Depreciation is a non-allowable tax deduction for HMRC, so it cannot be linked directly to Making Tax Digital (MTD) forms. It is typically recorded using journal entries across your expense and asset accounts. Also, ensure that your depreciation account is set up with Other Expense as the account type and Depreciation as the detail type in the Chart of Accounts.
Since tax setups vary, I still recommend consulting with your financial advisor or accountant to confirm the best way to handle this for your specific business.
Please let me know if you require any further assistance while adjusting your Chart of Accounts.
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