The
mandated start was supposed to be from April 2024 but the Government
understands that self-employed individuals and businesses are currently facing
a challenging economic environment.
Details announced include:
- From April 2026, self-employed individuals and landlords with an income of more than £50,000 will be required to keep digital records. They will also be required to provide quarterly updates on their income and expenditure to HMRC through MTD-compatible software.
- For those with an income of between £30,000 and up to £50,000 will need to do this from April 2027.
- It is anticipated that most taxpayers with the scope of MTD for ITSA will be able to sign up voluntarily before they are required to do so.
- A review of smaller businesses, particularly those under the £30,000 threshold. They will look at how the service can be best shaped to meet their needs the best way to fulfil their Income Tax obligations.
For now, no action is required but we will continue to work with you and assist you in keeping digital records whilst preparing you for the sign up to the mandation when the time comes.
It
appears HMRC have increased the thresholds which will allows the burden to be
lifted on those individuals with lower incomes. For further information please click here