Christmas Downtime: The Perfect Moment to Get Ahead with Making Tax Digital for Income Tax
- 12th December 2025
If you are a sole trader or landlord with a turnover of £50k or above, then the next phase of MTD will affect you from April 2026.
As the year winds down and we all enjoy a well-earned festive break, Christmas often gives us something precious that the rest of the year struggles to offer time.
Between the mince pies, Christmas films, and moments with family, this quieter period can also be a great opportunity to prepare your business for the upcoming Making Tax Digital for Income Tax (MTD ITSA) changes.
The government confirmed in the most recent budget that MTD for Income Tax is coming and will not be delayed again. So, while April 2026 and the new MTD changes may seem far away, it is not something that should be ignored. Especially when getting organised now could mean less stress for you in the New Year.
Using the festive downtime to review if you will be required to sign up for MTD and how the changes will affect you can put you in a strong position for the year ahead.
A few small steps you can take this holiday season:
- Make sure you have submitted or provided us with the information for your 2024/25 tax return
- Reviewed the thresholds and assessed if you will fall under the first wave for MTD for IT
- Check your current year records are up to date
- Ensure you have a Government Gateway account already set up
- Book a time to speak to us about any changes you may need to make, include what software options are available.
You may wish to avoid any tasks work related over the holidays; however, a little work now can make 2025 a more productive year—leaving you more time to focus on your business, not your paperwork.
Wishing you a Merry Christmas, a Happy New Year, and a head start on your MTD journey!
All data and figures referred to in our news section are correct at the date of publishing and should not be relied upon as still current.
