HMRC launches MTD ITSA toolkit
HMRC has launched a new online tool to help taxpayers determine whether they need to use Making Tax Digital for Income Tax. What is it and how can you use it?
MTD ITSA is being phased in from April 2026 and involves quarterly reporting of income and expenses to HMRC. Broadly, those with income from self-employment and/or property income exceeding £50,000 will be required to use it from April 2026, and those with such income exceeding £30,000 will join from April 2027. However as with most HMRC initiatives, there are exceptions and so HMRC has launched an online tool that taxpayers can use to check whether they need to sign up for MTD.
The tool itself is also fallible, as it cannot currently take into account any foreign income, for example, from a holiday home that is rented out.
Further guidance confirms which groups of people are automatically exempt from MTD ITSA, and who can apply for an exemption so it is worth checking the tool out well in advance of April 2026.
Related Topics
-
Simpler Recycling rules take effect
New rules on how workplaces must sort their waste and recycling have taken effect from 31 March. What are the key changes to be aware of?
-
New CGT reporting tool
Self-assessment returns aren’t set up for the change in capital gains tax (CGT) rates on the government filing system and will require a manual adjustment for 2024/25 to ensure the correct amount is paid. Why is there a problem and can a new online tool help?
-
MONTHLY FOCUS: THE ENTERPRISE INVESTMENT SCHEME QUALIFYING CONDITIONS
The enterprise investment scheme (EIS) is a generous collection of tax reliefs aimed at encouraging private investment into relatively young companies. In this Focus, we look at the qualifying conditions relating to the investor and the issuing company that must be met in order for a claim for relief to succeed.
This website uses both its own and third-party cookies to analyze our services and navigation on our website in order to improve its contents (analytical purposes: measure visits and sources of web traffic). The legal basis is the consent of the user, except in the case of basic cookies, which are essential to navigate this website.