- Award-winning cloud accounting provider gains place on HMRC's official list of software suppliers ready for Making Tax Digital for VAT
Innovative cloud accounting provider FreeAgent is celebrating after receiving new credentials to help micro-business owners navigate the UK's forthcoming digital tax legislation.
FreeAgent, which makes software for freelancers, micro-businesses and their accountants, has been included on HMRC's list of suppliers that are ready to support Making Tax Digital (MTD) for VAT.
The new legislation will require VAT-registered businesses to keep digital tax records and make quarterly updates to HMRC from next April. It is the first stage of the government's wider Making Tax Digital agenda, which aims to fully digitise tax reporting for all UK businesses over the coming years.
FreeAgent has been working closely with HMRC in recent months to ensure its software provides the best possible experience for small businesses and accountants who will be submitting VAT returns under MTD. In order to gain a place on the suppliers list, the company had to not only test FreeAgent's MTD capabilities in an official test environment, but also demonstrate a prototype of its software to HMRC.
Ed Molyneux, CEO and co-founder of FreeAgent, said: "We're delighted to be on HMRC's list of MTD-ready suppliers. It's a key recognition for our software as we prepare to support freelancers, micro-businesses and their accountants through the forthcoming MTD for VAT legislation.
"Ever since we started FreeAgent, we've been committed to helping business owners manage their tax & finances digitally. We've supported digital VAT submissions since 2010 and we're now looking forward to working with HMRC to help shape MTD and to ensure that this brave new world of digital tax is as simple as possible for our users."
FreeAgent has also created a suite of useful resources for freelancers and micro-businesses who are looking for more information about Making Tax Digital and how the new legislation will affect them. Check it out at: https://www.freeagent.com/guides/making-tax-digital/