What Making Tax Digital for Income Tax Means for the Self-Employed
For the self-employed, Making Tax Digital (MTD) for Income Tax changes how you report your finances to HMRC. Compared to sending one yearly Self Assessment, the biggest change is needing to digitally record your income and expenses and submit them to HMRC throughout the year as quarterly updates. Everything else is similar to what you did before but instead of using HMRC's online Self Assessment form, you must use MTD-compatible software such as Easy MTD.
MTD for Income Tax may seem daunting, but don’t worry - it’s easier than it sounds! Simply use a spreadsheet to record your self-employment income and expenses, and Easy MTD to submit them every three months to HMRC. All other figures necessary for your MTD for Income Tax journey - like annual summaries, adjustments, losses, and personal income, reliefs and deductions — can be recorded however you like. You then import, type or copy-and-paste them into Easy MTD prior to submitting them to HMRC. At the end of the year a final tax calculation is presented in Easy MTD which you must agree to - known as making a final declaration. That's it - MTD for Income Tax sorted!
Stay in Control with Easy MTD Bridging Software
Easy MTD sits between your figures and HMRC, allowing you to submit everything without the need for expensive and complicated accounting software. It’s HMRC-recognised, affordable, and built specifically for self-employed individuals who want to stay compliant without giving up the tools they already know.
Why the Self-Employed Choose Easy MTD
Whether you’re a sole trader, freelancer, or small business owner, Easy MTD for Income Tax makes digital reporting easy, accurate, and stress-free — keeping you fully compliant while letting you work the way you prefer.