Small businesses across the UK, take note: HMRC’s Making Tax Digital (MTD) initiative is no longer a distant bureaucratic rumble on the horizon. The government’s push to digitise the tax system is accelerating, and key deadlines are fast approaching, whether you’re ready or not.
MTD is part of a broader strategy to make tax reporting more accurate, efficient, and, crucially, harder to avoid. The initiative began rolling out in 2019, but for many small business owners, the most consequential changes are only just coming into effect.
From April 2026, all self-employed businesses and landlords earning over £50,000 annually must comply with MTD for Income Tax Self-Assessment (ITSA). Those earning over £30,000 will follow in April 2027. This means maintaining digital records and submitting quarterly updates via approved software, spreadsheets alone won’t cut it anymore.
If you’re VAT-registered, you should already be familiar with MTD requirements. But for sole traders and landlords who’ve thus far flown under the digital radar, this represents a significant change. Paper receipts in shoeboxes and frantic January submissions will soon be relics of the past.
While HMRC promises that MTD will reduce errors and improve efficiency, for time-strapped business owners juggling costs, compliance is another thing to worry about. The need to invest in accounting software, or an accountant who understands it, adds an extra layer of pressure.
That’s where Elevation Financial comes in. As experienced accountants who’ve helped countless small businesses make the switch, we’re here to take the stress out of going digital. From choosing the right software to managing your quarterly submissions, we’ll guide you through every step of the MTD journey.
“The tax landscape is evolving rapidly, and we know how overwhelming it can feel for small business owners to keep up,” says Craig Plowden, CEO of Elevation Financial. “Our role is to make this transition as smooth as possible, so you can focus on running your business while we handle the compliance.”
Don’t leave it until the last minute. Get in touch with Elevation Financial today, and make sure your business is ready for the digital future, calm, compliant, and confidently ahead of the curve.
The UK government’s Making Tax Digital initiative is entering a critical phase, and small businesses need to act fast or risk falling behind.
