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Free UK Tax Tool

Making Tax Digital (MTD) Readiness Checker

Answer 6 questions to find out how ready your business is for Making Tax Digital. Get a personalised action plan based on your situation.

Updated April 2026🇬🇧 UK-specificFree Tool

About This MTD Readiness Checker

This checker assesses how prepared your business is for Making Tax Digital (MTD) — HMRC's programme to move tax record-keeping and submissions online. It covers MTD for VAT (already mandatory) and the upcoming MTD for Income Tax Self Assessment (ITSA).

Note: MTD for VAT has been mandatory since April 2022 for all VAT-registered businesses. MTD for Income Tax Self Assessment is being phased in from April 2026 for those with income over £50,000.

How to Use This Calculator

  1. 1Answer a series of questions about your current record-keeping, software, and VAT status.
  2. 2The checker scores your readiness across key MTD compliance areas.
  3. 3See a personalised action plan highlighting what you need to do before the MTD ITSA deadline.
  4. 4Get software recommendations matched to your business type and MTD requirements.
1
VAT
Are you VAT-registered?
2
VAT
How do you currently submit your VAT returns?
3
Income Tax (ITSA)
What is your self-employment / property income?
4
Record Keeping
How do you currently keep your financial records?
5
Income Tax (ITSA)
Are you prepared to submit quarterly income/expense updates to HMRC?
6
Software
Have you evaluated MTD-compatible accounting software?

Your Progress

0 of 6 answered0%

MTD Timeline

April 2019MTD for VAT — mandatory for businesses over £85k threshold
April 2022MTD for VAT — extended to all VAT-registered businesses
April 2026MTD for ITSA — self-employed & landlords with income >£50k
April 2027MTD for ITSA — income >£30k
April 2028MTD for ITSA — income >£20k (proposed)

Top Actions to Take

1
Sign up for MTD-compatible accounting software (Xero, QuickBooks, FreeAgent)
2
Ensure all records are kept digitally from day one
3
Set up quarterly bookkeeping routine
4
Speak to your accountant about MTD for ITSA obligations
5
Check HMRC's MTD for ITSA pilot programme