Digital records mean records that are captured and held in an electronic/digital format and can viewed on a computer, tablet or mobile device. This could include:
- a digital image/copy of a paper record (such as a photo, legibly showing all the necessary details, taken on a camera phone close to the point of the transaction).
- The record itself must include, as a minimum, the date, amount and category of each business transaction.
- an entry into an accounting system or other software solution or app.
Further details are contained in regulations (The Value Added Tax (Amendment) Regulations 2018 (2018/261)) and VAT Notice, which is now available.
For more about MTD please see our other FAQ’s on Making Tax Digital