Mon to Thurs 9-5 and Fri 9-3
028 9263 4135
info@exchangeaccountants.com
From April 2026, Making Tax Digital for Income Tax (MTD ITSA) becomes mandatory for thousands of individuals — including landlords and sole traders — with combined turnover over £50,000. While that may seem far off, nine months is not a long time when it comes to updating systems, learning new processes, and becoming fully compliant.
The UK Government’s latest defence strategy, unveiled by Sir Keir Starmer, outlines an ambitious and expansive vision for the country’s armed forces — but it also raises big questions about how it will be funded and what trade-offs may lie ahead for the wider economy, taxpayers, and business owners.
Making Tax Digital (MTD) for Income Tax is on the horizon — and for many individuals, the first compliance deadline is fast approaching.
If you’re self-employed, a landlord, or have a combination of qualifying income sources, you may be required to join the scheme from April 2026. In this article, we’ll break down who is affected, what “qualifying income” means, and how to work out if you’re in scope.
Making Tax Digital (MTD) for Income Tax is the most significant change to the UK tax system in a generation. Designed to modernise tax reporting and reduce errors, it marks a shift away from annual tax returns to a more real-time, digital-first approach.
If you’re a sole trader, landlord, or self-employed individual, this change could affect how you run your business, manage your records, and interact with HMRC.
Here’s what you need to know.
At first glance, Making Tax Digital (MTD) may seem like another administrative burden — more reports, more deadlines, more compliance. However, when we look beyond the surface, MTD represents a major opportunity for individuals, businesses, and the wider economy.
If you’ve recently received a letter from HMRC about Making Tax Digital (MTD) for Income Tax, you’re not alone. HMRC has started writing to sole traders and landlords with combined turnover over £50,000 to prepare them for major changes starting from April 2026.
From April 2026, Making Tax Digital (MTD) for Income Tax will bring major changes to how many sole traders and landlords report their income to HMRC. At Exchange Accountants, we’re helping clients prepare for what will be a significant shift in tax compliance — not just in terms of timing, but also in the systems and processes you’ll need in place.
Making Tax Income Tax Digital (MTD): What You Need to Know – Updated April 2025 HMRC’s Making Tax Digital for Income Tax (MTD for ITSA)
