When Will Making Tax Digital for Income Tax Impact You?

Discover Key Deadlines and Thresholds

It’s January, which means the countdown to Making Tax Digital (MTD) has begun. The 6th of April is approaching rapidly, so it’s essential to familiarise yourself with the key deadlines and thresholds for MTD, and understand how they may impact you.

MTD implementation is being phased in gradually based on annual gross income for sole traders. It is your responsibility to determine if and when you need to comply. (Refer to the table: Qualifying and Non-Qualifying Income for MTD IT).

Key Dates:

6 April 2026

For those with annual sales over £50,000, digital records and quarterly reporting start on 6 April, 2026.

6 April 2027

If your sales range between £30,000 and £50,000, you’ve got until 6 April, 2027. An extra year for preparation!

6 April 2028

With sales between £20,000 and £30,000, your deadline extends to 6 April, 2028.

General Partnerships

Keep an ear out for updates, since general partnerships originally set for 2025 are on hold for now.

Why Getting Started Early Matters

MTD means quarterly updates, but don’t worry – with the right software, the process becomes hassle-free. Keep these dates in mind for a stress-free experience:

• Quarter 1: 6 April – 5 July (Due by 5 August)
• Quarter 2: 6 July – 5 October (Due by 5 November)
• Quarter 3: 6 October – 5 January (Due by 5 February)
• Quarter 4: 6 January – 5 April (Due by 5 May)

Finalise everything by the following 31 January, and rest easy knowing you’ve stayed on top of things.

How Can Powered Now Help?

With Powered Now at your side, you’ll not only manage MTD with ease, but also discover how streamlining administrative tasks can transform your business. Let’s ensure your trade business is fully prepared to tackle MTD seamlessly and confidently.

As the UK’s leading job management software designed for trade businesses, Powered Now makes every interaction simple and effective. Save time, win more work, and stay compliant with a tool that’s as reliable as you are.

Join thousands of trade professionals and make admin a breeze. Learn more at: www.powerednow.com

Try Powered Now today with a 14-day trial – no card needed! Our UK-based customer success team can assist you with setup and data migration, at no extra cost. Perfect for trialling before MTD hits. Download today.