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Andrew McQueen

Get ready for Making Tax Digital for Income Tax


Before the Autumn Budget, there was some hope that the new Labour Government might delay the rollout of Making Tax Digital (MTD) for income tax. However, this wasn’t the case. The Budget confirmed the previously announced timelines and introduced a new rule: individuals earning over £20,000 from self-employment or property will need to follow MTD for income tax rules in the future.

The timeline for the rollout is as follows:

Currently, there’s no set deadline for partnerships to comply with MTD for income tax.

What does MTD for income tax mean for you?

You’ll need to:

  • Keep your business records in software compatible with HMRC’s system.
  • Use this software to send your business results to HMRC every quarter.

With MTD for Income Tax just over a year away, now’s the time to prepare. If you’re self-employed (but not in a partnership) or receive rental income, these changes could affect your business.

Need help? Contact us and we can guide you through what MTD for income tax means for you.