With the date for mandatory Making Tax Digital for Income Tax Self-Assessment (MTD for ITSA) getting closer, HMRC is being urged not to be complacent in its lead up.
The new system was meant to be launched this year, however, this roll-out was delayed until April 2026 – the government’s reason for this was that self-employed professionals and landlords were already facing a ‘challenging economic environment’.
MTD for ITSA will require businesses to keep digital records and use compatible software to file quarterly updates of their income and expenses with HMRC, in addition to their current annual tax filing requirements.
The new President of the Association of Taxation Technicians (ATT), Senga Prior, has voiced concerns saying that the programme must work effectively for taxpayers and agents when it is brought in.
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Senga said, “MTD for income tax is a little under two years away and represents a fundamental change in how taxpayers and agents interact with HMRC, and with each other. The ATT has been involved with this project since it was first announced in 2015, and it’s fair to say it’s been a rocky road!
“Despite numerous delays and changes, we look to be closer than ever before to MTD becoming a reality. However, HMRC cannot afford to be complacent, and must ensure the project does not deliver excessive costs for minimal benefit.
“We’ll be keeping a close eye on progress in the run up to 2026, engaging with HMRC to ensure our members’ voices are heard and will be looking at how we can support members through what will no doubt prove to be a tricky transition.”
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