The first MTD for income tax deadline has arrived and if you’re self-employed or a landlord now within the scheme, you’re probably wondering whether you’re doing everything correctly.
For many people, Making Tax Digital still feels completely new. You’ve got new software, new reporting requirements and, instead of one annual submission, you’re now expected to keep your records updated throughout the year.
The good news is that your first quarterly update is often much simpler than people expect. Once you understand what’s required, it quickly becomes another part of your normal business routine.
What does MTD for income tax actually require?
One of the biggest misconceptions surrounding MTD for income tax is that every quarterly submission is a tax return, which isn’t the case.
Instead, the quarterly update is simply a snapshot of your business income and expenses for that reporting period. For this first submission, you’ll be reporting figures covering 6th April to 5th July 2026, with the deadline falling on 7th August 2026.
At this stage, you’re keeping HMRC updated with your digital records rather than calculating your final tax bill.
Your overall tax position will still be finalised after the end of the tax year through your Final Declaration.
Keeping your records up-to-date makes everything easier
The biggest change we’ve seen with MTD for income tax isn’t necessarily the submission itself, it’s the habit of keeping your bookkeeping current.
Many business owners have traditionally left their bookkeeping until months later, often when a tax deadline was approaching. That approach becomes much harder to manage under quarterly reporting.
Instead of trying to remember where every receipt came from several months ago, you’ll find life much easier if you regularly record income and expenses throughout the quarter. Be that weekly or monthly, building a simple routine will save a huge amount of time and stress later.
Don’t panic if this is your first quarterly update
As this is the very first MTD for income tax submission, it’s completely understandable if you’re feeling unsure. Most people feel apprehensive whenever HMRC introduces a new reporting system and that confidence grows after the first submission.
Questions we expect many business owners to ask include:
- Have I recorded everything correctly?
- Am I using the right software?
- Have I categorised my expenses properly?
- What happens if I make a mistake?
These are perfectly normal concerns and have been consistent queries we’ve heard from our clients. The important thing is not to ignore the deadline because you’re worried about getting something wrong.
A few simple checks before the 7th August deadline
Before submitting your first MTD for income tax update, it’s worth taking a few minutes to review your records.
Things to note:
- All income has been recorded.
- Business expenses have been entered correctly.
- Bank transactions have been reconciled.
- You’re using compatible MTD software.
- You’ve allowed enough time before the deadline in case you need support.
These simple checks can help prevent unnecessary stress and make future quarterly updates much quicker. Rather than viewing the deadline as another administrative burden, try to think of it as a useful opportunity to keep your finances organised throughout the year.
How Accounts & Returns can help
Moving to MTD for income tax is one of the biggest changes to Self Assessment reporting in years but you don’t have to navigate it on your own. At Accounts & Returns, we’re already helping clients across the UK understand the new system, keep accurate digital records and submit their quarterly updates with confidence.
If you’re unsure which software to use, need help reviewing your bookkeeping or would simply prefer us to manage your submissions for you, our experienced team is here to make the process as straightforward as possible.
If you’d like some reassurance before your first submission, or you’d rather leave it to the experts, get in touch with your local branch today.
