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Level 4

VAT Return in QB Desktop

I have received a letter from HMRC this week stating that because I have been submitting VAT returns using XML in the past, that from 8th April 2021 this will cease to be possible. As I have always been using the VAT return submission routine in QB Desktop (current installation is QB Desktop 2020), I don't see why this should be. Is this a potential issue that will be addressed by a future update to QB2020, or is this something that the developers will need to address as a matter of urgency?

Solved
Best answer December 31, 2020

Accepted Solutions
Moderator

VAT Return in QB Desktop

Hello there, Mollcons. Thank you for posting in the Community forum.

 

Our developers are currently working on this and will be addressed for a future update. In your next submission for the VAT returns, you're required to use MTD for QuickBooks Desktop.

 

For additional tips and information, you can check this article: Making Tax Digital (MTD). This helps you ensure you won't miss a single step when filing returns to HMRC for MTD.

 

Please let me know if you have other questions. Take care and stay safe always.

View solution in original post

6 REPLIES 6
Moderator

VAT Return in QB Desktop

Hello there, Mollcons. Thank you for posting in the Community forum.

 

Our developers are currently working on this and will be addressed for a future update. In your next submission for the VAT returns, you're required to use MTD for QuickBooks Desktop.

 

For additional tips and information, you can check this article: Making Tax Digital (MTD). This helps you ensure you won't miss a single step when filing returns to HMRC for MTD.

 

Please let me know if you have other questions. Take care and stay safe always.

View solution in original post

Level 1

VAT Return in QB Desktop

Hi,

 

In relation to your reply regarding the submission of VAT Returns from 8th April 2021... I too had this query, and was told by one of your online chat team last week that we would have to find an alternative way of submitting the return.  He said that it wasn't something Quickbooks were working on.

 

Can you confirm this will definitely be sorted in time for the transition date please, and will the update be automatic of will we have to do something at this end?

 

Many thanks

 

Paula

QuickBooks Team

VAT Return in QB Desktop

Hello there, @Paula.

 

Let me share additional information on how QuickBooks handles your VAT return filing.

 

QuickBooks MTD software currently supports Standard, Cash and Flat Rate schemes. Let's first make sure your QuickBooks software is updated to the latest version. This ensures that the program displays the latest features and downloads needed patch. 

  1. Open QuickBooks.
  2. Choose the Help menu.
  3. Select Update QuickBooks.
  4. From the Update Now tab, click the Get Updates button.

Once completed, let's reboot your device to make sure that all components are updated. Now, you can follow the steps below to submit your VAT return to HMRC for MTD:

  1. Go to VAT at the top of the menu.
    • Choose File VAT (Accountants).
      1. You will be prompted to ensure you have an Agent Services Account .
      2. Link your clients to agent services account and ensure they are eligible for MTD.
      3. Connect to HMRC using your new government gateway user ID and password.
    • Click File VAT (Small Businesses)
      1. Sign up for MTD for VAT
      2. Connect to HMRC
      3. Sign into HMRC using your government gateway credentials
      4. Grant authority to interact with HMRC on your behalf
  2. File VAT MTD
  3. Select the VAT return you're filing and click Proceed
  4. Review your return and click File Return
  5. Agree to the declaration and click File Return
  6. Click Finish.

Just a heads-up, businesses whose home currency is not GBP are currently not supported for MTD. 

 

On the other hand, there's no specific turn around time as to when the updates will be incorporated in the program. However, just follow the steps above to ensure that your QuickBooks is able to downloaded updates once it is available.

 

Feel free to leave your comments below if you have other questions or concerns about managing VAT in QuickBooks. I'm just a few clicks away.

Level 4

VAT Return in QB Desktop

You are NOT answering the question raised initially by myself and re-iterated by @Paula NCS . This is that HMRC have mailed all accounting software users to remind them that ALL VAT submissions after March 2021 will HAVE to follow the new rules.

Your colleague (@SarahannC) provided me with a sensible answer - namely that the developers were aware of the issue and would be delivering a suitable update before the new rules are applied in April 2021.

Level 1

VAT Return in QB Desktop

Hi

Does it mean that from 8th of April 2020 all Quickbooks users in the UK, to be able to send their VAT return to Hmrc, will have to register for MTD even if they are not really required to do so yet because they are under the £85,000 threshold? 

QuickBooks Team

VAT Return in QB Desktop

Hi Iwona1,

 

 

Thanks for joining this thread, 

 

Once the XML submission method is discontinued the only way to submit this through Desktop would be via MTD, however, you may be able to take the figures and submit these manually with HMRC if they have an alternate for companies who do not meet the requirements for registering. 🙂