An Introduction To Making Tax Digital
Getting Started With MTD
Making Tax Digital, or MTD, is HMRC’s initiative to move tax reporting away from paper and spreadsheets and into digital record‑keeping and online submissions using approved software.
Instead of submitting one tax return a year, businesses and individuals will keep digital records and send regular updates to HMRC.
What are the first steps to getting started with MTD?
Getting started with MTD involves multiple steps
These steps include:
- Reviewing whether MTD applies to you
- Moving your records to a digital format
- Choosing HMRC‑compatible software
- Signing up for MTD with HMRC
- Submitting your first update
How do I choose the right MTD software?
Suitable MTD software will:
- Be HMRC‑recognised
- Suit the size and complexity of your business
- Integrate with invoicing and bank feeds
- Be simple enough to use consistently
For some, a full cloud accounting system is best. Others may only need bridging software.
There is no one‑size‑fits‑all solution which is where our advice becomes key. Send us a message using the form below to find out the best solution for your business.