In a change of heart, VT Software has started working on tools to support MTD for VAT filing directly through its VT Transaction+ bookkeeping program.
In a post on its website and email to users, the company explained, “VT will be implementing MTD directly into VT Transaction+ and VT Cash Book. This feature will be available by the time the first quarterly VAT returns need to be filed under MTD in July 2019.”
The announcement will be welcomed by the large numbers of accountants who rely on VT to prepare accounts for their small company clients.
In October 2017, many AccountingWEB members expressed their disappointment when VT said it would no longer continue to develop the bookkeeping program for MTD, preferring to focus its efforts on its VT Final Accounts application.
According to VT Software, the response to this week's announcement has been overwhelmingly positive. It is clear that feedback from customers played its part in convincing the developer to reconsider its MTD strategy.
The government’s change of tack from income tax to VAT as the first milestone for MTD filing posed fewer problems for the developer and the appearance of a wide range of bridging tools reinforced that impression. With its large existing user base, it did not make sense for VT Software to sit back and let other suppliers fill the vacuum.
Up to this point, VT’s strategy was to link its programs to third-party bridging software tools that worked with HMRC’s new online filing process. VT Transaction+ and its simpler client cashbook companion already have a small Excel add-in that can extract the VAT return totals for existing Excel bridging products, but this will be superseded by the company’s own direct MTD for VAT link and bridging software.
The new MTD for VAT features will be available to users of the VT Accounts suite that includes VT Final Accounts, VT Transaction+ and VT Cash Book. The VT Accounts subscription will remain at £150/year, but without a first-year premium.
Existing licenses for VT Transaction+ will remain valid until 30 April 2020, the company said. But after that date, users will need to renew their VT Transaction+ licence annually for a subscription fee of £75.
VT Cash Book will remain free, but customers will need to have a current VT Accounts or VT Transaction+ license to access the MTD features.
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AccountingWEB’s Editor at large has been with the site since 1999, rising from news editor to editor in chief, global editor and head of insight. As a roving editor, he continues to investigate the profession's use of technology around the world. He devotes his spare time to technology history and an oddball collection of stringed instruments...