Making Tax Digital bridging software

A bridging solution imports the final values of your VAT return (the 9 boxes) from a comma-separated values, or CVS file into Making Tax Digital-compatible software like QuickBooks. From here it can be submitted to HMRC in a compliant way.

The bridging solution imports the final VAT figures (values of the 9 boxes) into QuickBooks where they can then be submitted to HMRC in a Making Tax Digital compliant way. You can also import transactional data, such as invoices from a spreadsheet into QuickBooks using the existing CSV import option in QuickBooks.

The bridging solution won’t convert VAT transactions held in a spreadsheet into QuickBooks data.

Our bridging software solution is only available with an active QuickBooks subscription.

There’s no additional cost for using the bridging solution. All you need is a QuickBooks Online subscription and you’re ready to go.

Yes, business owners can use the bridging software independently or with an accountant.

The bridging solution has been built to meet Making Tax Digital for VAT requirements. It can’t be used for any other tax submissions.

If you currently use QuickBooks to track VAT you will need to record the payment/refund made to HMRC manually through the QuickBooks VAT Centre after you have paid HMRC. This’ll allow you to match and reconcile the payment/refund in your bank account.

If you decide you only want to use the bridging software in QuickBooks, you'll just need to make sure you pay HMRC what you owe.

The HMRC VAT Notice 700/22 states that there must be an automated data transfer between your CSV/Excel document. If you need to make any changes to the final amount of your VAT return before you submit it to HMRC you will need to edit the CSV/Excel file before uploading it.

Yes, you’ll see a confirmation on the screen as soon as your VAT return has been accepted and submitted to HMRC. The message will contain a receipt number that you can save for future reference. You’ll also receive an email with the confirmation. It can take a few hours for the confirmation email to reach you.

Yes, you will need to set up your Tax centre in QuickBooks and grant QuickBooks authority to interact with HMRC. This should take about 2–3 minutes.

HMRC has confirmed that bridging software is still an MTD-compliant solution for VAT now that the soft landing period has ended. This means that your clients can choose to keep using spreadsheets, but they also need to maintain a digital record-keeping solution. However, as their accountant, you may want to recommend moving to digital accounting software instead. 90% of QuickBooks customers* agree that QuickBooks helps them save time on accounting- and/or bookkeeping-related activities when compared to using spreadsheets.

*Based on an August 2020 survey of QuickBooks active subscribers. 90% of respondents who state they have previously used spreadsheets agree or strongly agree they save time on accounting–and/or bookkeeping-related activities with QuickBooks.

Absolutely. Your account manager can help you with this.

Yes. To comply with Making Tax Digital, your clients will be required to have digital records of all support documentation such as invoices and bank statements.