Making Tax Digital Solution
Does your organisation have an efficient SAP MTD solution in place? We are aware that a lot of organisations have been under immense pressure to comply with the MTD legislation. Following the demand to help our clients keep their VAT returns simple, we created a solution that sends your VAT returns directly from your SAP system to HMRC.
Send Your VAT Returns Directly from your SAP System to HMRC
The Absoft MTD Solution for SAP is HMRC approved and we keep it fully updated, so you are safe in the knowledge that should the legislation change, your software will always be compliant. The Absoft Making Tax Digital solution:
- links your VAT data currently held in SAP directly to HMRC,
- allowing you to submit your VAT return at the touch of a button,
- with simple and straightforward navigation
- and no cloud or middle-ware involved
Frequently Asked Questions
From the 1st of April 2019, the vast majority of VAT registered businesses with a taxable turnover above the threshold of £85,000 per year will be required to keep all tax records digitally and submit their VAT return to HMRC via a compatible bridging software. This legislation is a step towards the government’s ambition to become one of the most digitally advanced economies in the world and aims to transform tax administration to become more effective, efficient and easier for companies to get their VAT right.
Although the legislation was brought in in April 2019, the government have given deferred deadlines to allow companies to get a suitable bridging software in place. A first deferred deadline was given to businesses in certain industries, such as the public sector, of October 2019. Since then, the government have announced a ‘soft landing’ period of 12 months for all businesses meaning that (depending on when your initial deadline was) companies have until April or October 2020 to get a solution in place.
Absoft have created a bespoke solution that is designed to allow customers to submit their VAT data directly to SAP. Contact us to get a demo!
This is largely depends on what version of SAP you are using – SAP S/4HANA already has integrated functionality available for compiling the MTD report, after which the report is submitted through the SAP Advanced Compliance Reporting service. For those on ECC6, there is no current functionality available as standard, however customers can subscribe to the ACR service and compile the VAT reports there.
The HMRC website shows the many options that available for software providers of MTD. These range to free Excel add-ons to software specific solutions. Absoft recommends that customers choose an SAP specific software that keeps all your VAT data in one place, without the need to export to Excel or another location before submission of the return.
Absoft recommends that your VAT processes are reviewed to ensure that best practice is in play in your organisation before installing an MTD solution. Absoft can provide a review service to assess your current VAT postings and to suggest improvements where appropriate. Please get in touch with us for more information.
Making Tax Digital for SAP [E-book] – Submit VAT Direct From SAP To HMRC
On demand: Making Tax Digital VAT Direct from SAP to HMRC DEMO
MTD – All you need to know to prepare for the new deadline