AbegailS_
QuickBooks Team

Making Tax Digital

Hello there, DazI'm here to assist you with fixing MTD issues and errors in QuickBooks Online (QBO) so you can resume filing VAT returns. 

 

The error We can't connect to HMRC right now would usually show up if: 

 

  • The user ID and password are incorrect. 
  • Incorrect VAT registration number entered in the VAT settings
  • The current VAT return period has not ended yet. 

 

To fix this, let's first enable the MTD. Then, you'll have to authorise QuickBooks first to interact with HMRC. Here's how:  

 

  1. Proceed to the Gear icon, then select Account and Settings.
  2. Choose Advanced on the left menu in the Accounts and Settings page, then click the Making Tax Digital header to expand the section. 
  3. Select on Learn how to connect, then click on Let's go on the Get started with digital tax page. 

 

Once done, follow the steps below to complete the process:

 

  1. After clicking on Let's go, you'll be directed to the HMRC page as shown below. Select Continue to sign in.
  2. Enter your HMRC credentials to sign in.
  3. Choose on Grant authority to continue. Then the authorisation process will begin. 
  4. You'll receive a 'You're connected to HMRC' message as below.
  5. Choose Continue when the process has been completed, click on Take a look

 

For more troubleshooting options, please visit this article: Fix MTD issues and errors in QuickBooks Online.

 

Whether you want to know more about MTD or have a burning question about the new changes and how it affects your business, this guide has everything you need to know.

 

Let us know if you still have more questions about tracking taxes and submitting VAT returns by leaving a reply.