Making Tax Digital (MTD) for Income Tax (Individuals)

Making Tax Digital (MTD) for Income Tax (Individuals)

As we understand that the UK tax system is going to be mostly digitalized and you may be already familiar with this if you have already VAT registered businesses. However, this blog will give a brief note about Making Tax Digital for Income Tax (individuals).

Who is subject to MTD for ITSA?

Are you an individual that having annual income of £10,000 as self-employed and landlord? If the answer is “Yes” then you might be subject to MTD for ITSA. Here are some examples for your clarity:

Example 1: You have income of £6,500 from self-employed and property rental income of £5,500, resulting in the total income is £12,000. Here, you are subject to MTD for ITSA as having total income more than £10,000 from both self-employed and property rental.  

Example 2: You have total rental income of £18,000 (jointly owned by you and your wife, £9,000 income each). Here, you are not subject to MTD for ITSA as having less than £10,000 income per individuals.

You may use MTD for ITSA now in voluntary. However, this is compulsory for all from 06 April 2024.

How does the MTD for ITSA work?

You may think how the MTD for ITSA works. Currently, you do your tax return once in a year and the deadline is 31 January if submitted by online. However, you should update your income and expenses on quarterly basis once you are subject to MTD for ITSA. There are four submissions in a year as follows:

Update for



Quarter : 01

01 April to 30 June

05 August

Quarter : 02

01 July to 30 September

05 November

Quarter : 03

01 October to 31 December

5 February

Quarter : 04

01 January to 31 March

05 May

You may use 5th rather than month end (for instance; 06 April to 05 July rather than 01 April 30 June). However, the submission deadline is the same.

How can we help on your MTD for ITSA affairs?

At The Stan Lee, we have MTD compatible software (IRIS) for you and pleased to support confidently. Please note that we will help and guide you on your MTD for ITSA affairs with reasonable and competitive fees that might be the best suited for you.

For further information and advice about the MTD for ITSA, please ring a bell with one of the friendly team here at The Stan Lee and let’s find out how we can help you.