Making Tax Digital

We are all aware of Making Tax Digital for VAT and the quarterly submissions required therefore.

Starting FY 2026-27, self employed individuals and landlords who have gross income (turnover / receipts before any expenses) from self employment and / or property greater than £ 50000 in FY 2024-25 would have to register for Making Tax Digital for Income Tax and file quarterly returns. Thereafter next year, the limit is reduced to £ 30000 and hence it is a phased roll-out for qualifying tax payers

You would need HMRC compliant software for this filing and you can make early arrangements and plans with your accountant or tax agent.

HMRC has released a detailed guidance on what digital records need to be maintained and submitted but broadly if you have regular book keeping transactions and all your self-employment and property related financial transactions are recorded therein, then it should help address the requirement

So get ready for a digital change if you are breaching that income threshold.