Stressing about Making Tax Digital? We can help…

HM Revenue & Customs (HMRC) are preparing for the next stage of Making Tax Digital (MTD): MTD for Income Tax Self-Assessment (MTD for ITSA).

MTD for ITSA, which will be introduced in 2026, will require qualifying sole traders to report to HMRC quarterly as well as annually, using HMRC compliant software that allows cloud accounting.

For individuals, MTD for ITSA will be introduced in two phases:

• From April 2026, for those with an income of more than £50,000.
• From April 2027, for those with an income of more than £30,000.

Although these dates may seem far away, taxpayers must start preparing now – and getting to grips with a whole new system, not to mention unfamiliar technologies, can be daunting.

This is where outsourcing your tax reporting to an accountancy firm comes in.

Find out how seeking our support can help you manage the transition to MTD for ITSA.

Expert knowledge of MTD

For a busy entrepreneur, keeping track of the latest updates, deadlines, and regulations from HMRC about MTD for ITSA is not easy.

You do not want to get caught out by a missed deadline or a new piece of legislation that causes problems for your business down the line.

By seeking the support of an accountancy firm, you will have access to highly trained accountants with expert knowledge of MTD for ITSA.

We can give advice tailored to your personal tax needs and keep abreast of any MTD for ITSA changes that could impact you.

Technological expertise

Technology is evolving fast, and it can be a struggle for even the most enthusiastic business owners to keep up.

HMRC has provided a list of approved software that taxpayers must use when reporting under MTD for ITSA: https://www.gov.uk/guidance/find-software-thats-compatible-with-making-tax-digital-for-income-tax

However, deciding which software to use and figuring out how to implement it into your current business can be challenging.

Specialist accountancy firms remain up to date with the latest developments in cloud accounting software and are expertly positioned to advise you on the best technological solutions for your business.

We can also provide training, seamlessly integrate new software into your existing systems, and customise solutions to fit your specific requirements.

Prevent increased workload

It is no surprise that the move from annual to quarterly reporting – combined with implementing new software, learning how to report digitally, and troubleshooting errors – will increase your workload.

This will take up more of your precious time, effort, and resources that you could be spending on other crucial areas of your business.

Accountancy firms can handle all aspects of tax reporting for you, freeing you from the burden of taking on even more work.

Trust your tax affairs with expert accountants

Preparing for the transition to MTD for ITSA can be fraught with uncertainty, confusion, and technical difficulties.

Outsourcing your tasks to an experienced accountancy firm will help you manage the transition smoothly.

At Butterworth Barlow, we provide a full range of accounting services designed to take the stress out of meeting your tax obligations.

We cover every aspect of MTD for ITSA, from registration to quarterly reporting and software integration.

Trusting us with your tax matters will enable you to save time, reduce stress, and focus on your business goals – with the peace of mind that all your tax needs are being taken care of.

Get ready for MTD by outsourcing today. Contact us to find out how we can take care of your tax obligations.