Here’s What You Need to Know
If you’re self-employed or a landlord, there’s a major change on the horizon that you’ll want to prepare for. Making Tax Digital (MTD) is expanding, and the timelines are now confirmed.
At Infinity Accounting, we’re here to make your finances simple and stress-free. So, let’s break down what’s happening, who it affects, and how we can help you get ahead of the curve.
MTD for Income Tax: New Rollout Dates
HMRC is gradually rolling out Making Tax Digital for Income Tax Self Assessment (MTD for ITSA) over the next few years.
Here’s when you’ll need to be MTD compliant:
- From April 2026:
If you earn over £50,000 from self-employment or property income, MTD applies to you. - From April 2027:
The threshold lowers to those earning over £30,000. - By April 2028:
It expands again, this time to include individuals with income over £20,000.
That’s a big shift and it’s coming up fast. If you’re unsure what this means for your accounts, now is the time to start planning.
What’s changing:
- Quarterly updates instead of one annual tax return
- End-of-year final declaration required
- All submissions must be made via HMRC-approved software
Exemptions and Penalties – What You Should Know
HMRC has confirmed that some individuals will be exempt from MTD requirements, but the full details on who qualifies are still to come. We’ll keep a close eye on the guidance so we can advise you as soon as it’s released.
In the meantime, one thing’s crystal clear, penalties for non-compliance are getting tougher. That means late submissions or payments could lead to fines, and potentially more hassle down the line.
Don’t Stress. Let’s Get You Sorted
We know Making Tax Digital can feel like yet another admin burden but it doesn’t have to be.
At Infinity Accounting, we’re already helping clients transition to MTD with minimal fuss.
Whether you’re earning £50k or £20k, a landlord with one property or five, we’ll guide you through the process step by step.
- We’ll help you understand if and when MTD applies to you
- We’ll make sure your systems are compliant and easy to use
- We’ll keep everything on track, so you never miss a deadline
- We will be using Xero to process quarterly submissions
- Different levels of support will be available depending on how hands-on you want to be
New pricing coming soon
We’re finalising our updated packages for MTD and will share them soon. Options will include:
- Non-MTD: For those below the threshold
- Filing Only: You do bookkeeping in Xero; we review and file
- Done For You: Full service including bookkeeping, quarterly submissions, and year-end filing
Your Next Step
If you think this might affect you or you’re not sure where you stand let’s talk. The earlier we prepare, the smoother the transition will be. We’ll guide you step by step to make the transition simple and stress-free.
Call us 01733 834275 or drop us a message hello@infinity-accounting.co.uk to get started
We’ll take care of the details, so you can get back to doing what you’re really good at.
