Frequently Asked Question

NO! Not anymore.

This has recently changed and you now just need to be Registered for VAT, you no longer have to Register for MTD for VAT as well.

So, if you’re already VAT Registered, you no longer have to Register for MTD for VAT as well. But you do need use MTD compliant software and record keeping.

HMRC have announced that Registration for MTD for VAT is now automatic with VAT Registration (unless you apply for exemption from MTD) and VAT Registered persons and businesses no longer have to Register for MTD, as well as their VAT Registration.

This is sensible as having to Register for MTD when already Registered for VAT had caused confusion; and this is now a far more streamlined process. But bear in mind that Registration for MTD for Income Tax will still be required ahead of when that is introduced (now sensibly delayed until April 2026).

However, unfortunately HMRCs announcement of this change wasn’t loud and consequently hasn’t yet been picked up by many. Additionally, as of writing, HMRC hasn’t updated its’ online guidance clearly and this has added to the confusion. Hopefully this lack of clarity will be resolved soon and clearer messaging posted on the HMRC webpages that industry guidance is linked to. Most or all of this guidance is consequently incorrect and misleading on this point, including some HMRC guidance. This will no doubt change over time.

So, now all you need to do to submit your VAT Return in compliance with MTD is:

• select an approved MTD compliant software (such as The Tax Kit’s VAT Bridging App)
• authorise HMRC to release your information to that software
• submit you VAT Return via that software

I should also note that to be able to submit VAT Returns under MTD, you still need to be registered with HMRC with an online account for VAT via the Government Gateway and have a Government Gateway Login (12 digit numerical code) and password.

You need an online VAT account with HMRC to authorise them to share your data with your chosen MTD complaint software (like The Tax Kit Bridging App): https://thetaxkit.co.uk/index.html#how-does-it-work

You may already have set up an online account with HMRC for Income Tax or Corporation Tax, but each tax needs to be activated individually, so if you haven’t set it up for VAT, you’ll need to do that.

The link to set-up or sign-in to your personal Government Gateway account can be found following this link: https://www.gov.uk/log-in-register-hmrc-online-services

So, to submit your VAT Returns in accordance with MTD, now instead of 3 registrations required, you now only need 2 registrations. Ie:

• VAT Registration
• Online account for VAT through the Government Gateway