Compliance tools · Corporate governance, employment and financial

MTD ITSA compliance tool

SI 2021/1076 · United Kingdom · Binding instrument

Name anyone on your staff. The system makes them your compliance person.

A member of your own staff, with no compliance background, reads the training module, answers the interview, and finishes with your MTD ITSA documentation cited article by article. The knowledge stays in the business.

Every account level runs inside a dedicated Claude account. Anyone can try a toolkit in their own Claude account; compliance work runs in a dedicated one. The Claude Max plan is £90 a month, paid to Anthropic, and is not included in any level.

See a finished report before you pay

MTD ITSA is SI 2021/1076, a binding instrument in the United Kingdom. Making Tax Digital for income tax self assessment for sole traders and landlords, from April 2026 at income over 50,000 pounds, April 2027 at 30,000 pounds and April 2028 at 20,000 pounds.

The free assessment screens for MTD ITSA when a business is a sole trader or partnership. The duty starts for sole traders and landlords at qualifying income above 50,000 pounds from April 2026, above 30,000 pounds from April 2027 and above 20,000 pounds from April 2028.

Size screen: turnover above £20,000.

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• Your exact position under MTD ITSA: what is in place, what is missing, and what to do about each gap.
• Documentation with article citations, ready for auditors, insurers, customers and public buyers.
• A trained person inside the business who understands what the regulation requires, and stays.
• A dated record of every section completed, with the reports themselves staying in your own Claude account. The toolkit is carried by an account level, see the plans.
• All of it completed in-house, at your own pace, without booking a single meeting.

Check that MTD ITSA applies to your business, free →

Does MTD ITSA apply to my business?

You are in scope if you are a sole trader or landlord whose qualifying income is over the mandation threshold, starting with over 50,000 pounds, then over 30,000 pounds, then over 20,000 pounds from 6 April 2026. An individual partner's share of profit from a partnership does not count towards qualifying income.

Who does MTD ITSA apply to?

MTD ITSA applies to sole traders and landlords with qualifying income above the specified thresholds, to individual partners in partnerships, to taxpayers within scope, and to tax agents acting for them. The obligations apply to individual taxpayers, not to companies or partnerships as entities.

Does MTD ITSA apply to a small business?

The instrument has no size threshold in the usual employer or turnover sense; the test is qualifying income, with the thresholds of over 50,000 pounds, over 30,000 pounds and over 20,000 pounds. The 20,000 pounds threshold applies from 6 April 2026, and the government is introducing legislation to confirm it.

When does MTD ITSA apply from, and what are the deadlines?

The Regulations came into force on 6 April 2024, and the 20,000 pounds threshold applies from 6 April 2026. Each quarterly update is due by the 7th of the month following the end of the update period, and the tax return is due by 31 January following the end of the tax year.

What does MTD ITSA require me to do?

You must keep digital records of your self-employment and property income, send cumulative quarterly updates, and submit your tax return through compatible MTD ITSA software. You must authorise compatible software, and you remain responsible for accurate records even when the software is connected to your bank account.

What records or documents does MTD ITSA require me to keep or produce?

You must create and maintain digital records for self-employment and property income, keep them accurate when software connects to bank accounts, and preserve records when changing software. You must also send quarterly updates and file your tax return through MTD ITSA software.

What happens if I do not comply with MTD ITSA?

Penalty points apply for missing quarterly update deadlines, and each missed deadline adds a point; once the threshold is reached a financial penalty is charged, and points can be removed by meeting a period of compliance. Penalties also apply to taxpayers required to use MTD ITSA who fail to do so. No monetary penalty amounts are specified.

How do I start complying with MTD ITSA?

The first practical step is to determine whether your qualifying income exceeds the mandation threshold, which the toolkit settles first. You then authorise compatible software, and agents authorise it using the firm's agent services account user ID and password.

Which ComplianceSME account includes the MTD ITSA toolkit?

The MTD ITSA agent toolkit is included from the Micro level.

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