Is Your Business Ready for 7 August?
The first quarterly Making Tax Digital (MTD) deadline is almost here.
If you’re a sole trader or landlord with qualifying income over £50,000, your first quarterly update covering the period from 6 April to 5 July 2026 is due by 7 August 2026.
If you’ve left things a little later than planned, don’t worry. There’s still time to get organised.
Use this MTD checklist to make sure you’re ready before the deadline arrives.
1. Make Sure You’re Using MTD-Compatible Software
Your quarterly update must be submitted via HMRC-compatible software.
If you’re still relying on paper records or spreadsheets without approved bridging software, now is the time to review your setup.
If you’re unsure whether your software is compatible, your bookkeeper can advise.
2. Bring Your Records Up To Date
Your bookkeeping should cover the entire reporting period from 6 April to 5 July.
Check that you’ve recorded:
- All sales and income
- All business expenses
- Bank transactions
- Invoices issued
- Receipts for purchases
The more complete your records are, the easier your submission will be.
3. Reconcile Your Bank Account
Your bookkeeping records should match your bank account.
Reconciling your transactions helps identify:
- Missing payments
- Duplicate entries
- Incorrect amounts
- Transactions that still need categorising
This simple step can prevent mistakes before they’re submitted.
4. Check Your Expense Categories
Have you recorded expenses correctly?
Common categories include:
- Office costs
- Travel
- Equipment
- Professional fees
- Staff costs
- Premises costs
Accurate categorisation makes your records clearer and helps ensure your submission is complete.
5. Look For Missing Information
Before you submit, take a few minutes to check for anything that may have been overlooked.
Ask yourself:
- Have I recorded every business expense?
- Are there any missing receipts?
- Have all invoices been entered?
- Have all bank transactions been reviewed?
Small gaps are much easier to fix now than they are further down the line.
6. Don’t Leave It Until The Last Minute
The closer you leave your submission, the less time you’ll have to resolve unexpected issues.
Software questions, missing documents or incorrect records all take time to fix.
Submitting early gives you confidence that everything has been completed correctly.
7. Remember, The Soft Landing Doesn’t Mean You Should Wait
HMRC has introduced a soft landing for quarterly submissions during the 2026/27 tax year.
This means you won’t incur late-submission penalty points for your quarterly updates during the first year.
However, you’re still legally required to:
- Keep digital records
- Submit quarterly updates
- Use compatible software
Late payment penalties and interest can still apply where relevant, and the full penalty points system begins from April 2027.
Think of this year as your opportunity to build good habits before the rules become stricter.
Need Help Before The Deadline?
If you’re looking at this MTD checklist and thinking you’ve still got a lot to do, you’re not alone.
Many businesses are still adapting to Making Tax Digital, and there’s no benefit in struggling through it alone.
Your local Rosemary Bookkeeper can help you:
- Bring your records up to date
- Check your bookkeeping is accurate
- Make sure you’re using compatible software
- Prepare your first quarterly update
- Build a bookkeeping routine that makes future deadlines much easier
The August deadline doesn’t have to be stressful.
A little preparation now can make every subsequent quarterly submission feel much more manageable.
Find your nearest bookkeeper here, or call us on 0345 8620072
