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Making tax digital — HMRC's initiative to transform the UK tax system by making it fully digital.

Making Tax Digital (MTD) is HMRC’s plan to modernise the UK tax system by moving it to a fully digital process. For individuals, this means for self-employed workers and landlords will need to keep digital records and use compatible software to report income to HMRC, rather than relying only on the traditional Self Assessment method.

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What IS MAKING TAX DIGITAL?

Making Tax Digital is a new way of managing tax for individuals with self-employment or property income. It is designed to make tax reporting more accurate, more up to date, and easier to manage by requiring digital record-keeping and regular online submissions through HMRC-recognised software. From 6 April 2026, it will apply to individuals with qualifying income over £50,000.

HMRC has also confirmed that it will expand to those with qualifying income over £30,000 from 6 April 2027, and over £20,000 from 6 April 2028. At Go Tax Refunds, we can help you prepare for MTD, stay compliant, and make the whole process much simpler.
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When Will MTD Affect Me?

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When do you need to register?

PHASE 1
April 2026
Threshold is income of £50,000
Self-employed individuals and landlords with income over this amount must join MTD for Income Tax.
PHASE 2
April 2027
The threshold drops to £30,000.
This will bring many more construction workers into MTD
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PHASE 3
April 2028
The threshold drops to £20,000.
This will bring most construction workers into MTD
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Go tax refund MTD (Making Tax Digital) Subscriptions

We can handle the ongoing reporting, paperwork, and calculations for you throughout the year. Simply choose one of our subscription packages and enjoy the reassurance of having dedicated support from our specialist service team.

MTD
Core
Ideal if you want to spread costs through the year and are happy to pay separately for your annual tax return at year end.
✓ £10 per month (Quarterly submissions only)
✓ Annual total: £420 (£120 submissions + £300 year-end self assessemnt)
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MTD
Total Package
Our most popular option, with everything included for your quarterly submissions and annual Self Assessment tax return.
✓ £30 per month (Quarterly submissions + year-end self assessment)
✓ Annual total: £360
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HOW DOES IT WORK?

If Making Tax Digital applies to you, you will need to keep digital records of your self-employment and or property income and expenses using compatible software. You will then send HMRC quarterly updates throughout the tax year and complete an end-of-year final declaration through the software. This gives HMRC a more up-to-date picture of your income and helps reduce errors caused by manual record-keeping and late reporting. For individuals joining from 6 April 2026, the first quarterly update deadline is 7 August 2026.

HOW CAN WE HELP?

At GO TAX REFUNDS, we can help you understand whether Making Tax Digital applies to you, what the new rules mean, and what you need to do next. We can support you in registering for MTD, setting you up with suitable software, setting up digital record-keeping, preparing quarterly submissions, and completing your End of Year Self Assessment. Our aim is to make the process simpler, clearer, and less stressful, while helping you stay fully compliant with HMRC’s requirements.

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Frequently Asked Questions

We are often asked...

What is Making Tax Digital (MTD)?

Making Tax Digital is HMRC’s new digital tax system for people with self-employment or property income. It requires eligible individuals to keep digital records and use compatible software to send tax information to HMRC.

Who will need to use MTD for Income Tax?

MTD for Income Tax will apply to sole traders and landlords whose qualifying income is above the relevant threshold. It starts from 6 April 2026 for those with qualifying income over £50,000, then extends to those over £30,000 from 6 April 2027, and over £20,000 from 6 April 2028.

What counts as qualifying income?

Qualifying income is the total gross income you receive from self-employment and property before expenses are deducted. HMRC uses the information from your Self Assessment tax return to work out whether you fall within MTD.

How does MTD for Income Tax work?

If MTD applies to you, you will need to keep digital records using compatible software, send quarterly updates to HMRC, and complete an end-of-year finalisation process. The quarterly updates give HMRC a summary of your income and expenses during the tax year.

Will I still need to submit a tax return?

Under MTD for Income Tax, the process changes rather than disappearing completely. Instead of relying only on one annual Self Assessment submission, you will send quarterly updates during the year and then complete a final declaration at the end of the tax year.

Do I need software for MTD?

Yes. HMRC requires you to use MTD-compatible software to keep digital records and submit updates. This could be bookkeeping, accounting, or other recognised software designed for MTD for Income Tax.

Still have questions?

Contact one of our experts to find out how we can help your business today.

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Need help getting started?

Get in touch with our team or book a call for clear, straightforward support with your tax refund or return.

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