MTD ITSA

MTD ITSA: A Quick Guide for the Self-Employed

Making Tax Digital for Income Tax Self Assessment (MTD ITSA) is changing how self-

employed individuals and landlords report their income to HMRC.

What is MTD ITSA?

MTD ITSA is part of HMRC’s move to a digital tax system. Instead of filing one annual tax return, you’ll need to:

• Keep digital records

• Use compatible software

• Submit quarterly updates

• Complete a final year-end declaration

Who is Affected?

MTD ITSA will apply to:

• Self-employed individuals

• Landlords

From:

• April 2026 (income over £50,000)

• April 2027 (income over £30,000)

What Does This Mean for You?

You’ll need to stay on top of your bookkeeping throughout the year rather than leaving it until the deadline. While this means more regular reporting, it also gives you a clearer view of your finances.

How to Prepare

• Start keeping digital records now

• Use MTD-compatible software

• Get support from a bookkeeper

Need Help?

At Magna Carta Bookkeeping, we help you stay compliant and stress-free with MTD ITSA, from setup to submissions.