How Ready Are You for Your First MTD Submission?
MTDfIT (Making Tax Digital for Income Tax) is now underway for sole traders and landlords with qualifying income over £50,000.
The first quarterly update covers the period from 6 April to 5 July 2026 and must be submitted by 7 August 2026, just two months away! But you still have time.
The question is simple: are you ready?
Are your records up to date?
The foundation of Making Tax Digital is accurate digital record-keeping.
Ask yourself:
- Have all income transactions been recorded?
- Have all expenses been entered?
- Are receipts and invoices stored digitally?
- Can you easily find supporting documents if needed?
If the answer to any of these questions is no, now is the time to fix it.
Are you using compatible software?
Under MTD, records must be kept digitally and submitted using compatible software.
Check that:
- Your software is MTD compatible
- Your bank feeds are working correctly
- Income and expenses are being recorded automatically where possible
- You know how to access reports when required
If you are still relying on spreadsheets or paper records, you may need to review your current setup.
Have you reconciled your bank accounts?
One of the most common bookkeeping issues is unreconciled bank accounts.
Your records should match your actual bank balance.
Regular reconciliation helps identify:
- Missing transactions
- Duplicate entries
- Banking errors
- Incorrect categorisation
Small issues are much easier to correct now than just before a submission deadline.
Do you understand what needs to be submitted?
Quarterly updates are not full tax returns.
They are summaries of your business income and expenses for the reporting period.
Understanding this now helps remove some of the uncertainty around MTD.
Are your bookkeeping habits ready?
For many businesses, the biggest challenge is not the software. It is maintaining accurate records throughout the year.
If bookkeeping currently gets left until year-end, MTD will require a change in approach.
Regular bookkeeping means:
- Better accuracy
- Less stress
- Easier submissions
- More confidence in your figures
How Rosemary Bookkeeping can help
If you are unsure whether you are ready for your first MTD submission, your local Rosemary Bookkeeper can help review your records, software, and processes.
Preparing now will make your first submission much smoother.
Find your nearest Rosemary Bookkeeper today.
