HM Revenue & Customs is implementing Making Tax Digital (MTD) for Income Tax Self-Assessment, a digital tax reporting requirement that mandates quarterly submissions for eligible taxpayers. The government is reducing the mandation threshold from £30,000 to £20,000 from April 2028, with ongoing scrutiny of SME compliance costs and calls to extend the rollout period and reduce reporting frequency.
In response to: Making Tax Digital (MTD) for Income Tax
Screening Equality Impact Assessment for Making Tax Digital (MTD) for Income Tax
Directions for voluntary users of the Making Tax Digital for Income Tax online service about using functional compatible software to deliver and receive specified information electronically.
This tax information and impact note is about the reduction of the Making Tax Digital for Income Tax Self Assessment mandation threshold from £30,000 to £20,000, from April 2028.
This measure is about HMRC modernising legislation so that outbound communications can be sent digitally by default to customers who use our online services.
In response to: Extension of Making Tax Digital for Income Tax Self Assessment to sole traders and landlo…
This tax information and impact note is about the introduction of Making Tax Digital for Income Tax Self Assessment for sole traders and landlords with income over £30,000.
In response to: Making Tax Digital for Income Tax and penalty reform
These measures introduce the draft legislation for Making Tax Digital for Income Tax and penalty reform.
In February 2024, HMRC estimated that extending MTD to Income Tax Self Assessment from 2026–27 would impose transitional costs of around £561 million on sole traders and landlords with incomes above £30,000, and the continuing annual costs of MTD to …
This tax information and impact note is about increasing late payment penalties for VAT and those in Income Tax Self Assessment (ITSA) who are part of the trial or voluntary cohort for Making Tax Digital (MTD).
In response to: Modernising the tax system through Making Tax Digital
This technical note provides further detail on measures relating to Making Tax Digital for Income Tax which were announced at Spring Statement 2025.
Customers volunteering to join Making Tax Digital (MTD) for Income Tax Self Assessment (ITSA) from April 2024 will be subject to the government’s new penalty regime.
We welcome views on this technical consultation for the proposed new Income Tax (Digital Requirements) (Amendment) Regulations 2024 and associated notices.
We welcome views on this technical consultation for the proposed new Income Tax (Digital Requirements) (Amendment) Regulations 2024 and associated notices.
We received written evidence from taxpayer and agent representatives that expressed their concerns over the additional burdens that Making Tax Digital would impose on businesses and taxpayers. For example, Crundell & Co Accountancy Ltd told us that Making Tax Digital …
We also received written evidence from the Low Incomes Tax Reform Group (LITRG), which told us that going back as early as 2016 it had repeatedly raised concerns about the additional cost and administrative burden Making Tax Digital will add …
Many of the programme’s stakeholders support the idea of digitalising the tax system.34 We received written evidence from The Association of Tax Technicians (ATT), which told us that it welcomed digital record keeping and the modernisation of the tax system …
We asked HMRC why it omitted significant costs from the cost-benefit analysis it included in its May 2022 business case, and whether the decisions made on the basis of the business case would have been the same if this information …
Overall, HMRC’s latest figures indicated that if mandatory requirements were extended to those with incomes above £10,000, then business taxpayers could have to pay 46 Qq 64–65 47 Q 78; C&AG’s Report, paras 3.12–3.13 48 Qq 90–91 49 Q 65; …
We also received written evidence that highlighted some significant areas that needed design and technical solutions before the programme can be delivered.63 ICAEW’s written evidence said that currently the criteria for joining the pilot were too restrictive – which meant …
In response to: Digitalising Business Rates: connecting business rates and tax data
We welcome views on proposed notices made under regulations 3, 8, 12 and 16 of the Income Tax (Digital Requirements) Regulations 2021 (SI 2021 No. 1076).
We welcome views on proposed notices made under regulations 3, 8, 12 and 16 of the Income Tax (Digital Requirements) Regulations 2021 (SI 2021 No. 1076).
In response to: Making Tax Digital for VAT - screening equality impact assessment
Screening equality impact assessment for Making Tax Digital (MTD) for VAT.
In response to: Extension of Making Tax Digital for Income Tax Self-Assessment to businesses and landlords
This tax information and impact note is about the extension of Making Tax Digital for Income Tax Self-Assessment to businesses and landlords
In response to: Customer costs and benefits for the next phases of Making Tax Digital
This policy paper considers the impacts of the next phases of Making Tax Digital.
In response to: Dynamic coding-out of Self Assessment
This is HM Revenue and Customs' initial equality impact assessment.
We also received written evidence from the Chartered Institute of Taxation, which highlighted the findings of a survey of businesses and agents with an interest in the programme that they had carried out jointly with the Association of Taxation Technicians …
This consultation sets out three possible models for late submission penalties and provides an update on late payment penalty interest.
This consultation sets out three possible models for late submission penalties and provides an update on late payment penalty interest.
This consultation sets out three possible models for late submission penalties and provides an update on late payment penalty interest.
This measure reduces the tax-free allowance for dividend income from £5,000 to £2,000.
This document summarises the main design choices and questions from the Making Tax Digital consultations for small businesses and landlords.
A consultation on how digital record keeping and regular updates should operate.
This measure introduces new digital record-keeping and reporting requirements for businesses within the charge to Income Tax.
A consultation on how digital record keeping and regular updates should operate.
This document summarises the main design choices and questions from the Making Tax Digital consultations for small businesses and landlords.
A consultation on how digital record keeping and regular updates should operate.
This document summarises the main design choices and questions from the Making Tax Digital consultations for small businesses and landlords.
HM Revenue & Customs invites comments on possible changes to rules on deduction of tax from savings income.
HM Revenue & Customs invites comments on possible changes to rules on deduction of tax from savings income.
HM Revenue & Customs invites comments on possible changes to rules on deduction of tax from savings income.