MTD for Income Tax · Mandatory from April 2026

Making Tax Digital, Made Simple

From April 2026, HMRC requires sole traders with qualifying income over £50,000 to keep digital records and send quarterly updates. We take care of the bookkeeping and submissions for one agreed monthly fee, so you can get on with running your business.

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Why Montpellier Lodge?

Compliance without the headache

We specialise in Making Tax Digital for sole traders. You get a dependable, hands-off service at a price you know in advance.

Fixed monthly fee

One agreed price each month, covering everything you need to stay compliant. No hourly billing and no surprise invoices at year end.

We handle everything

From recording your income and expenses to submitting each quarterly update, we do the work. You just send us your paperwork.

HMRC compliant

We use HMRC-recognised MTD software and keep your digital records in line with the rules, so every deadline is met on time.

What is MTD?

Making Tax Digital for Income Tax, explained

Making Tax Digital (MTD) is HMRC’s programme to move tax administration online. For Income Tax, it replaces the once-a-year Self Assessment routine with digital record keeping and regular updates throughout the year.

If you’re in scope, you’ll need to keep your business records in MTD-compatible software, send HMRC a summary of your income and expenses every quarter, and submit a final declaration after the tax year ends.

How we can help
4quarterly updates a year
1final declaration
100%digital records
  1. April 2026 Qualifying income over £50,000MTD becomes mandatory for sole traders and landlords above this threshold.
  2. April 2027 Qualifying income over £30,000The threshold lowers, bringing many more sole traders into scope.
  3. April 2028 Qualifying income over £20,000A further reduction in the threshold.

Qualifying income is your total gross income from self-employment and property, before expenses. Thresholds are set by HMRC and may change.

Ready to make MTD one less thing to worry about?

Tell us a little about your business and we’ll explain how we can help, with no obligation.

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