30/07/2025
I am available to assist with your Tax submission this year- better to get it done now, rather than wait for the January deadline! :)
You may have seen some news about Making Tax Digital for Income Tax. I thought it might help to summarise the plans -please see the information below.
When MTD for Income Tax Starts
The new digital tax reporting rules (called MTD ITSA) will be introduced gradually based on how much money your business makes:
From April 6, 2026 If you're self-employed and your business earned more than £50,000 in the 2024-25 tax year, you'll need to start using the new digital reporting system.
From April 6, 2027 The threshold drops to £30,000 - so if your business earned more than £30,000 in the 2025-26 tax year, you'll need to join the system.
From April 6, 2028 The threshold drops again to £20,000 - meaning if your business earned more than £20,000 in the 2026-27 tax year, you'll be required to use digital reporting.
Smaller Businesses? If your business earns less than £20,000 per year, the government is still deciding what will happen. They're reviewing whether these smaller businesses will need to follow the new rules or can continue with the current system.
If you believe your business may fall into this category, I am happy to offer further advice and guidance