MTD ITSA — April 2026

Making Tax Digital for sole traders: what Reddit's actually saying

Search “making tax digital sole trader reddit” right now and it's wall-to-wall confusion — who's in, when, and what software counts. Here's the plain-English version, minus the panic.

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MTD for Income Tax (MTD ITSA) starts 6 April 2026 for sole traders and landlords with qualifying income over £50,000, then £30,000 from April 2027 and £20,000 from April 2028. If you’re in scope you’ll need to keep digital records and send HMRC a quarterly update through compatible software — the annual shoebox-in-January routine is over.

The recurring worry in the threads is the same: “I’m a one-man band, I’m not running accounting software four times a year.” You don’t have to. The trick is to keep the digital records as a byproduct of normal work, so the quarterly update is a non-event.

The questions that keep coming up

Do I actually have to do this?

If your self-employment + property income is over £50,000 (2026), yes — from 6 April 2026 you must keep digital records and file quarterly. £30k joins in 2027, £20k in 2028. Under that, not yet — but the direction of travel is clear, so getting tidy now costs nothing and saves the scramble.

What counts as a “digital record”?

Each income and expense logged digitally with a date, amount and category — not a carrier bag of receipts you total up in January. The point of MTD is that the record exists as you go.

What’s the least painful way to stay compliant?

Capture as you work instead of saving it all up. With TradesOffice you text Amy on WhatsApp — “invoice Dave £2,400”, a photo of a receipt — and every entry is stored as an MTD-categorised digital record automatically. At quarter-end your accountant gets a clean export; nothing to reconstruct.

Does TradesOffice file to HMRC for me?

No — and it’s honest about that. It produces the MTD-quality digital records and a clean quarterly pack; your accountant (or an MTD-approved filing tool) submits. It’s the capture layer that makes the filing trivial, not the filing itself.

Will it work with my accountant?

Yes. They get a quarterly pack plus CSV/PDF exports with everything categorised to HMRC’s expense categories, CIS and VAT separated — so there’s nothing to chase or re-key. Xero/QuickBooks sync is on the roadmap.

Where it gets discussed: r/uktrades · r/SmallBusinessUK · r/UKPersonalFinance

Be MTD-ready without thinking about it

Text Amy as you work and your digital records build themselves — so the quarterly update is already done. Free for 14 days, no card.

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