Making Tax Digital for Income Tax
From April 2026, HMRC requires sole traders and landlords earning over £50,000 to keep digital records and report their income every three months. It's a big shift, but it doesn't need to be a stressful one. As your MTD bookkeeper in London, we'll handle the software, the submissions and the HMRC paperwork, so Making Tax Digital Income Tax becomes one less thing on your plate.
What is Making Tax Digital for Income Tax?
Making Tax Digital for Income Tax (MTD ITSA) is HMRC's biggest change to how self-employed individuals and landlords report their tax in a generation. Instead of one annual Self Assessment return, you'llkeep your records digitally and send updates to HMRC every quarter using MTD-compatible software.
The aim is to cut errors, modernise the system and give you a clearer real-time picture of what you owe. The reality for many sole traders and landlords is a real change to day-to-day record keeping, and one that's a lot easier with an experienced MTD bookkeeper in London by your side.
Who Does MTD ITSA Affect — and When?
MTD ITSA is being rolled out in phases based on your qualifying income. Qualifying income is the gross total of your self-employment and property income (before expenses) — so HMRC adds the two together to work out whether you cross the threshold.
From 6 April 2026 — sole traders and landlordswith qualifying income over £50,000
From 6 April 2027 — those with qualifying income over £30,000
From 6 April 2028 — those with qualifying income over £20,000
If you run a small side business and also let out a property, those two streams are combined. That catches plenty of part-time landlords out, which is why getting MTD ITSA advice early is worthits weight in gold.
How We Help You Stay MTD ITSA Compliant
We make the move to Making Tax Digital Income Tax straightforward. Based in Bromley and serving clients across London, the South East and the wider UK, our MTD bookkeeper London service gives you a complete, end-to-end solution.
MTD-compatible software
As certified Xero Silver and QuickBooks partners, we'll recommend and set up the right MTD-compliant software for your business, and train you to use the parts you want to keep hands-on with. We work with Xero, QuickBooks, Dext and HubDoc.
Digital record keeping
We handle your bookkeeping for you, or coach you to do it cleanly yourself. Every transaction is captured, categorised and stored digitally, exactly as MTD ITSA requires.
Quarterly submissions to HMRC
Four quarterly updates per tax year, plusyour end-of-period statement and final declaration. We prepare and submit everyone on time, so you never face a missed-deadline penalty point.
Acting as your HMRC agent
We register as your authorised agent with HMRC, deal with correspondence on your behalf, and represent you whenever there's a query. You shouldn't have to navigate HMRC alone. And with us in your corner, you won't.
Ongoing advice and tax planning
Tax rules are shifting fast. We keep you in the loop, answer your questions in plain English, and make sure your business is set up to get the most out of MTD ITSA, not just survive it.
MTD ITSA for Landlords
If you're a landlord with rental income over £50,000, MTD ITSA applies to you from April 2026, whether you let a single property or manage a portfolio. Many landlords are caught off guard because they've always submitted a simple Self Assessment and never used accounting software.
We work with landlords across London, Bromley and the wider South East to:
Set up digital record keeping for rental income, mortgage interest, repairs, insurance and other allowable expenses
Handle jointly-owned property and family arrangements correctly
Accounts Preparation
Maximise allowable expenses so you don't pay a penny more tax than you have to
Track multiple properties separately within one MTD-compliant system
Calculate and submit quarterly updates to HMRC
MTD ITSA — Frequently Asked Questions
When does MTD ITSA become mandatory?
Do I still need to do a Self Assessment under MTD ITSA?
What software do I need for MTD ITSA?
What counts as ‘qualifying income’?
What are the penalties for non-compliance?
Do you work with landlords outside London?
How much does your MTD ITSA service cost?
I earn under £50,000 — do I need to worry yet?
Get MTD ITSA Ready Today
Don't wait for HMRC's deadlines to creep up. Whether you're a sole trader, a landlord, or both, a quick chat with us will tell you exactly what Making Tax Digital for Income Tax means for you, and exactly what we can take off your plate.
