Making Tax Digital is a government initiative to make sure the UK tax system is effective, efficient and easier for tax... moreMaking Tax Digital is a government initiative to make sure the UK tax system is effective, efficient and easier for tax payers. From April 2019 it is mandatory for all businesses with taxable turnover above the VAT threshold (£85,000) to keep all their accounting records digitally and file all their VAT returns to HMRC through MTD software.