The Spring Statement came this week and one of the MTD for ITSA (Making Tax Digital for Income Tax Self Assessment) dates has changed. Previously sole traders and landlords with a turnover of £20,000 or more were going to be brought into MTD by the end of the current parliament. Now this has been brought forward to 2028.
Anyone who comes under MTD for ITSA has to file quarterly returns via software, followed by a tax return. HMRC are taking away the option of filing tax returns directly from their website so using software is mandatory. There are a few exemptions but the majority of people will have to comply. The accounting software companies are all developing their own offerings for this and I’ll be be checking them out.