MTD ITSA guidance updated following Budget
The Budget contained announcements regarding the rollout of Making Tax Digital for Income Tax Self-Assessment (MTD ITSA). The corresponding HMRC guidance has now been updated. What’s the latest position?
The current timetable for mandating into MTD ITSA is as follows:
- April 2026 for sole traders and landlords with income over £50,000; and
- April 2027 for those with income over £30,000
When this was announced, the previous government said it would consult on the position for those with incomes below £30,000 to ensure MTD was suitable. The Autumn Budget confirmed that the threshold will drop to £20,000 by the end of the current parliament (likely 2029), but for now there is no indication of which year this will apply to. HMRC’s guidance has been updated to reflect this.
Related Topics
-
HMRC reminds employers to check tax codes at start of new tax year
HMRC is reminding employers to review PAYE coding notices as the 2026/27 tax year gets underway. With new tax codes now in operation, what should you be looking out for?
-
Salary v dividends in 2026/27
Dividend tax rates have increased by 2% for 2026/27. Add that on to the other recent tax hikes and it starts to look very expensive to run a company. Is the combination of a low salary topped up with dividends still tax efficient?
-
Practical guide: Incorporating a property business
An individual with a significant property portfolio is considering incorporating their business. What are the key considerations and are there any traps to avoid or tax planning opportunities?
This website uses both its own and third-party cookies to analyze our services and navigation on our website in order to improve its contents (analytical purposes: measure visits and sources of web traffic). The legal basis is the consent of the user, except in the case of basic cookies, which are essential to navigate this website.