Making Tax Digital (MTD) is a new mandatory system for income tax reporting that will affect how you report income to HMRC.
It will include quarterly digital submissions and a final declaration. From April 2026, self-employed individuals and landlords over the income threshold must keep digital records and submit quarterly updates using HMRC-approved software.
MTD will affect the following individuals:
- Self-employed individuals and landlords with a total business and/or property revenue of £50,000 or more, in the year ended 05 April 2025, will be automatically required to submit quarterly returns from April 2026.
- From April 2027, it will also apply to those with revenue over £30,000.
- From April 2028, it will apply to all sole traders and landlords whose revenue is over £20,000.
The UK tax regime can be complex and confusing and liaising with HMRC can be frustrating. It’s not surprising that so many people put off completing their tax return and end up incurring fines and interest as a result.
Why not let us prepare and submit your personal and business tax returns on your behalf? We’ll help you minimise your liability by checking that you’re claiming the correct tax relief and ensure you’re complying with the relevant regulations. And of course we’ll do everything we can to help you meet the submission deadlines, avoiding costly penalties and fines.
The tax-related issues we help clients with include:
- completing and filing personal and partnership tax returns
- completing and filing trust tax returns
- preparing and submitting corporation tax returns
- advice on the best way to withdraw funds from a limited company
- and dealing with the implications of the High Income Child Benefit Charge.
We also provide businesses with assistance in managing their VAT administration .
Please contact us for a quote.
- Keep and retain transaction-level (income and expenses) digital records for each self-employment and/or property business.
- Submit quarterly update reports of your year-to-date transactions for each self-employment and/or property business to HMRC.
- Finalise your end-of-year position by providing details of your other personal income sources, making adjustments, claiming reliefs and submitting your digital tax return to HMRC.
- If you have both property and sole trader income, you will be required to submit quarterly reports for both types of income.
How Can We Help?
Self-Registration and prepare your own quarterly submissions:
- You can register for MTD and file your own quarterly submissions. We will prepare and submit your year-end tax return.
- We can assist you with setting up your preferred software for these submissions, whether they be spreadsheets or online bookkeeping software such as FreeAgent, Quickbooks or Xero.
We can register you for MTD and submit your quarterly returns:
- We can register you for MTD and file your quarterly submissions. We will also prepare and submit your year-end tax return.
- You provide us with your quarterly bookkeeping records which we will review and prepare the submission for you.
Full support:
- We can provide a full package comprising bookkeeping, quarterly and annual filings and regular check ups to see how your business is doing.
- For this option we would require you to use a cloud-based software such as QuickBooks, Xero or FreeAgent and to have a separate business bank account.
