Hi Pete This is a forum for professional bookkeepers and accountants rather than for business owners, so unfortunately we cannot really help you on here.
I'm sorry if I gave a wrong impression but I am a Bookkeeper and HMRC Agent for several clients. The first MTD VAT returns are coming up and, although there is a soft landing period, I'd like to get this correct at the outset.
I've read 700_22 and understand that the Digital Links are required between the "Functional Compatible Software" (FCS) and HMRC.
I gave the example of QuickBooks as FCS. My question is about inputting the data to that software.
Surely a paper invoice would be entered manually into the FCS and referenced in the usual way and kept in a filing system.
Or do we envisage a "Digital Link" for this transaction?
Im sure you will have seen that we ask newbies for an intro, so how about yours.
Usual stuff - what prof body do you belong to, do you work for yourself or in a practice/ firm, are you a bookkeeper or accountant, what qualifications, how long in role, where up to in your studies-what exams passed/with what body/in midst of doing, where based, what you did before this role? That sort of thing. Helps get to know you but also how best to pitch answers.
__________________
Joanne
Winner of Bookkeeper of the Year 2015, 2016 & 2017
Thoughts are my own/not to be regarded as official advice,which should be sought from a suitably qualified Accountant.
You should check out answers with reference to the legal position
The principle about "Digital Links" is not really that nothing is ever typed in, but that there is somewhere a list of vat inputs and outputs and the figures submitted from those inputs and outputs are calculated automatically and submitted to HMRC without anyone typing anything further in (apart from things like adjustments for partial exemption).
QB will have the list of inputs and outputs and is FCS and as long as you submit from that you are OK. There is no problem having a paper invoice from which a summary is typed into FCS.
The same principles will apply for self assessment.
HMRC don't always give out the right advice. At times the helpline has said that if you produce an invoice using Excel you cannot type those figures into your accounting system.
In essence it is all about having a digital audit trail. When it comes to Self Assessment I am expecting the same requirements to be there not just for the basic accounting entries for self employment and property (both types), but also for things like interest and AIA.
