WHAT IS MTD?
Learn how you might be affected by MTD and how MTDflow can help.
How Does Making Tax Digital Work?
Making Tax Digital (MTD) is a new HMRC requirement that changes how self-employed people and sole traders manage and submit their tax. Instead of filing just once a year, you’ll need to start sending updates every 3 months - oh and don't forget you will still need to complete your end-of-year tax return!
When Does MTD Start?
If you are self-employed with a turnover over £50,000, there’s a good chance you’ve already started preparing for MTD. This threshold will reduce to £30,000 in April 2027, before becoming mandatory for anyone earning over £20,000 from April 2028.
What Software Can You Use for MTD?
To stay fully compliant with these new HMRC rules, it’s recommended you start using MTD-compatible software and there are a couple to pick from. However, what makes MTDflow different is we are for tradespeople only. We wanted to build a specialty app just for sole traders and CIS workers as we know how complicated your tax can be.
MANDATORY
For self-employed, sole traders and landlords.
UPDATE HMRC
Send updates to HMRC every 3 months instead of just annually.
EARN OVER £3OK?
If you earn over £30k a year, MTD will apply from April 2027.
£200 LATE FINE
You will be fined £200 once you reach 4 penalty points for late submissions.
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