Making Tax Digital for Income Tax: Are You Still on Track? If you're a sole trader or a landlord , you've probably heard something about Making Tax Digital for Income Tax, or MTD for ITSA. You might have pushed it to the back of your mind, after all, it’s not mandatory for me just yet, but ignoring it won’t make it go away. MTD for ITSA is HMRC’s way of moving self-assessment into the digital age . It means you’ll need to keep digital records and send updates to HMRC throughout the year, not just once in January. Gone are the days of handwritten ledgers or spreadsheets saved in random folders. To stay compliant, you’ll need to use MTD-compatible software that links directly to HMRC - such as Quick Books or Xero or Spreasheet linking software. The rollout is happening in stages. From April 2026, MTD for ITSA will apply to sole traders and landlords with more than £50,000 in total income. That’s not your profit, it’s your gross income, before any ex...
