Archives 2026

Making Tax Digital for Income Tax — Frequently Asked Questions (FAQ)

✅ A. Introduction & Overview (1–10)

  1. What is Making Tax Digital for Income Tax (MTD for ITSA)?

MTD for ITSA is a new HMRC reporting system that changes how self-employed individuals and landlords report their income. Instead of submitting one annual Self Assessment tax return, taxpayers must:

  • keep digital records of income and expenses
  • submit quarterly updates to HMRC
  • submit an End of Period Statement (EOPS) for each business
  • submit a Final Declaration confirming total income and tax liability.

The aim is continuous digital reporting rather than annual reporting.

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