Making tax digital
Streamlining the way you manage and submit your taxes online.
Navigate making tax digital with confidence
Making Tax Digital (MTD) is a UK government initiative aimed at transforming the tax system to make it easier for individuals and businesses to get their tax right and stay on top of their affairs. It currently impacts VAT returns and will soon impact self-assessment submissions.
Helping you navigate Making Tax Digital with confidence
Making Tax Digital (MTD) is a key part of HMRC’s long-term plan to modernise and streamline the UK tax system.
We’ve created a short guide to support anyone who is self-employed and for landlords to understand and navigate the changes.
Our MTD service provides:
Comprehensive Making Tax Digital (MTD) compliance
- We ensure your business meets all MTD requirements, including digital record-keeping and quarterly submissions to HMRC.
- Our team stays up to date with the latest regulations to provide you with accurate and timely advice.
Digital record-keeping solutions
- We help you transition from traditional paper-based records to efficient digital systems.
- We recommend and implement the best accounting software tailored to your business needs.
Quarterly VAT returns
- We manage and submit your VAT returns digitally, ensuring accuracy and compliance.
- Our proactive approach helps you avoid penalties and stay on top of your tax obligations.
MTD for Income Tax
- We assess whether you will be impacted by the phased implementation of MTD for Income Tax, and where relevant, provide beta access for trial prior to the mandatory date.
Training and support
- We provide training sessions to help you and your team understand and utilize digital tax tools effectively.
- Our team is available to answer your questions and resolve any issues.
Tasks and Processes
Comprehensive MTD compliance
- Initial assessment: Evaluate your current tax processes and identify areas needing digital transformation.
- Compliance check: Ensure all financial records meet HMRC’s digital requirements and implement any necessary changes to align with MTD standards.
- Ongoing monitoring: Regularly review and update processes to stay compliant with any changes in MTD regulations.
Digital record-keeping solutions
- Software selection: Recommend the best accounting software for your business.
- Data migration: Transfer existing records from paper or legacy systems to digital formats.
- System setup: Configure the software to suit your business needs.
Quarterly VAT returns preparation
- Data collection: Gather all necessary financial data for VAT returns.
- Data verification: Ensure accuracy and completeness of the data.
- Calculation: Calculate the VAT due or reclaimable based on the collected data.
- Submission: File the VAT returns digitally with HMRC.
MTD for Income Tax
- Assessment of qualification: Assess if you are required to submit your Self-Assessment via MTD in the initial phases of implementation.
- Recommendation for beta access: If you qualify, we will discuss enrolment in the Beta testing phase to provide clarity on the process before it becomes mandatory.
Training and support
- Training sessions: Conduct workshops and training sessions for your team on the chosen software.
- Ongoing support: Provide continuous support to address any issues or questions.
The Shift to Digital
Watch our video about how we can help with
Making Tax Digital
Key benefits
Compliance assurance:
Efficiency & time saving:
Up-to-date knowledge:
Transparency:
Improved accuracy:
Latest news & insights
The benefits of forecasting & budgeting for business growth
Are you like many business owners, who review their financial performance once the month has ended, checking sales, costs and profit before moving...
First Self-Assessment Tax Return: What HMRC Doesn’t Tell You
The process of completing your first self-assessment tax return can feel like a simple administrative task. You register with HMRC, enter your...
Inside the mind of a tax preparer. What we look for before HMRC does
Every tax return is a little like solving a puzzle. Most of the pieces fit together exactly as expected, but occasionally something doesn't quite...
Our advisers
Meet some of our team of chartered accountants and business advisers.
Ollie Newburn
Scott Reynolds
Could we help you and your business?
Call us:
0333 006 8809
Email us:
enquiries@haywardwright.co.uk
Find us:
see office locations
FAQs
What is Making Tax Digital (MTD)?
Making Tax Digital (MTD) is a UK government initiative aimed at transforming the tax system to make it easier for individuals and businesses to get their tax right and stay on top of their affairs by using digital tools.
Who needs to comply with MTD?
Currently, all VAT-registered businesses must comply with MTD.
From April 2026, self-employed individuals and landlords with annual business or property income above £50,000 will also need to comply.
From April 2027, the threshold will lower to £30,000.
What software do I need for MTD?
You need MTD-compatible software to maintain digital records and submit updates to HMRC.
HMRC provides a list of approved software options, and we can advise on those best suited to your business.
How often do I need to submit updates under MTD?
MTD requires quarterly submissions to HMRC, bringing the tax system closer to real-time reporting.
How do I transition to MTD?
Our firm can help you transition by assessing your current processes, recommending suitable software, migrating your data, and providing training and support.
What happens if I don't comply with MTD?
Non-compliance can result in penalties from HMRC.
It’s important to stay up to date with MTD requirements to avoid any issues.
How secure is my data under MTD?
MTD requires robust encryption and secure storage solutions to protect your financial data.
Our practices comply fully with GDPR and other relevant data protection regulations.