Making Tax Digital (MTD) for Income Tax has now begun, years after it was first announced and when it was due to take effect.<\/p>\n
<\/p>\n
Even as recently as the week before the shift, only 21 per cent of affected taxpayers were registered for MTD.<\/p>\n
The first submission will arrive soon and whether you have registered yet or not, you will be expected to make that deadline.<\/p>\n
Either way, we are taking a look at what you need to do now before the first deadline hits.<\/p>\n
The first MTD deadline will be 7 August 2026.<\/p>\n
Technically, this means that you have until then to be fully established with MTD compliance and this could explain the low uptake so far.<\/p>\n
However, it is unwise to assume that adapting to the largest tax overhaul in decades will be a simple process.<\/p>\n
Leaving MTD preparations until the first deadline is due will likely cause that deadline to be missed.<\/p>\n
While there are no penalties for missing deadlines this year, these early days of MTD are the time to get a handle on the situation.<\/p>\n
Anyone due to fall under the scope of MTD over the next few years should consider taking the time now to prepare.<\/p>\n
While it is now compulsory for sole traders, landlords and self-employed individuals with a qualifying income over \u00a350,000 to be MTD compliant, those with incomes over \u00a330,000 and even over \u00a320,000 would benefit from getting ready now.<\/p>\n
This is due to the grace period of penalty waiving only being in place for the 2026\/2027 tax year, meaning the first cohort can trial and error their way through in a way that subsequent cohorts will not be able to.<\/p>\n
As such, voluntarily adopting MTD now alongside those for whom it is mandatory gives you a chance to fully swap over to digital record keeping and quarterly filings without the fear of penalties.<\/p>\n
The first penalty will be the regular non-payment penalty before the missed filing penalties take hold from 7 August 2027.<\/p>\n
Whichever cohort you are in for MTD, we can help you prepare for the first submission.<\/p>\n
Our experts can review your systems and help align you with MTD-compliant software that does what you need it to.<\/p>\n
Now is the time to review your processes and records to ensure that you are ready for August.<\/p>\n
The first deadline being squarely in the middle of the summer holidays means you might be too busy to manage it effectively when the time comes.<\/p>\n
This makes early preparation even more vital, as you can have everything set up for a stress-free summer.<\/p>\n
Speak to our team to take the stress out of Making Tax Digital compliance. <\/strong><\/p>\n","protected":false},"excerpt":{"rendered":" Making Tax Digital (MTD) for Income Tax has now begun, years after it was first announced and when it was due to take effect.<\/p>\n","protected":false},"author":2,"featured_media":6922,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"_links":{"self":[{"href":"https:\/\/www.bainesjewitt.co.uk\/blog\/wp-json\/wp\/v2\/posts\/6919"}],"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=6919"}],"version-history":[{"count":1,"href":"https:\/\/www.bainesjewitt.co.uk\/blog\/wp-json\/wp\/v2\/posts\/6919\/revisions"}],"predecessor-version":[{"id":6920,"href":"https:\/\/www.bainesjewitt.co.uk\/blog\/wp-json\/wp\/v2\/posts\/6919\/revisions\/6920"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.bainesjewitt.co.uk\/blog\/wp-json\/wp\/v2\/media\/6922"}],"wp:attachment":[{"href":"https:\/\/www.bainesjewitt.co.uk\/blog\/wp-json\/wp\/v2\/media?parent=6919"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.bainesjewitt.co.uk\/blog\/wp-json\/wp\/v2\/categories?post=6919"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.bainesjewitt.co.uk\/blog\/wp-json\/wp\/v2\/tags?post=6919"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}