MBS Accounting LTD

🚨 Making Tax Digital is here – Are you ready? 🚨

From 6 April 2026, HMRC’s Making Tax Digital (MTD) for Income Tax is mandatory for many self-employed individuals and landlords. This means keeping digital records and submitting quarterly updates using HMRC-compatible software instead of relying solely on an annual Self Assessment.

Who is affected?

✅ From April 2026: Sole traders and landlords with gross income over £50,000 from self-employment and/or property.

✅ From April 2027: Those with gross income over £30,000.

✅ From April 2028: Those with gross income over £20,000.

⚠️ Remember: The thresholds are based on gross income (before expenses) from self-employment and property—not your profit or PAYE salary.

💻 If you’re affected, you’ll need to:
• Keep digital business records.
• Use HMRC-approved software.
• Submit quarterly updates to HMRC.
• Complete your end-of-year tax process digitally.

📩 Not sure if Making Tax Digital applies to you? Get in touch today and we’ll help you prepare before the deadline.

UK Business Update: What the New Government’s Announcements Could Mean for Your Business:

There have already been several significant announcements from the new Prime Minister aimed at supporting businesses and boosting economic confidence.

Key updates so far include:

A proposed 20% reduction in business rates for pubs, clubs and live music venues from next April – great news for many in the hospitality sector. Details for other hospitality businesses are still expected.

More finance for small and medium businesses with the Government announcing reforms designed to help around 12,000 more small businesses each year access funding for growth, investment and innovation.

With further announcements expected in the Autumn Budget, now is the perfect time for business owners to prepare rather than react.

Review your cash flow forecasts for the next 12 months.
Start budgeting for 2027 now, taking into account potential changes to business rates, employment costs and tax rules.

If you’re considering investing in equipment, premises or expansion, speak to your accountant about the best timing.

Whether you run a sports business, construction company, hospitality venue or another growing SME, keeping ahead of policy changes can make a real difference to your profitability.

We’re monitoring every announcement and will continue to explain what the changes mean in plain English—along with the practical actions you can take to protect your business and make the most of new opportunities.

If you’d like to discuss how these updates could affect your business, get in touch with our team today [email protected]

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