Only 4% of businesses have signed up for Making Tax Digital

Only a fraction of UK businesses have signed up for Making Tax Digital (MTD), with 1.1 million still holding off ahead of the 1st April deadline, according to new FOI data requested by Float.

 

About 88% of businesses with a turnover above the VAT threshold use an external agent to manage their taxes, but only 13,427 of the businesses that had signed up by the 18th March were signed up by agents, meaning the majority of firms signed up independently.

 

Only 1,679 agents have signed up clients to MTD so far out of the 72,000 agents that are acting for the mandated businesses which equate to just 2%.

 

Failure to meet the deadlines and demands of MTD will result in businesses accruing points and penalties with HMRC, a build-up of these points will result in financial penalties.

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