What is “Making Tax Digital for Income Tax Self Assessment” (MTDfITSA) ?
If you are a sole trader business and or landlord and have a combined income of £10,000 and over, you are mandated into MTD for ITSA from April 2024.
You will need to do one return for property income and one for each business income, excluding PAYE income. Our white paper shows you all the data you will be required to enter together with many questions and answers.
You can get ahead of the Mandation by joining the public pilot earlier.
This replaces the self-assessment return in most cases.
Partnerships are mandated in April 2025, but not all of them at the time of writing.
Trusts are not required to join MTDfITSA.
So what’s the plan – when is all this happening, and what do I have to do now?
Does this affect me?
If you are a sole trader business and or landlord and have a combined income of £10,000 and over, you are mandated into MTD for ITSA from April 2024. You can get ahead of the Mandation by joining the public pilot earlier.
This replaces the self-assessment return in most cases.
If you are a partnership (only some to be included at the time of writing) and have a total income of £10,000 and over, you are mandated into MTD for ITSA from April 2025.
When does this affect me?
From April 2024, with your first whole accounting period starting on or after 6 April 2024. If you qualify, you can join from April 2022. Businesses that draw their accounts up to 31 March 2024 will be mandated into MTD for ITSA from April 2024.
What determines the £10,000 threshold?
It is determined by looking at the tax year two years before April 2024 to establish if you are mandated into MTD for ITSA. If you’re a new business or landlord, you will have to be trading for a time before you are mandated into MTD for ITSA.
Who’s included in the April 2024 Mandation?
Self-employed (Businesses) and landlords.
Who’s included in the April 2025 Mandation?
General partnerships that have only individuals as partners
Which solution should I buy?
MTDfSA will be the only solution for now and will be automatically upgraded to MTDfITSA when Mandation occurs or if eligible should you wish to join the HMRC pilot scheme. If you start keeping records digitally now, you will be ahead of the game, and the transition will be simple.
Register your interest now, and we will send you a white paper on MTDfITSA covering all the questions you need to ask and know the answers to.
Making Tax Digital for UK HMRC Self Assessment
MTDfSA is a Self Assessment filing solution that provides an easy to use and secure system for submitting your HMRC Self-Assessment returns electronically in a digital compliant format.
Input your income and expenses before they are seen by HMRC and look at your tax position, use our tips for savings before HMRC even see the data.
MTDf SA is simple to use. Take a look at some screen shots here…
Be Prepared for ITSA.
MTDfSA is a flexible and user-friendly MTD for SA bridging solution for your UK HMRC self assessment submissions.
The UK HMRC plans to make digital submissions of all Income Tax Self Assessment (ITSA) mandatory by April 2024, under the new name ‘Making Tax Digital for ITSA’. This will be somewhat different from the current self assessment scheme that is known simply as SA. BTCSoftware will be making a new product available (BTCS MTDfITSA), in good time for this change, and importantly, we will be making available a pain free and seamless, FREE upgrade for all customers currently using our BTCS MTDfSA solution.
MTDfSA and MTDfITSA will be very similar in many ways, but there will also be some important differences. Read more about these planned changes on our FAQs page here…, or better still, sign-up to our FREE Early Adopters Programme and keep up to date with the latest announcements, guidance and advice.
By subscribing to our MTDfSA solution now, you will be much better prepared for the changeover to ITSA in 2024. Not only will you already have a digital tax submission for self assessment in place already, but most of the screens and processes will already be familiar to you. Our technical support team are standing by to help you through the process at all stages, which means less worry and fewer last minute panics trying to get your self assessment submission in on time, whilst everything is changing.
Our MTDfSA product will be available for purchase in April 2022, and you may find it helpful to sign up to our Early Adopters Programme so that you get soonest possible news of its availability for purchase plus up to date announcements concerning the new obligations from HMRC. Click here to sign up…
Our MTDfSA solution covers submissions for individuals, businesses, and landlords, all from within the same core product. Click here for further details… There are also separate versions available for multi-company self assessment submissions, and for practising accountants who need to make digital self assessment submissions on behalf of many clients – Visit our main corporate website for details of those solutions… click here…