Making Tax Digital for Income Tax - how untied is making taxes easy
Taxes are changing!
Making Tax Digital for Income Tax Self Assessment (MTD ITSA for short - or just MTD) is the biggest change to income tax reporting in a generation. It is a key part of the government’s vision for modernising the UK tax system and is designed to make tax administration more efficient and easier for taxpayers.
untied was the first end-to-end app recognised by HMRC for MTD ITSA. It means that the good news for all users of untied is that we’re set up to migrate you to Making Tax Digital when the time comes.
The programme though has been subject to significant delays and changing requirements.
Key points:
- MTD for Income Tax will apply to self-employed people and property landlords with income over £50,000 from April 2026 and £30,000 from 2027. Those on lower income are under review
- It will require third party software
- Instead of one return submitted many months after the end of the tax year, MTD involves quarterly reporting during the year with any final numbers confirmed after the year-end
- Simplified penalties are coming in at the same time
- untied will make this quick, smooth and seamless
HMRC's beta
untied has been live among the developers supporting HMRC's pilot of MTD for Income Tax since 2020.
We are not currently recommending people formally join HMRC's beta - we will put more information on here if this should change.
Making tax digital today with untied
There is good news though for early adopters.
The core of MTD is digital record keeping and direct filing.
untied offers this today even without formal participation in the pilot. With untied you enjoy a streamlined experience of transactions through to your tax return. It means you get the benefit of HMRC's vision for Making Tax Digital without the reporting burdens and without the risks from being part a trial.