Making Tax Digital for Income Tax – Expert Help for 2026 & Beyond
HMRC’s New Rules Are Coming – Will You Be Ready?
From April 2026, individuals earning over £50,000 from self-employment and/or rental property must comply with Making Tax Digital for Income Tax (MTD for IT).
The new rules from HMRC mean:
Keeping digital records e.g. using MTD software
Filing quarterly returns declaring your quarterly income and expenses
Sending a final declaration instead of just a self assessment tax return
This is a huge change for sole traders and landlords and completely changes the normal self assessment process.
Not sure where to start? That’s where we come in.
Who will this affect?
You’ll be affected if:
✅ You're self-employed (sole trader)
✅ You're a landlord with UK property income
✅ Your combined income from these sources exceeds £50,000 (before expenses are deducted).
This will reduce to £30,000 from April 2027 and £20,000 from April 2028.
For example, if you earn £30,000 as a sole trader and £21,000 rental income (before expenses are deducted) you must start reporting your income quarterly from April 2026.
What You’ll Need to Do
✅ Use MTD software (e.g. Xero, QuickBooks, FreeAgent)
✅ File quarterly updates to HMRC online via the software
✅ Submit an annual end of tax year return to confirm your income
✅ Keep all records digitally - no more paper receipts!
How We Can Help You
We’re a team of accountants based in Wetherby, West Yorkshire with hands-on experience helping clients comply with MTD for VAT – so we’re ready to help you with MTD for Income Tax.
We can provide:
✅ MTD for ITSA readiness checks
✅ Software setup and training
✅ Quarterly and annual submission handling
✅ Dedicated support all year round
Why Choose Us?
✔ Friendly, proactive service
✔ Fixed monthly fees – no surprises
✔ Full compliance with HMRC rules
✔ Simple, jargon-free advice
✔ Experienced in MTD systems
Get Ready Early & Avoid Penalties
Getting real-time digital information on your taxes allows you to better plan for the future. You know what you have to pay and can budget accordingly. No more surprise, last minute tax bills in January.
There are late filing penalties if you submit the quarterly returns late, so the sooner you start, the easier it will be to adapt.
Let us handle the setup and submissions so you can focus on running your business.
📞 Book a Free Consultation Today
FAQs:
Q: Can you handle the whole process for me
Yes! We can act as your MTD agent and take care of software, updates, and submissions for you so you don't have to worry if bookkeeping isn't your thing.
Q: What if I don’t want to use software?
You must use compatible software under the new rules. We’ll help you choose one that’s easy to use – or we can manage it entirely for you.
Q: I already file Self Assessments. What changes?
You’ll now file quarterly, digitally, using new software. No more once-a-year tax returns.