Making Tax Digital (MTD)
Definition
HMRCs programme requiring UK businesses to keep digital records and file returns through compatible software using a digital link rather than manual re-entry. Established for VAT, with Income Tax Self Assessment being phased in by income band and start date set by HMRC.
Related Terms in International Tax
Self Assessment
The UK system under which individuals, including the self-employed, company directors and landlords, report income to HMRC on a tax return and pay the tax due. Filing and payment deadlines, and the payments-on-account mechanism, are set by HMRC.
BAS
The Business Activity Statement lodged with the Australian Taxation Office to report and pay GST, PAYG withholding, PAYG instalments and other obligations. Lodgement frequency, monthly, quarterly or annual, depends on turnover and registration.
HST
Harmonised Sales Tax, the single tax applied in Canadian provinces that have combined the federal GST with their provincial sales tax into one rate administered by the Canada Revenue Agency. Registrants claim input tax credits in the same way as under GST.
QST
Quebec Sales Tax, levied in addition to the federal GST and administered by Revenu Quebec rather than the Canada Revenue Agency. It works on the same input-credit principle, but registration and filing are separate from the federal system.
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