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Small and medium business | Business Central, N...
Suggested Answer

HMRC Making Tax Digital on W1 Localization

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Our clients use W1 Localization but they need the HMRC feature. Currently running BC 27.5 W1 
 
I checked all documentations available but can't figure out how it says it's now available to install on top of BC but we still can't do it.
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  • Suggested answer
    AndrewThomas81 Profile Picture
    2,240 on at
    What country are you in?
     
    Might be a bug to report to MS.
     
  • Suggested answer
    OussamaSabbouh Profile Picture
    17,799 Super User 2026 Season 1 on at
    Hello,
    The message is literal: the Making Tax Digital Localization for United Kingdom app is still blocked by AppSource country availability for that tenant/environment, even though BC v27 introduced the new UK localization architecture on top of W1 Base App. Microsoft’s docs say UK localization as W1 extensions starts with 2025 release wave 2 / v27, but the feature is still controlled by rollout/country availability, so being on W1 27.5 alone doesn’t guarantee you can install the UK MTD app in every country/tenant. Practical answer: check the environment country/region and AppSource availability; if the tenant/environment is not UK/GB-supported for that app, you’ll need Microsoft/partner support to confirm availability or use the proper UK-localized environment/app path. Also note: MTD setup itself is done through Service Connections → HMRC VAT Setup, but that only helps after the extension/feature is actually available.
    Regards,
    Oussama Sabbouh
  • Suggested answer
    Grigorios Mavrogeorgis Profile Picture
    2,574 Super User 2026 Season 1 on at

    Hi,

    The "extension is not available for your country" error is the classic mismatch between the W1 environment country setting and the AppSource availability of the UK localisation extension. Since v27 Microsoft moved UK localisation into extensions on top of W1, but the environment country must still be set to United Kingdom for AppSource to allow the deployment. On a pure W1 environment, the Making Tax Digital app refuses to install, exactly the error you see.

    The cleanest fix is to change the environment country to United Kingdom in the BC Admin Center, on the environment properties. After that, the UK localisation extensions become available on AppSource for that environment, including Making Tax Digital. The existing data stays, the country flag just unlocks the UK-specific extensions. This is the supported path Microsoft is pushing with the new localisation setup.

    If for some reason the country cannot be changed, for example multi-country tenant or shared environment, the alternative is to install only the Making Tax Digital extension manually through Extension Management with the Upload Extension function, taking the .app file directly. Some partners do this for international clients who need MTD but cannot switch the country. Not the official path, but it works.

    ✅ Tick the checkbox below to mark the answer as verified, if it helped resolve your question.
     
    Regards
    Gregory Mavrogeorgis
     
  • Suggested answer
    YUN ZHU Profile Picture
    102,049 Super User 2026 Season 1 on at
    I've tested this before, but not all apps.
    If it still can't be installed, the only solution is to contact Microsoft. partners have no solution.
     
     
    Thanks
    ZHU

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