Making Tax Digital: What It Means for You
If you are self employed or a landlord earning over £50,000, HMRC now requires you to keep digital records and submit quarterly updates through Making Tax Digital for Income Tax Self Assessment (MTD ITSA).
For many business owners, the shift to quarterly reporting feels like yet another burden on top of an already busy schedule. That is where we come in. At Modus, we handle the entire MTD process for you, from choosing the right software and setting up your digital records to filing every quarterly update on time.
With offices in Witney and Frilford near Abingdon, our team works closely with sole traders and landlords right across Oxfordshire to make the transition as smooth as possible.
How We Help With Making Tax Digital
Software Setup
We help you choose the right MTD compatible software and set everything up so it works from day one. No tech headaches, no confusion.
Digital Record Keeping
We make sure your income and expenses are recorded correctly in a format that meets HMRC requirements, whether you use a spreadsheet or accounting software.
Quarterly Filing
Every quarter, we prepare and submit your MTD update to HMRC on your behalf. You never have to worry about missing a deadline.
Ongoing Support
Have a question about MTD or your obligations? Our team is only ever a phone call away. We keep things simple and jargon free.
HMRC Compliance
We make sure your records and filings meet all current HMRC requirements, giving you complete peace of mind that everything is in order.
Year End Tax Return
Your annual Self Assessment tax return is prepared using the same digital records, meaning everything ties together and nothing gets missed.
Who Needs to Comply With Making Tax Digital?
From April 2026, Making Tax Digital applies to self employed individuals and landlords with annual income over £50,000. If you fall into this category, you are now required to keep digital records and submit quarterly updates to HMRC.
From April 2027, the threshold drops to £30,000, bringing even more people into scope.
Whether you run a trade, have rental income, or both, the requirements are the same: digital records, quarterly updates, and an end of period statement. If you are unsure whether MTD applies to you, get in touch and we will let you know exactly where you stand.
MTD Pricing
Our MTD quarterly filing service is straightforward and competitively priced.
£105 + VAT per quarter
This covers the preparation and submission of your quarterly MTD update to HMRC. Your annual Self Assessment tax return is handled separately and starts from £500 + VAT for self employed accounts.
If you need help with software setup, bookkeeping, or digital record keeping, we will put together a package that works for you. Every business is different, so we tailor our support to match what you actually need.
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Frequently Asked Questions
What is Making Tax Digital?
Making Tax Digital is an HMRC initiative that requires self employed individuals and landlords to keep digital records and file quarterly updates instead of a single annual tax return. The aim is to reduce errors and give taxpayers a clearer picture of their finances throughout the year.
When do I need to start?
If your annual income is over £50,000, MTD applies from April 2026. If your income is between £30,000 and £50,000, you will need to comply from April 2027. We recommend getting set up early so you are ready well before your start date.
What software do I need?
You will need MTD compatible software to keep digital records and submit your quarterly updates. We work with a range of software providers and will help you choose the option that best suits your business. In many cases, a simple spreadsheet linked to HMRC compatible software is all you need.
Can my accountant handle MTD for me?
Absolutely. That is exactly what we do. We set up your software, maintain your digital records, file your quarterly updates, and handle your annual tax return. You carry on running your business while we take care of the compliance.
How much does it cost?
Our quarterly MTD filing service is £105 + VAT per quarter. Your annual self employed accounts start from £500 + VAT. If you need additional support such as bookkeeping or software setup, we will put together a tailored package and quote for you.
I am a landlord. Does MTD apply to me?
Yes. If your combined property income exceeds the threshold (£50,000 from April 2026, £30,000 from April 2027), you will need to comply with MTD in the same way as a self employed sole trader. We regularly support landlords and small property companies with MTD setup and ongoing compliance.
What if I already use an accountant for my Self Assessment?
If you are already a Modus client, we will contact you directly to discuss your MTD requirements and get everything set up. If you are with another accountant and want to explore switching, book a free discovery call and we will explain how the transition works.