Making Tax Digital at AWR Accountants

At AWR Accountants, we help self-employed individuals, landlords and small business owners prepare for the upcoming Making Tax Digital (MTD) changes introduced by HMRC. These new rules will affect thousands of UK taxpayers and will require digital bookkeeping and quarterly submissions using approved accounting software.

Making Tax Digital for Self-Employed & Landlords – Everything You Need to Know

Our specialist tax accountants provide expert support to ensure you remain fully compliant with Making Tax Digital for Income Tax (MTD ITSA) while reducing admin and avoiding costly HMRC penalties.

Who needs to comply with Making Tax Digital for Income Tax?

Under the new HMRC rules, self-employed individuals and landlords with qualifying income above certain thresholds will need to comply with Making Tax Digital requirements.

If your total self-employed turnover and/or rental income exceeds the threshold, you will be required to keep digital records and submit quarterly updates to HMRC.

At AWR Accountants, we help sole traders, freelancers, landlords and property investors across the UK prepare for MTD compliance.

How does HMRC calculate qualifying income?

Qualifying income is your:

Total self-employed turnover

PLUS
Gross rental income
This figure is calculated:
Before expenses
Excluding VAT

What Is Qualifying Income for Making Tax Digital?

For example, if you earn:
£18,000 self-employed income
£15,000 rental income

Your qualifying income would be £33,000, meaning you would fall within the MTD rules from April 2027.
At AWR Accountants, we can review your income position and confirm when Making Tax Digital will apply to you.

When Will Making Tax Digital Start?

What are the Making Tax Digital deadlines?

April 2026
For individuals with qualifying income above £50,000
April 2027
For individuals with qualifying income above £30,000
April 2028
For individuals with qualifying income above £20,000
If you are unsure when you need to comply, AWR Accountants can assess your income and help you prepare early to avoid last-minute stress.

What Will Be Required Under Making Tax Digital?

What do self-employed individuals and landlords need to do?

What Happens If I Don’t Comply with Making Tax Digital?

Yes. HMRC will introduce fines and penalties for taxpayers who fail to comply with Making Tax Digital requirements.

Penalties may apply for:

Late quarterly submissions
Failure to keep digital records
Incorrect reporting
Missing deadlines

Prepare early

Although self-assessment taxpayers joining MTD in April 2026 will not face the new penalty regime until 2027, it is important to prepare early. At AWR Accountants, we help clients avoid penalties by managing their bookkeeping and submissions throughout the year.

How Can AWR Accountants Help Me Stay Compliant with Making Tax Digital?

How do I prepare for Making Tax Digital?

The easiest way to remain compliant is to:

Keep digital bookkeeping records
Use cloud accounting software
Separate business and personal banking
Submit records quarterly
Opening a dedicated business bank account can make bookkeeping significantly easier and improve accuracy.

Benefits of automated bank feeds

With automated bank feeds into your accounting software, you can:

Reduce manual data entry
Eliminate personal transactions
Improve record accuracy
Save time on administration
Reduce accounting errors

Specialist Making Tax Digital accounting services

At AWR Accountants, we provide specialist Making Tax Digital accounting services for self-employed individuals, landlords and small businesses across the UK.

We can help with:

MTD registration
Cloud accounting setup
Quarterly bookkeeping
Quarterly HMRC submissions
Tax planning
Ongoing compliance support

Why Choose AWR Accountants for Making Tax Digital Support?

At AWR Accountants, we specialise in helping businesses and individuals transition smoothly to the new HMRC digital tax system.

We offer:

Specialist Making Tax Digital accountants
Support for landlords and self-employed individuals
Cloud accounting setup and training
Quarterly bookkeeping services
HMRC compliance support
Proactive tax advice

Our goal is to make Making Tax Digital simple, stress-free and fully compliant for our clients.

Speak to AWR Accountants About Making Tax Digital

If you need expert advice on Making Tax Digital for landlords, MTD for self-employed individuals or quarterly HMRC submissions, our team at AWR Accountants in Derby is here to help.

Contact us today to discuss how we can support your transition to Making Tax Digital and keep your tax affairs fully compliant.

Speak to AWR Accountants