Managing HMRC’s Making Tax Digital (MTD) Obligations

Managing HMRC’s Making Tax Digital (MTD) obligations

At present, HMRC’s MTD obligations are limited to the filing of businesses’ VAT returns.

If this applies to your business, let us manage your MTD registration and filing and avoid the penalties of non-compliance.

HMRC are also planning to extend MTD filing regulations to include uploads of quarterly accounts data directly from your account’s software to HMRC’s digital accounts.

The introduction of Making Tax Digital (MTD) for Income Tax Self Assessment (ITSA) will fundamentally change the way businesses, the self-employed, and landlords interact with HMRC. MTD for ITSA has been postponed several times and is now expected to start on 6 April 2026. The rules will initially apply to businesses, self-employed individuals, and landlords with an income of over £50,000 annually.

MTD for ITSA will then be extended to those with an income between £30,000 and £50,000 from 6 April 2027. A new system of penalties for late filing and late payment of tax for ITSA will also apply.

It was announced in the 2024 Autumn budget that MTD for ITSA will be extended to include sole traders and landlords with income over £20,000 by the end of the current parliament.

We’ll be there to support you as the changes are introduced.