Original article by Søren Friis Alexandersen, Microsoft
Are you using Dynamics NAV or Dynamics 365 Business Central and worried about compliance with Making Tax Digital?
Making Tax Digital is on everyone's lips in the United Kingdom at the moment. And with good reason. Making Tax Digital is an initiative to make it easier for both businesses and individual citizens to stay on top of their tax-related affairs. The ambition of HMRC is to become one of the most digitally advanced tax administrations in the world and to make the tax system more effective, efficient, and easier for customers to comply with.
Making Tax Digital will be rolled out in phases - or rather - enforcement of different aspects of this initiative will happen over time.
At the time of this post we know that businesses in the UK will be required to start using the Making Tax Digital system in April 2019, but only be to meet their VAT obligations. This is, of course, subject to change. The UK government has said (committed) that it will not broaden the scope of Making Tax Digital for business beyond VAT until the system has proven to work, and not before April 2020 at the earliest.
How does Microsoft support Making Tax Digital?
Microsoft are working to ensure that the supported UK versions of Microsoft Dynamics NAV (version 2015 & beyond) and Microsoft Dynamics 365 Business Central as stated in the Microsoft Lifecycle Policy, will comply with the Making Tax Digital initiative. The NAV People will ensure all of their customers, regardless of version, will be able to access the required modifications to enable them to be compliant.
The NAV People and Microsoft are working together to ensure this process can be transitioned as smoothly as possible. If you'd like to discuss Making Tax Digital, give us a call or contact us at firstname.lastname@example.org
If you want to know more about the foundations for Making Tax Digital, please see this page from the UK government.