Making Tax Digital Services UK | Expert MTD Support

Making Tax Digital applies to VAT-registered businesses and, under MTD for Income Tax Self Assessment (ITSA), to self-employed individuals and landlords who meet HMRC’s qualifying income thresholds.

You need to register for Making Tax Digital if you are VAT registered and required to submit VAT returns digitally, or if you are a self-employed individual or landlord whose qualifying income exceeds HMRC’s thresholds for MTD ITSA.

Some people and businesses may be exempt from MTD if they are below relevant thresholds or cannot reasonably use digital tools due to age, disability, religious beliefs, or lack of internet access. Exemptions typically need to be agreed with HMRC.

Yes. Sole traders and landlords must comply with MTD for Income Tax Self Assessment if their qualifying income exceeds HMRC’s thresholds.

MTD for Income Tax Self Assessment is being introduced in phases, with mandatory adoption beginning from April 2026 for qualifying sole traders and landlords, subject to HMRC thresholds and final guidance.

Yes. To comply with MTD, you must use MTD-compatible accounting software to keep digital records and submit information to HMRC. Paper records or spreadsheets alone do not meet the full requirements.

Under MTD, you must keep digital records of income and expenses, including dates, amounts, and (where relevant) VAT details. These records must be maintained in MTD-compatible software.

Submission frequency depends on the tax. VAT returns are typically submitted quarterly, while MTD for Income Tax Self Assessment will require quarterly updates plus a final annual submission.

Missing an MTD deadline can lead to penalty points, late submission penalties, and interest. Repeated missed deadlines may result in higher fines, so submitting on time is important.

No. MTD does not remove Self Assessment, but it changes how information is recorded and submitted, moving toward digital record-keeping and more frequent updates.