Electronic invoicing guide
United Kingdom
Digital reporting requirements
B2G NHS (National Health System): Peppol
B2G: Post-Audit
B2B: Post-Audit
Obligatory
B2G: NHS (National Health System): e-Order mandatory for NHS trusts
B2G and B2B: no explicit requirements
Authority
His Majesty’s Revenue and Customs (HMRC) and Crown Commercial Service.
Platform
B2G NHS (National Health System): Peppol
Scotland: PECOS P2P
Format
B2G NHS (National Health System): Peppol
Scotland: PECOS P2P
Storage time
6 years
Reporting and processes
There are VAT digital reporting requirements in the United Kingdom (UK). The UK government introduced a program called Making Tax Digital (MTD) in 2019, which requires businesses above the VAT threshold to keep digital records and submit VAT returns using compatible software. Businesses must submit their VAT returns to HMRC using the MTD-compatible software on a quarterly basis.
The MTD will be extended to the VAT-registered population, those with turnover below the GBP 85,000 VAT threshold, for their first VAT return period starting on or after 1 April 2022.
Starting in April of 2026, small businesses (including individuals who are self-employed and landlords) earning a yearly income exceeding GBP 50,000 must maintain digital records and
provide quarterly updates of their income and expenses to HMRC using software that is ompatible with MTD.
Meanwhile, those earning between GBP 30,000 and GBP 50,000 will need to comply with these requirements starting in April 2027.
Upcoming legislative changes
For the time being, no legislative changes are foreseen.
Links of Interest and documents
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