3.  How much will it cost business to comply with MTD for VAT?

For businesses needing to use digital software for the first time, there are a number of providers that will offer this on a subscription basis with packages tailored to your company’s size and/or structure.

Existing customers that use updated accounting software will have to check their current provider is MTD ready.

HMRC has given an estimate that the transitional costs average at about £2801 per business across the period of transition.

This does not, however, consider long term efficiency gains from MTD: