HMS Accounting

26/05/2026

All the training paid off.

Proud to have successfully completed the Vogalonga 2026 with Mersea Rowing Club - 35km round the beautiful city of Venice.

Two of MIRC boats headed to Italy for this epic adventure with an overnight stop for a row on Lake Como.

What an adventure, what a crew, what a place to row. 💙🤍💙🤍💙

23/05/2026

And we’re off… next stop Venice. 🇮🇹🚣‍♀️

Heading out to take part in Vogalonga, after a little detour first to row on Lake Como with Mersea Island Rowing Club. Not a bad warm-up.

Looking forward to beautiful sights, great company and probably far too much pasta.

23/05/2026

17/05/2026

MTD for Income Tax came into effect on 6 April 2026 for sole traders and landlords with qualifying self-employment and/or property income over £50,000.

For the 2026/27 tax year, the quarterly update deadlines are:

🟢 6 April 2026 to 5 July 2026 due by 7 August 2026

🟢6 July 2026 to 5 October 2026 due by 7 November 2026

🟢6 October 2026 to 5 January 2027 due by 7 February 2027

🟢6 January 2027 to 5 April 2027 due by 7 May 2027

HMRC has confirmed there will be no penalties for missing a quarterly update deadline for 2026/27, but you will still need to keep digital records and submit your quarterly updates before filing your tax return.

✅ How HMS Accounting can help

At HMS Accounting, we can help you:

✔️ Check whether MTD applies to you
✔️ Review your income threshold and start date
✔️ Set up compatible accounting software
✔️ Keep digital records correctly
✔️ Prepare and submit quarterly updates
✔️ Stay on top of deadlines without the last-minute tax scramble

MTD is a big change, but with the right setup it does not need to be stressful.

Get in touch with HMS Accounting to get ready for Making Tax Digital.

03/05/2026

What to do if HMRC writes to you saying you qualify for MTD for Income Tax 2026/27.

If you have had a letter from HMRC saying you qualify for Making Tax Digital for Income Tax for 2026/27, do not panic. It is basically HMRC’s way of saying: “You are on the list, please get ready.”

Here is what you need to do next:

✅ 1) Read the letter and check the basics

* Your name and UTR are correct
* The start year says 2026/27
* It mentions Income Tax Self Assessment (ITSA), not VAT or Corporation Tax

✅ 2) Do not ignore it (even if you are busy)
MTD is all about being set up early so quarterly reporting does not become a last-minute scramble.

✅ 3) Get your records “MTD-ready”
You will need digital record keeping and a way to submit updates to HMRC through software.

✅ 4) Choose the right software setup
This is where most people get stuck. You do not need “all the apps”, you need the right apps.

⸻

How HMS Accounting can help.

We make it simple and keep you compliant, using the software we support:

Xero or QuickBooks

* bookkeeping set up properly
* categories and reports that actually make sense
* bank feeds and a clear process to follow

Dext

* capture receipts and invoices by photo or email
* keep everything stored and organised
* reduce missing paperwork (and headaches)

Plus, we can:

* confirm exactly what HMRC is asking you to do
* set everything up correctly from the start
* keep your records on track throughout the year
* prepare and submit your quarterly updates
* complete the year-end finalisation and final declaration

⸻

If you have received the letter, message HMS Accounting and we will tell you exactly what to do next and get you set up smoothly. No jargon. No judgement. ✅

21/04/2026

Business mistakes I would never make:

…because I’ve seen how much they cost business owners 👇

🔸 Mixing personal & business finances

That “quick” personal purchase on the biz card? It messes up your books, your tax return, and your head.

Always keep them separate.

🔸 Not saving for tax throughout the year

Allocating money into a “tax pot” every month avoids a cashflow dip when it’s finally due (This has landed business owners in hot water otherwise).

🔸 Not checking if expenses are actually deductible
Just because it feels like a business expense, doesn’t mean HMRC agrees. Know the rules. Use them to your advantage.

🔸 Ignoring the numbers
Your P&L tells a story. If you never look at it, you won’t spot when things go off track until it’s too late.

🔸 Winging it with pricing...
Undercharging is the fastest way to burnout. Know your margins. Price for profit.

🔸 Waiting until year-end to get financial advice
Planning is where the real money-saving happens, not once the year’s already over.

21/04/2026

Think your bookkeeping software does it all for you?

Think again 👀

Automated feeds are great, but they’re not magic.

If you’re not checking and reconciling regularly, your books might look “fine” but be way off.

Here’s what to double-check to keep things balanced 👇

✅ Bank reconciliation: Make sure every bank transaction matches a real invoice, bill, or transfer, no duplicates or missing payments.

✅ Unreconciled items: Keep an eye out for transactions that didn’t auto-match. These can build up quickly and mess with your reports.

✅ Manual entries: Mistakes often happen here. Duplicated expenses, coded income as expenses, or transfers in the wrong place? Red flags.

✅ Opening balances: If these are wrong or never set properly when you started, your books will never balance, no matter how hard you try.

✅ Personal vs business: Accidentally added a Tesco grocery shop or Zara order to the business account? It happens but it throws your figures out.

✨ A quick check of your reconciliation report can help you catch issues early and keep everything aligned with your real bank balance.

If your accounts aren’t adding up then drop us a message.

13/04/2026

Have you neglected your books all year? 👀
It happens, especially when you’re juggling everything.

But ignoring your accounts isn’t just about admin... it’s about how you run your business.

Messy finances = unclear decisions.

Unclear decisions = poor growth, higher tax bills, and random stress at 11pm.

You deserve better than that.

So here’s your gentle nudge:

✅ You can catch up
✅ You can take control
✅ And you don’t have to do it alone

📩 Contact us and we’ll help you clean it up, judgment-free.

10/04/2026

If you’re guessing your tax bill… you’re already behind.

One of the biggest causes of stress for business owners isn’t the tax itself; it’s the uncertainty.

Here’s how to estimate your tax bill properly (without the panic):

1️⃣ Start with up-to-date bookkeeping

If your numbers aren’t accurate, your estimate won’t be either. Make sure your income and expenses are fully recorded, and your bank accounts are reconciled.

2️⃣ Calculate your projected profit

Income minus allowable expenses = estimated profit.
This is the number your tax is based on.

3️⃣ Apply the correct tax rate

Sole trader? Estimate Income Tax + Class 4 NI.

LTD company? Estimate Corporation Tax on profits.

Taking dividends? Factor in dividend tax personally, too.

4️⃣ Account for payments on account (if applicable)

Self-employed business owners often forget this. You may owe this year’s tax plus an advance towards next year.

5️⃣ Set money aside monthly

The golden rule: transfer a percentage of every payment you receive into a separate “tax pot” account. No exceptions.

Tax shouldn’t be a once-a-year surprise.

It should be a running calculation you review monthly or quarterly.

If you don’t currently know what your estimated tax bill is, that’s your sign to fix it.

And if you’d like help calculating it properly and building a software system so you’re never caught off guard again, send us a message today.