Making Tax Digital - FreeAgent has you covered

File your next VAT return on a 30-day free trial of our award-winning, HMRC-recognised accounting software for small businesses.

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File MTD VAT Returns to HMRC from FreeAgent

What is Making Tax Digital?

All UK businesses with VATable sales above the VAT threshold (currently £85,000) need to store digital records and submit VAT updates to HMRC using MTD-compatible accounting software. Even if you’re already using accounting software to file VAT digitally, you still need to change the way you submit your return to HMRC.

What do you need to do?

If you haven’t started preparing your business for digital VAT filing yet, you need to:

  1. Sign up to FreeAgent
  2. Register for Making Tax Digital for VAT on HMRC’s website
  3. Get your business’s accounts ready to file
  4. Connect your FreeAgent account to HMRC’s Making Tax Digital service
  5. File your business’s first MTD VAT return

Registering for HMRC’s new Making Tax Digital service can take up to seven working days to complete so we recommend that you get going as soon as you can.

How to get your business set up for Making Tax Digital for VAT

Discover how easy it really is to file digital VAT from FreeAgent in this short video.

When's it happening?

Check the timeline to find out when Making Tax Digital will affect you.

April 2021

All VAT returns submitted through accounting software must be sent via the software’s MTD connection.

April 2022

VAT-registered businesses with VATable sales below £85,000 must follow MTD rules.

April 2024

HMRC will introduce MTD for Income Tax Self Assessment.

2026 onwards

HMRC will seek to introduce MTD for Corporation Tax.

How FreeAgent can help

FreeAgent’s powerful automation features can help you get your accounts in order for digital VAT filing with minimal hassle. Our Open Banking bank feeds automatically backfill your account with historical bank transactions, saving you time as you prepare to file your first digital VAT return.

Once you’ve set up for digital VAT filing and your accounts are in order, FreeAgent will automatically generate your MTD VAT return and allow you to submit it directly to HMRC with the click of a button.

What does Making Tax Digital mean for you?

Rebecca Chivers


Thank you for making the process utterly painless 🙌🏻🙌🏻 #MTD
12:48 PM - 1 Apr 2019

Chris Blunt


First VAT return filed via #MTD 🎉. Thanks @freeagent for making it super easy (the new VAT report screen is great too! 👍
12:02 PM - 11 Jun 2019

Catherine Ferguson


Just updated our VAT on @freeagent to #MakingTaxDigital. Easy peasy! Thank You 😊
01:10 PM - 7 Mar 2019

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