In December 2022, the plans for Making Tax Digital for Income Tax Self-Assessment changed again, as the Government announced that instead, MTD ITSA would be introduced in mandatory phases from 6 April 2026, as opposed to 2024.<\/p>\n
<\/p>\n
What are the phases?<\/strong><\/p>\n Self-employed individuals and landlords with a turnover of more than \u00a350,000 will be the first to join, which HM Revenue & Customs (HMRC) have estimated will apply to over 700,000 people.<\/p>\n The next group will be those with a turnover over \u00a330,000, who will be required to join in April 2027.<\/p>\n There are ongoing discussions around MTD ITSA being introduced for those who turnover under \u00a330,000 as around 2.6 million taxpayers are thought to be in this group.<\/p>\n What is MTD for ITSA?<\/strong><\/p>\n MTD for ITSA is a part of the broader Making Tax Digital initiative introduced by the HMRC.<\/p>\n It requires individuals, including self-employed individuals and landlords, to maintain digital records of their income and expenses, and use compatible software to submit their tax information to HMRC.<\/p>\n This replaces the traditional method of filing Self-Assessment tax returns on paper or through the HMRC website.<\/p>\n Are there any exemptions?<\/strong><\/p>\n You can apply for an exemption if it is not practical to use software for your records or submit your data in this way.<\/p>\n This could be because of your location, age or other justifiable reason. HMRC will then review this reason and an alternative will be found if it is accepted.<\/p>\n It is important to still be preparing for this change, despite the delays as it will eventually impact you and your business from 2026.<\/p>\n For more information on MTD for ITSA, get in touch now.<\/strong><\/p>\n <\/p>\n","protected":false},"excerpt":{"rendered":" In December 2022, the plans for Making Tax Digital for Income Tax Self-Assessment changed again, as the Government announced that instead, MTD ITSA would be introduced in mandatory phases from 6 April 2026, as opposed to 2024.<\/p>\n","protected":false},"author":2,"featured_media":5292,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[24,125,31,132,7,27],"tags":[],"_links":{"self":[{"href":"https:\/\/www.bainesjewitt.co.uk\/blog\/wp-json\/wp\/v2\/posts\/5289"}],"collection":[{"href":"https:\/\/www.bainesjewitt.co.uk\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.bainesjewitt.co.uk\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.bainesjewitt.co.uk\/blog\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.bainesjewitt.co.uk\/blog\/wp-json\/wp\/v2\/comments?post=5289"}],"version-history":[{"count":1,"href":"https:\/\/www.bainesjewitt.co.uk\/blog\/wp-json\/wp\/v2\/posts\/5289\/revisions"}],"predecessor-version":[{"id":5290,"href":"https:\/\/www.bainesjewitt.co.uk\/blog\/wp-json\/wp\/v2\/posts\/5289\/revisions\/5290"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.bainesjewitt.co.uk\/blog\/wp-json\/wp\/v2\/media\/5292"}],"wp:attachment":[{"href":"https:\/\/www.bainesjewitt.co.uk\/blog\/wp-json\/wp\/v2\/media?parent=5289"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.bainesjewitt.co.uk\/blog\/wp-json\/wp\/v2\/categories?post=5289"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.bainesjewitt.co.uk\/blog\/wp-json\/wp\/v2\/tags?post=5289"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}