Making Tax Digital
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Making Tax Digital: A Simple Monthly Bookkeeping Routine Before Your Quarterly Update
Making Tax Digital for Income Tax is now part of the tax landscape for many sole traders and landlords. If your qualifying income means you are in scope, the biggest change is not just that you use software. It is that your records need to be kept digitally and updated regularly enough to support quarterly…
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Can You Use Spreadsheets for MTD Income Tax?
If you already keep your business or property records in Excel, Google Sheets, or another spreadsheet, the short answer is yes: you may still be able to use spreadsheets for Making Tax Digital for Income Tax. However, there is an important catch. A spreadsheet on its own is not usually enough unless it forms part…
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What Happens If Your Income Drops After You Join MTD?
Making Tax Digital for Income Tax is now live for sole traders and landlords whose qualifying income was over £50,000 in the 2024 to 2025 tax year. That has created a new question for many business owners: what happens if you were brought into MTD based on an earlier return, but your income has since…
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Can You Be Exempt From MTD Income Tax?
Making Tax Digital for Income Tax is now live for some sole traders and landlords, and one of the biggest points of confusion is whether everyone over the threshold has to join. The short answer is no. Some people are automatically exempt. Others can apply for an exemption. However, the rules are more specific than…
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Can You Change MTD Software After Signing Up?
If you have signed up for Making Tax Digital for Income Tax and already feel unsure about your software, you are not stuck with it. Many sole traders and landlords choose software quickly because the rules feel urgent. Later, they may realise the system is too expensive, too complicated, or not suited to the way…
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MTD for Landlords With Jointly Owned Property: What You Need to Report
Jointly owned property is one of the areas of Making Tax Digital for Income Tax that can catch landlords out. On the surface, it sounds simple enough. You receive rental income, you keep digital records and you send quarterly updates. But HMRC’s current guidance gives joint property owners extra flexibility, and if you miss that…
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Standard vs Calendar Quarterly Updates for MTD: Which Should You Choose?
When you start using Making Tax Digital for Income Tax, one of the practical setup decisions is how your quarterly update periods will work. For many sole traders and landlords, this question gets missed because most of the attention goes on thresholds, deadlines and software. But choosing the right update period can make your bookkeeping…
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Can You Be Exempt From MTD Income Tax? What Sole Traders and Landlords Should Know
Not everyone who falls near the Making Tax Digital rules will actually have to use Making Tax Digital for Income Tax. HMRC’s current guidance confirms that some people are exempt automatically, while others may need to apply for an exemption. This is an important distinction. A lot of business owners hear the word exemption and…
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HMRC Hasn’t Written to Me About MTD: Do I Still Need to Sign Up?
If HMRC has not written to you about Making Tax Digital for Income Tax, it can be tempting to assume you are not affected yet. In many cases, that assumption could be wrong. HMRC guidance makes it clear that even if you do not receive a letter, it is still your responsibility to check whether…
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What Digital Records Do You Need to Keep for MTD Income Tax?
Many sole traders and landlords know that Making Tax Digital for Income Tax is coming, but a lot of people are still unclear on one basic question: What exactly do I need to keep digitally? That confusion matters. If you are brought into MTD for Income Tax, HMRC expects you to keep digital records using…