I’ve been using QuickFile to do my quarterly VAT returns since 2019. I’m now just trying to do the 2021 Q1 return and it won’t let me enter values in the fields
“1.VAT due on sales and other outputs” and
“6. Flat rate turnover inc VAT”
only using the pencil button to make an adjustment.
When I click “Submit VAT return” I get this popup error message:
We’re having a problem preparing your VAT Return
Error: Under the Making Tax Digital rules VAT returns should be supported by accounting records. This VAT return appears to consist only of adjustments and cannot be submitted to HMRC. If you prefer to submit your return from an Excel document then please use the VAT bridging module instead.
What has changed?
Is there any way to make it work like it used to?
Or do I need to upload all these fields with a spreadsheet?
It sounds like you’re doing adjustment only returns which isn’t permitted, You should be using the bridging module and uploading a spreadsheet which contains all of the backing data needed for the VAT return
It has always been the case with MTD that adjustment only returns are not allowed by HMRC as they require the digital back up. However this has only recently been enforced within QuickFile
You do, and that spreadsheet can’t simply be one you’ve typed the numbers into by hand - under MTD there has to be a “digital link” right through from your source accounting records to the values that go into your VAT return.
So for example you could export a list of your sales as CSV from your main accounting software, import that CSV into Excel, enter formulas to calculate the box totals, then save that spreadsheet and upload it to the QuickFile bridging module. But you’re not allowed to hand-transcribe or copy-paste the totals from your accounts software into the bridging spreadsheet.
If you’re not keeping your accounting records electronically at all then you have a bigger task, as you must transition to digital book-keeping of some kind in order to comply with MTD.