| Individuals with significant income – including the self-employed – are presently required to file one tax return a year.
From April 2024, HMRC’s Making Tax Digital program is being expanded to include self-employed individuals and landlords with business or rental income in excess of £10,000. This is described as MTD for ITSA (Income Tax Self-Assessment) From April 2025, all other individuals subject to Self-Assessment will be drawn into the MTD for ITSA net. Two points to consider: Firstly, MTD directs that affected taxpayers will need to upload data to HMRC’s servers on a quarterly basis. This effectively increases the present, single reporting requirement to four separate filing events during each tax year. Secondly, in order to upload data, taxpayers will need to keep their records in a digital format that has been programmed to synchronise with HMRC’s servers. We would encourage all taxpayers who have not yet considered these changes to contact us as soon as possible. Although 2024 may seem to be some time away there is much to do to ensure you stay compliant. |
not all accountants are grey...
signup to our newsletter
