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Making Tax Digital - What is a digital record and a digital link?

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Keeping your records digitally for Making Tax Digital (MTD) purposes means that you must store a digital copy of the transactions which make up the figures on your VAT return.


Digital records need to be kept in functional compatible software, which means software or a set of software programs which must:

  • Record and preserve digital records.
  • Send the data to HMRC through the API.
  • Receive information from HMRC via the API. 

Broadly a digital link allows data to be imported or exported between programs without the need for manual intervention.


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