Aligning VAT quarters with the tax year

If your VAT accounting period does not match your income tax quarters, you can end up filing almost every month. Aligning VAT stagger 1 (March, June, September, December) with MTD-ITSA calendar quarters collapses many deadlines into the same weeks.

MTD-ITSA calendar quarters (2026/27)

To line up with VAT stagger 1, elect calendar quarters for MTD-ITSA before your first update of the year. Quarter ends are then 30 June, 30 September, 31 December and 31 March, with filing deadlines on the 7th of the following month (or the next working day): 7 July, 7 October, 7 February and 7 May.

VAT returns are due one calendar month and seven days after each VAT quarter end. If your VAT accounting uses stagger 1 (quarter ends in March, June, September and December), those quarter ends match the tax-year quarters used for MTD-ITSA calendar reporting.

Why alignment helps

For example, the quarter ending 31 March 2027 can have both your VAT return and your income tax quarterly update due around 7 May 2027. You prepare figures once, review once, and submit both — instead of VAT in one month and income tax in the next.

Industry guidance describes this as ensuring VAT and MTD-ITSA workflows happen together, which reduces pressure later in the year and makes deadlines easier for you and your clients to remember.

How to change your VAT accounting period

You can request a new VAT stagger (accounting period) in any of these ways:

• Online: sign in to your VAT account → Manage VAT account → VAT details.
• Through your agent: via the Agent Services Account, if you have authorised them.
• VAT484 form: the paper route still works but is slower.

Plan carefully before you switch

Changing your VAT period mid-year can affect which returns fall in which VAT year. Discuss timing with your accountant before applying. Once the change is live, your VAT quarter ends can match your MTD-ITSA calendar quarters so both regimes share the same rhythm.