In order to be compliant with MTD for VAT, Sage users will need to be on a current version of either Sage Version 24 or Sage Version 25 with an active licence.
An active licence requires you to either be:
1. Paying a monthly subscription to Sage
Or
2. Paying a monthly/annual cover contract AND paying for the additional MTD add on module.
You will need to ensure you have downloaded the current version of Sage.
Please note that whilst you may have Sage 24 or 25, you need to check that you have an active licence, as without this your software is not MTD compliant.
To double check if your Sage software is MTD compliant please go to Tools > Activation > Refresh Licence. Your Licence Confirmation should include a line reading “Making Tax Digital for VAT”.
Once you’ve submitted your VAT return for the relevant quarter ended March, April or May 2019 (if you submit monthly VAT returns then once March 2019 has been submitted), you will firstly need to register with HM Revenue & Customs to be in the ‘MTD Scheme’ using the following link:
https://www.gov.uk/guidance/sign-up-for-making-tax-digital-for-vat
Please also be aware that if HM Revenue & Customs currently collect your payment by direct debit, the transfer onto the new HMRC system is a change for D/D purposes and so needs to be set up at least 15 days prior to collection of the next D/D.
Once you have signed up to the HM Revenue & Customs MTD scheme, you will need to go to Settings, Company Preferences. Click on the VAT section and tick to Enable MTD for VAT.
