Glossary definition
What is a digital record?
In the context of Making Tax Digital, a digital record is simply a piece of accounting data. This could be items of business income or expenditure, in the case of MTD for Income Tax.
The rules for Making Tax Digital say that all relevant accounting data must be digital, and have a digital journey.
HMRC defines set parameters about what a digital record must contain, depending on its type. For example, with MTD for VAT, a digital record for a supply must include the time of supply (the tax point), the value of the supply, and the VAT rate.
Your Guide to MTD for Income Tax
Our free e-book is written by experts and is all you need as a sole trader or landlord to understand what MTD means for your business – and how to ensure you’re ready in time.
