,12],"Organization","AccountingService","hello@accountaire.com",[15],"https:\u002F\u002Fwww.linkedin.com\u002Fcompany\u002Faccountaire",{"@type":17,"streetAddress":18,"addressCountry":19,"addressLocality":20},"PostalAddress","5 Davis Road, G-8, Shimla Tower","PK","Lahore","https:\u002F\u002Fschema.org","Accountaire (SMC-Private) Limited","+1-925-219-6399",[25,28,30,32,34],{"name":26,"@type":27},"United Kingdom","Country",{"name":29,"@type":27},"United States",{"name":31,"@type":27},"United Arab Emirates",{"name":33,"@type":27},"Canada",{"name":35,"@type":27},"Australia",[37,38,39,40,41,42,43,44,45],"Bookkeeping","Cloud Accounting","VAT","Payroll","Management Accounts","CFO Advisory","Xero","QuickBooks Online","Making Tax Digital","Modern remote accounting for ambitious SMEs. 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All rights reserved.",[261,265,269],{"id":262,"label":263,"href":264,"badge":49,"external":79},2006,"Privacy","\u002Flegal\u002Fprivacy",{"id":266,"label":267,"href":268,"badge":49,"external":79},2007,"Terms","\u002Flegal\u002Fterms",{"id":270,"label":271,"href":272,"badge":49,"external":79},2008,"DPA","\u002Flegal\u002Fdpa",[],[275,291,304],{"id":276,"title":78,"links":277},91,[278,280,282,284,286,288],{"id":279,"label":83,"href":84,"badge":49,"external":79},1991,{"id":281,"label":40,"href":87,"badge":49,"external":79},1992,{"id":283,"label":90,"href":91,"badge":49,"external":79},1993,{"id":285,"label":94,"href":95,"badge":49,"external":79},1994,{"id":287,"label":98,"href":99,"badge":49,"external":79},1995,{"id":289,"label":290,"href":103,"badge":49,"external":79},1996,"Catch-up",{"id":292,"title":240,"links":293},92,[294,296,298,300,302],{"id":295,"label":26,"href":244,"badge":49,"external":79},1997,{"id":297,"label":29,"href":247,"badge":49,"external":79},1998,{"id":299,"label":31,"href":250,"badge":49,"external":79},1999,{"id":301,"label":33,"href":253,"badge":49,"external":79},2000,{"id":303,"label":35,"href":256,"badge":49,"external":79},2001,{"id":305,"title":306,"links":307},93,"Company",[308,312,316,320],{"id":309,"label":310,"href":311,"badge":49,"external":79},2002,"About","\u002Fabout",{"id":313,"label":314,"href":315,"badge":49,"external":79},2003,"Pricing","\u002Fpricing",{"id":317,"label":318,"href":319,"badge":49,"external":79},2004,"Blog","\u002Fblog",{"id":321,"label":322,"href":323,"badge":49,"external":79},2005,"Contact","\u002Fcontact",{"id":325,"documentId":326,"title":327,"slug":328,"excerpt":329,"body":330,"category":331,"author":6,"readingMinutes":332,"publishedTime":333,"updatedTime":334,"createdAt":335,"updatedAt":336,"publishedAt":337,"seo":338,"blocks":346},482,"fa768tcy0snwmfzj9clvf17r","Making Tax Digital for VAT: a 2026 guide and reality check.","mtd-uk-vat-guide","A Making Tax Digital for VAT guide for UK SMEs: what HMRC requires, digital link rules, penalty points, approved software and the mistakes we still fix.","\u003Cp>Making Tax Digital for VAT requires every VAT-registered business in the UK to keep digital VAT records, preserve digital links between those records and the return, and submit through HMRC-compatible software rather than the online portal. It has applied to all VAT-registered businesses since 1 April 2022, whatever their turnover.\u003C\u002Fp> \u003Ch2>What does Making Tax Digital for VAT actually require?\u003C\u002Fh2> \u003Cp>Making Tax Digital for VAT became mandatory for all VAT-registered businesses on 1 April 2022, extending the rules that previously applied only to businesses above the (then £85,000) VAT threshold. The current \u003Ca href=\"https:\u002F\u002Fwww.gov.uk\u002Fvat-registration\u002Fthresholds\" rel=\"noopener\" target=\"_blank\">HMRC VAT registration threshold\u003C\u002Fa> and the full \u003Ca href=\"https:\u002F\u002Fwww.gov.uk\u002Fguidance\u002Fmaking-tax-digital-for-vat\" rel=\"noopener\" target=\"_blank\">Making Tax Digital for VAT guidance\u003C\u002Fa> are both published on GOV.UK. Four years on, the regime is unfamiliar to almost no one in UK finance. The headline obligations remain unchanged:\u003C\u002Fp> \u003Cul> \u003Cli>\u003Cstrong>Keep digital records\u003C\u002Fstrong> of all VAT transactions in \u003Ca href=\"https:\u002F\u002Fwww.gov.uk\u002Fguidance\u002Ffind-software-thats-compatible-with-making-tax-digital-for-vat\" rel=\"noopener\" target=\"_blank\">HMRC-approved software\u003C\u002Fa> (or in a spreadsheet linked via API to bridging software).\u003C\u002Fli> \u003Cli>\u003Cstrong>Submit VAT returns digitally\u003C\u002Fstrong> via the API, no more manual key-in to the HMRC web portal.\u003C\u002Fli> \u003Cli>\u003Cstrong>Maintain \"digital links\"\u003C\u002Fstrong> between the source records and the submitted return. A digital link is a digital transfer of data, copy-pasting between spreadsheets does not count.\u003C\u002Fli> \u003C\u002Ful> \u003Ch2>Which MTD for VAT mistakes do we still see in 2026?\u003C\u002Fh2> \u003Ch3>1. Manual edits to the bridging-software output\u003C\u002Fh3> \u003Cp>By far the most common compliance failure we see at takeover. A business has Xero or QuickBooks generating the figures, the output is exported to Excel for \"checks\", a number gets manually adjusted, and the adjusted figure is submitted via bridging software. This breaks the digital link chain in two places, between the accounting software and Excel (depending on how the export happens) and between the edited Excel and the bridging tool.\u003C\u002Fp> \u003Cp>The remedy is structural: any adjustment must be made in the accounting software (via a journal entry), not in a downstream tool. Where adjustments need explanation, the journal narration is the right place: auditable, dated, and inside the digital-link chain.\u003C\u002Fp> \u003Ch3>2. Misapplied partial-exemption methods\u003C\u002Fh3> \u003Cp>Partial exemption applies to businesses making both taxable and exempt supplies, typically property businesses, education providers, financial services and certain charities. The standard method (apportioning input VAT by reference to taxable turnover) is rarely the right answer for any of these sectors, but we routinely take over books where partial exemption is applied as if it were.\u003C\u002Fp> \u003Cp>HMRC permits special methods (sector-specific apportionment by floor area, headcount, transaction value, etc.) on application, under \u003Ca href=\"https:\u002F\u002Fwww.gov.uk\u002Fguidance\u002Fpartial-exemption-vat-notice-706\" rel=\"noopener\" target=\"_blank\">VAT Notice 706\u003C\u002Fa>. Property businesses hit this hardest, which is why it also appears on our \u003Ca href=\"\u002Findustries\u002Flandlords\">landlord and property SPV accountants\u003C\u002Fa> page. For partially-exempt businesses, the difference between the standard method and a properly-designed special method is typically 8–20 percentage points of recoverable input VAT, material amounts.\u003C\u002Fp> \u003Ch3>3. EU OSS \u002F IOSS confusion post-Brexit\u003C\u002Fh3> \u003Cp>For UK businesses selling B2C into the EU, the post-Brexit position is now well-established but routinely mishandled. Distance sales above the €10,000 threshold require either: (a) registration in each EU country of sale (the old default), or (b) registration under the EU One Stop Shop (OSS) scheme through a single EU member state. Low-value imports under €150 follow the Import One Stop Shop (IOSS) regime, administered through the \u003Ca href=\"https:\u002F\u002Fvat-one-stop-shop.ec.europa.eu\u002Findex_en\" rel=\"noopener\" target=\"_blank\">EU One Stop Shop\u003C\u002Fa>.\u003C\u002Fp> \u003Cp>The recurring error: UK Shopify and Amazon brands assume the UK VAT registration covers EU sales. It doesn't. EU customers buying directly receive a VAT-inclusive price that should include destination-country VAT, and the seller must register and remit. Many brands have been doing this incorrectly for three years and accumulated material historic exposure. We unwind that through \u003Ca href=\"\u002Fservices\u002Fecommerce\">our e-commerce accounting service\u003C\u002Fa> and, where the ledger itself needs rebuilding, \u003Ca href=\"\u002Fservices\u002Fcatch-up\">catch-up bookkeeping\u003C\u002Fa>.\u003C\u002Fp> \u003Ch2>What's coming: MTD for Income Tax Self Assessment\u003C\u002Fh2> \u003Cp>\u003Ca href=\"https:\u002F\u002Fwww.gov.uk\u002Fguidance\u002Fusing-making-tax-digital-for-income-tax\" rel=\"noopener\" target=\"_blank\">MTD for Income Tax\u003C\u002Fa>, long delayed, finally begins phasing in from April 2026 for sole traders and landlords with combined business or property income above £50,000. We cover the mechanics in full in \u003Ca href=\"\u002Fblog\u002Fself-assessment-mtd-itsa\">MTD for Income Tax Self Assessment\u003C\u002Fa>. From April 2027, the threshold drops to £30,000. The mechanics are different from MTD for VAT:\u003C\u002Fp> \u003Cul> \u003Cli>Quarterly digital updates to HMRC (not full VAT-style returns), summarising income and expenses.\u003C\u002Fli> \u003Cli>An end-of-period statement at year-end with adjustments.\u003C\u002Fli> \u003Cli>A final declaration finalising tax liability.\u003C\u002Fli> \u003C\u002Ful> \u003Cp>For self-employed clients and landlords already on modern cloud accounting software, the transition is mostly invisible, the software handles it. For clients on spreadsheets or legacy desktop tools, April 2026 (or 2027) is the practical deadline to migrate. Sole traders should read this alongside \u003Ca href=\"\u002Fservices\u002Fself-assessment\">UK Self-Assessment tax return filing\u003C\u002Fa> and \u003Ca href=\"\u002Findustries\u002Fsole-traders\">sole trader accountants\u003C\u002Fa>.\u003C\u002Fp> \u003Ch2>HMRC-approved software in 2026\u003C\u002Fh2> \u003Cp>The list of HMRC-approved MTD software is long but the practical choices for SMEs come down to a handful:\u003C\u002Fp> \u003Ctable>\u003Ccaption class=\"sr-only\">HMRC-approved software in 2026\u003C\u002Fcaption> \u003Cthead>\u003Ctr>\u003Cth>Software\u003C\u002Fth>\u003Cth>Best for\u003C\u002Fth>\u003Cth>MTD VAT\u003C\u002Fth>\u003Cth>MTD ITSA\u003C\u002Fth>\u003C\u002Ftr>\u003C\u002Fthead> \u003Ctbody> \u003Ctr>\u003Ctd>Xero\u003C\u002Ftd>\u003Ctd>Most SMEs, multi-jurisdiction\u003C\u002Ftd>\u003Ctd>Native\u003C\u002Ftd>\u003Ctd>Native\u003C\u002Ftd>\u003C\u002Ftr> \u003Ctr>\u003Ctd>QuickBooks Online\u003C\u002Ftd>\u003Ctd>US-aligned businesses\u003C\u002Ftd>\u003Ctd>Native\u003C\u002Ftd>\u003Ctd>Native\u003C\u002Ftd>\u003C\u002Ftr> \u003Ctr>\u003Ctd>FreeAgent\u003C\u002Ftd>\u003Ctd>UK micro-businesses, NatWest banking\u003C\u002Ftd>\u003Ctd>Native\u003C\u002Ftd>\u003Ctd>Native\u003C\u002Ftd>\u003C\u002Ftr> \u003Ctr>\u003Ctd>Sage Business Cloud\u003C\u002Ftd>\u003Ctd>Established UK SMEs\u003C\u002Ftd>\u003Ctd>Native\u003C\u002Ftd>\u003Ctd>Native\u003C\u002Ftd>\u003C\u002Ftr> \u003Ctr>\u003Ctd>Zoho Books\u003C\u002Ftd>\u003Ctd>Cost-sensitive UK businesses\u003C\u002Ftd>\u003Ctd>Native\u003C\u002Ftd>\u003Ctd>Roadmap 2026\u003C\u002Ftd>\u003C\u002Ftr> \u003C\u002Ftbody> \u003C\u002Ftable> \u003Cp>Bridging software (HMRC-approved Excel-to-API tools like Avalara, Tax Optimiser, BTC Software) remains compliant but increasingly unnecessary. If you're still using a bridging tool in 2026, ask why.\u003C\u002Fp> \u003Ch2>The bottom line\u003C\u002Fh2> \u003Cp>MTD for VAT is now ordinary plumbing, but the failure modes are subtle. Take a fresh look at your VAT return process this quarter and verify three things: that no manual adjustment happens outside the accounting software; that partial-exemption methods (if relevant) match your actual supply mix; and that EU sales obligations are properly registered if you sell B2C across the channel.\u003C\u002Fp> \u003Cblockquote>If your VAT return process involves an Excel file that someone \"tidies up\" before submission, it's not MTD-compliant, even if the bridging tool says otherwise.\u003C\u002Fblockquote> \u003Cp>And start preparing for MTD for ITSA if you have sole-trader or landlord income above £50k. April 2026 sounds far away. It isn't.\u003C\u002Fp> \u003Ch2>Which VAT scheme should you be on?\u003C\u002Fh2> \u003Cp>Scheme choice changes the arithmetic more than software choice does, and it is checked far less often. The entry and exit thresholds below are set by HMRC and have been stable for years, so they are safe to memorise rather than look up each time.\u003C\u002Fp> \u003Ctable>\u003Ccaption class=\"sr-only\">Which VAT scheme should you be on?\u003C\u002Fcaption> \u003Cthead>\u003Ctr>\u003Cth>Scheme\u003C\u002Fth>\u003Cth>Join threshold\u003C\u002Fth>\u003Cth>Leave threshold\u003C\u002Fth>\u003Cth>Who it suits\u003C\u002Fth>\u003C\u002Ftr>\u003C\u002Fthead> \u003Ctbody> \u003Ctr>\u003Ctd>Standard accounting\u003C\u002Ftd>\u003Ctd>Any\u003C\u002Ftd>\u003Ctd>Any\u003C\u002Ftd>\u003Ctd>Most businesses, and anyone with material input VAT\u003C\u002Ftd>\u003C\u002Ftr> \u003Ctr>\u003Ctd>Flat Rate Scheme\u003C\u002Ftd>\u003Ctd>VAT taxable turnover of £150,000 or less, excluding VAT\u003C\u002Ftd>\u003Ctd>Total turnover above £230,000\u003C\u002Ftd>\u003Ctd>Service businesses with very little input VAT\u003C\u002Ftd>\u003C\u002Ftr> \u003Ctr>\u003Ctd>Cash Accounting Scheme\u003C\u002Ftd>\u003Ctd>VAT taxable turnover of £1.35m or less\u003C\u002Ftd>\u003Ctd>Above £1.6m\u003C\u002Ftd>\u003Ctd>Businesses paid slowly by their customers\u003C\u002Ftd>\u003C\u002Ftr> \u003Ctr>\u003Ctd>Annual Accounting Scheme\u003C\u002Ftd>\u003Ctd>VAT taxable turnover of £1.35m or less\u003C\u002Ftd>\u003Ctd>Above £1.6m\u003C\u002Ftd>\u003Ctd>Businesses that want one return and nine instalments\u003C\u002Ftd>\u003C\u002Ftr> \u003C\u002Ftbody> \u003C\u002Ftable> \u003Cp>The Flat Rate Scheme is the one that gets chosen badly. A limited cost trader pays a 16.5 per cent flat rate, which for most consultancies is worse than standard accounting once any real expenditure appears. HMRC sets out the mechanics in \u003Ca href=\"https:\u002F\u002Fwww.gov.uk\u002Fvat-flat-rate-scheme\" rel=\"noopener\" target=\"_blank\">its Flat Rate Scheme guidance\u003C\u002Fa> and in \u003Ca href=\"https:\u002F\u002Fwww.gov.uk\u002Fgovernment\u002Fpublications\u002Fvat-notice-733-flat-rate-scheme-for-small-businesses\" rel=\"noopener\" target=\"_blank\">VAT Notice 733\u003C\u002Fa>. We re-run the comparison annually for every client on it, because the answer changes the year you buy equipment.\u003C\u002Fp> \u003Ch2>What does a late VAT return actually cost?\u003C\u002Fh2> \u003Cp>Since January 2023 the penalty for filing late is points-based rather than a straight surcharge. Each late submission earns one point. The penalty lands when you hit the threshold for your filing frequency, and it lands again on every late submission after that.\u003C\u002Fp> \u003Cul> \u003Cli>\u003Cstrong>Monthly returns:\u003C\u002Fstrong> penalty at 5 points.\u003C\u002Fli> \u003Cli>\u003Cstrong>Quarterly returns:\u003C\u002Fstrong> penalty at 4 points.\u003C\u002Fli> \u003Cli>\u003Cstrong>Annual returns:\u003C\u002Fstrong> penalty at 2 points.\u003C\u002Fli> \u003C\u002Ful> \u003Cp>The penalty is £200 each time. Points expire after a period of compliance, but only once you have filed everything outstanding, so a business two returns behind cannot start the clock by filing the current one alone. HMRC sets out the full mechanics under \u003Ca href=\"https:\u002F\u002Fwww.gov.uk\u002Fguidance\u002Fpenalty-points-and-penalties-if-you-submit-your-vat-return-late\" rel=\"noopener\" target=\"_blank\">the VAT late submission penalty points regime\u003C\u002Fa>.\u003C\u002Fp> \u003Cp>Late payment is separate and escalates with time outstanding, with interest running alongside it. Filing on time and paying late is a materially cheaper mistake than the reverse, which is not obvious and matters most on a quarter where cash is tight. Both deadlines fall one calendar month and seven days after the period ends, as set out in \u003Ca href=\"https:\u002F\u002Fwww.gov.uk\u002Fvat-returns\u002Fdeadlines\" rel=\"noopener\" target=\"_blank\">the HMRC VAT deadline rules\u003C\u002Fa>. A 31 March quarter end is therefore due on 7 May.\u003C\u002Fp> \u003Ch2>What we check before submitting a VAT return\u003C\u002Fh2> \u003Cp>Nine items, in this order, on every return we file. It takes about forty minutes on a clean quarter and it is the difference between a submission and a considered one.\u003C\u002Fp> \u003Col> \u003Cli>The VAT control account reconciles to the return, to the penny, before anything is sent.\u003C\u002Fli> \u003Cli>Bank feeds are complete to the last day of the period, with no unreconciled items older than 30 days.\u003C\u002Fli> \u003Cli>Supplier invoices carry a VAT number where input tax is claimed. A receipt without one is not a VAT invoice.\u003C\u002Fli> \u003Cli>Zero-rated, exempt and outside-the-scope items are separated rather than lumped together, because only two of the three belong in box 6.\u003C\u002Fli> \u003Cli>Reverse charge entries appear in both the output and input boxes, which catches most imported-services errors.\u003C\u002Fli> \u003Cli>Entertainment, personal use and blocked input tax such as most car purchases are stripped out.\u003C\u002Fli> \u003Cli>Any adjustment is posted as a journal inside the accounting software, never as an edit downstream.\u003C\u002Fli> \u003Cli>Prior-period errors are assessed against the correction threshold before deciding whether to adjust the return or notify HMRC separately.\u003C\u002Fli> \u003Cli>The digital link chain from source record to submission is unbroken, per \u003Ca href=\"https:\u002F\u002Fwww.gov.uk\u002Fgovernment\u002Fpublications\u002Fvat-notice-70022-making-tax-digital-for-vat\" rel=\"noopener\" target=\"_blank\">VAT Notice 700\u002F22\u003C\u002Fa>.\u003C\u002Fli> \u003C\u002Fol> \u003Cp>Worked example, illustrative rather than a real client. A UK agency with £480,000 of standard-rated sales and £96,000 of standard-rated costs in a quarter declares £96,000 of output tax and recovers £19,200, leaving £76,800 payable. Move £30,000 of those costs into a category where the supplier never issued a VAT invoice and the recoverable figure drops by £6,000. That is not a rounding issue; it is a quarter of the input tax claim, and it is the sort of thing a takeover review finds in the first hour.\u003C\u002Fp> \u003Ch2>Getting help with MTD VAT\u003C\u002Fh2> \u003Cp>We file MTD VAT returns as an HMRC-authorised agent through \u003Ca href=\"\u002Fservices\u002Ftax-vat\">our MTD VAT filing service\u003C\u002Fa>, for clients across the UK covered on \u003Ca href=\"\u002Fmarkets\u002Fuk\">accountants for UK SMEs\u003C\u002Fa>. Most of that work runs in Xero through \u003Ca href=\"\u002Fsoftware\u002Fxero\">Xero Certified Advisor accountants\u003C\u002Fa>, with \u003Ca href=\"\u002Fsoftware\u002Ffreeagent\">FreeAgent accountants\u003C\u002Fa> for sole traders and \u003Ca href=\"\u002Fsoftware\u002Fsage\">Sage 50 and Sage Business Cloud accountants\u003C\u002Fa> where a legacy file makes more sense than a migration. Businesses several quarters behind start with \u003Ca href=\"\u002Fservices\u002Fcatch-up\">catch-up bookkeeping\u003C\u002Fa> rather than with a return. E-commerce sellers dealing with EU distance selling alongside UK VAT should read this with \u003Ca href=\"\u002Findustries\u002Fshopify\">Shopify accountants\u003C\u002Fa> and \u003Ca href=\"\u002Fblog\u002Fus-sales-tax-nexus\">US sales tax nexus for online sellers\u003C\u002Fa> alongside it.\u003C\u002Fp> \u003Cdiv class=\"post-cta\"> \u003Ch3>Need help getting MTD-ready?\u003C\u002Fh3> \u003Cp>We're HMRC Agent authorised and fully MTD-compliant. We handle VAT registration, quarterly returns and the upcoming ITSA transition end-to-end.\u003C\u002Fp> \u003Ca class=\"btn btn-primary\" href=\"\u002Fcontact\" style=\"align-self:flex-start;margin-top:6px;\">\u003Cspan data-cta-copy=\"\">Book an MTD for VAT call\u003C\u002Fspan> →\u003C\u002Fa> \u003C\u002Fdiv>","UK · Tax",9,"2026-04-12T00:00:00.000Z","2026-09-10T00:00:00.000Z","2026-06-01T17:04:33.081Z","2026-09-11T00:58:52.113Z","2026-09-11T00:58:52.202Z",{"id":339,"metaTitle":340,"metaDescription":329,"keywords":341,"canonicalURL":342,"ogType":343,"ogLocale":344,"twitterCard":345,"noindex":79,"structuredData":49,"ogImage":49},4454,"Making Tax Digital for VAT: 2026 Guide","making tax digital VAT, MTD VAT 2026, UK VAT digital filing, HMRC MTD requirements, MTD for VAT software, VAT return digital records","https:\u002F\u002Faccountaire.com\u002Fblog\u002Fmtd-uk-vat-guide","article","en_GB","summary_large_image",[347],{"id":174,"heading":348,"items":349,"__component":374},"Frequently asked questions",[350,354,358,362,366,370],{"id":351,"question":352,"answer":353},12488,"Who has to follow Making Tax Digital for VAT?","Every VAT-registered business in the UK, regardless of turnover, since 1 April 2022. Voluntary registrations below the threshold are included. There is no longer a turnover test to fall back on, and exemption is granted only on narrow grounds such as religious belief or genuine digital exclusion, on application to HMRC.",{"id":355,"question":356,"answer":357},12489,"What counts as a digital link?","A digital transfer of data between two pieces of software with no manual intervention. API connections, linked cells in a spreadsheet, XML or CSV imports and emailed spreadsheet files all qualify. Copying a figure and typing it somewhere else does not, even if the number is correct.",{"id":359,"question":360,"answer":361},12490,"Can I still use spreadsheets for VAT?","Yes, provided the spreadsheet is digitally linked to bridging software that submits through the HMRC API. The spreadsheet itself is not the problem. The manual step between it and the submission is.",{"id":363,"question":364,"answer":365},12491,"When is my VAT return due?","Not always three months of trading. A first return after registration often covers a longer period, which pushes the due date further out than the quarterly rhythm suggests. Businesses above the HMRC payments on account threshold work to a different rhythm again: monthly instalments through the quarter, with the return only balancing up at the end of it. Direct debit collects a few working days after the deadline rather than on it.",{"id":367,"question":368,"answer":369},12492,"What happens if I file late?","You collect a penalty point. At four points on quarterly filing, five on monthly and two on annual, a £200 penalty is charged, and again on every late submission after that. Points only expire once you have filed everything outstanding and stayed compliant for the required period.",{"id":371,"question":372,"answer":373},12493,"Do I need an accountant if my software files the return?","The software submits the number you approve. It does not decide whether a cost was zero-rated or exempt, whether the reverse charge applies to an imported service, or whether your partial exemption method still matches your supply mix. Those judgements are the ones HMRC asks about on enquiry.","blocks.faq"]