HMRC is stepping up preparations for the introduction of Making Tax Digital (MTD) for Income Tax Self Assessment (ITSA), launching a new support service for agents. The changes, described as one of the most significant updates to the UK’s tax system in decades, will begin in April 2026 for individuals with incomes over £50,000, before extending to those earning above £30,000 in April 2027.
Sole traders and landlords are the groups most directly affected by these reforms, which will require the use of MTD-compatible software to maintain records and submit quarterly summaries to HMRC. In recognition of the scale of the transition, HMRC is inviting tax agents to register via an online form to access guidance, updates, and resources to help prepare their clients.
What Making Tax Digital means for taxpayers and agents
The MTD framework is designed to modernise the tax system, making it more transparent and less prone to error. Taxpayers caught by the new rules will need to:
- Keep their records digitally.
- Use approved software to manage and file information.
- Submit quarterly updates to HMRC, alongside an end-of-year final declaration.
For agents, this shift means more regular interaction with clients, greater reliance on technology, and the need to adapt processes that have long centred on annual returns.
Key dates and income thresholds
- April 2026: MTD for Income Tax applies to sole traders and landlords with incomes above £50,000.
- April 2027: Threshold lowers to include those earning above £30,000.
There are no confirmed dates for further phases at this stage. Previous proposals suggested wider rollout, but HMRC’s official guidance currently limits implementation to these two stages.
How agents can register for HMRC’s support
Agents can register through HMRC’s online form, accessed via their Government Gateway ID linked to their Agent Services Account. The form asks agents to provide details that will allow HMRC to offer updates and resources tailored to their needs.
This outreach campaign is intended to help agents prepare in advance, ensuring they are ready to guide clients through the digital transition.
Why this support matters now
Although the first phase is not due until 2026, HMRC stresses the importance of early preparation. The switch to quarterly reporting and digital record-keeping represents a fundamental shift in compliance responsibilities, and those who delay may struggle to adapt in time. Agents who register now will be better placed to introduce the right software solutions and processes before deadlines loom.
The role of digital tools in easing the transition
The move away from spreadsheets and paper-based systems to MTD-compatible software may feel daunting, but it brings long-term benefits. Digital records improve accuracy, reduce the likelihood of errors, and can streamline communication between agents and clients. HMRC’s support aims to build confidence in these tools, helping agents integrate them into their day-to-day operations effectively.
Context: Delays to implementation
MTD for Income Tax has faced multiple delays since it was first announced. The programme was originally intended to begin years earlier but has been pushed back several times following industry feedback. The current April 2026 start date reflects HMRC’s recognition that both taxpayers and agents need sufficient time to adapt. This latest support drive is part of that phased approach.
A chance to strengthen client relationships
Beyond compliance, the transition to MTD offers agents the opportunity to enhance the value they deliver to clients. By supporting them through the change, agents can position themselves as trusted advisers, helping clients modernise their financial processes while ensuring they remain fully compliant.
Preparing for cultural and behavioural change
The shift to digital record-keeping is not just about software it also demands a change in behaviour. Many taxpayers who are used to filing a single annual return will need to adjust to reporting four times a year. For some, this will feel like a major increase in administrative burden. HMRC’s support for agents is designed to smooth this cultural change by providing clear, practical tools for communication, helping agents reassure clients that while the reporting frequency increases, the workload can be managed efficiently with the right systems.
Opportunities for the wider tax profession
The move to MTD could reshape the role of accountants and tax agents more broadly. By embracing digital-first practices, professionals may find new opportunities to offer value-added services such as financial planning, cash flow analysis, and proactive tax advice. With routine compliance becoming more automated, the shift could free up capacity for deeper, more strategic client relationships. HMRC’s emphasis on early preparation positions agents to take advantage of this changing landscape.
Looking ahead to 2026 and beyond
With less than two years until the first phase of MTD begins, the pressure is now on to prepare. Taxpayers and agents alike must embrace the shift, but HMRC’s support scheme signals recognition of the challenges involved. While uncertainties remain around future phases, the immediate focus is clear: ensuring that sole traders and landlords with higher incomes are fully ready for the April 2026 deadline. For agents, the message is simple act now, register for support, and lead clients confidently through the digital tax revolution.
Final Summary
Short version: HMRC launches agent support for MTD rollout.
At Pie.tax, we make tax simple, stress-free, and easier to manage for sole traders, landlords, and small businesses. HMRC’s decision to roll out Making Tax Digital in phases, starting in 2026, marks a major milestone in the UK’s shift towards a fully digital tax system. While the changes may feel daunting, they also create opportunities for greater efficiency and accuracy. By registering for support now, agents can access guidance and resources that will make the transition smoother for themselves and their clients. With delays behind us and new deadlines set, the focus is now firmly on preparation and Pie.tax is here to help you every step of the way.
