27/05/2026
If you earn over £50,000 from self-employment, the way you report tax to HMRC has just changed permanently.
Making Tax Digital launched on 6 April 2026.
Instead of one tax return in January, you now need to submit your income and expenses to HMRC every three months using approved software.
A few things worth knowing:
📌 The £50,000 threshold is based on your gross income (turnover before expenses), not your profit. If you also have rental income, HMRC adds it all together.
📌 The threshold drops to £30,000 in April 2027, and £20,000 in April 2028 so even if you're not affected yet, you likely will be soon.
📌 Only 30% of sole traders say they feel fully prepared.
If your admin is still scattered across spreadsheets and shoeboxes, now is the time to get your head around it, before HMRC does it for you.
👇 We have some amazing Accountant clients who can help you make the switch today!
https://phillipsco-accountants.co.uk/
https://taxworks.uk/