We carried out primary quantitative analysis of VAT business customers and Income Tax business customers to track and monitor awareness of, and readiness for, Making Tax Digital (MTD) and its requirements.
The research is based on interviews with a representative sample of 500 businesses between 26 November and 17 December 2018.
It found high levels of awareness among VAT-mandated businesses: 8 of 10 are aware of MTD by either name or concept.
More than 8 of 10 businesses that were aware of MTD knew about the specific MTD requirements. Levels of readiness were also high, with 9 of 10 VAT-mandated businesses reporting using digital record keeping for their business. More than 8 of 10 of those aware of MTD had already started to prepare for it.
The most common way that VAT-mandated businesses had heard about MTD was through a tax agent or accountant.