Making Tax Digital (MTD): What Freelancers Need to Know

Making Tax Digital (MTD) is HMRC’s plan to require digital record-keeping and reporting.

What it means

• You need to use software compatible with HMRC’s system.
• Spreadsheets alone are not acceptable unless linked with bridging software.

Timeline

• VAT-registered freelancers already covered.
• Income Tax Self Assessment to be phased in from 2026.

Action

• Choose compliant accounting software.
• Test exporting returns early so you’re ready.