Are you self-employed or a landlord? Was your income over £50,000 in 2024/25? From 6 April 2026, you will probably need to report your Income Tax digitally through HMRC’s Making Tax Digital (MTD).
If you’re affected, you’ll need to send a summary of your business income and expenses to HMRC every three months through MTD-compatible software. This is a change from sending this information annually.
FreeAgent accounting software is on HMRC’s list of recognised software, and with a business bank account from NatWest, Royal Bank of Scotland, Ulster Bank or Mettle, you can get a FreeAgent account for free provided you remain a customer and adhere to their terms and conditions.
Other recognised softwares (not free) to assist with this include Xero, Sage and Quickbooks.
See a government overview about preparing to Make Tax Digital if you are a sole trader via the link below and contact your accountants for further support click HERE
This doesn’t apply to you if you are incorporated and only set up as a registered company /CIC/Charity as they have different processes, timelines and guidance. As always, contact your accountants for further support.
