There were a couple of important updates in the Spring Budget in relation to making tax digital for income tax .
The first is confirmation of the threshold for upcoming tax years. We already knew that the income threshold will reduce to £30,000 from £50,000 on 6 April 2027. It has now also been confirm that from 6 April 2028 sole traders and landlords with joint income from these sources of £20,000 or more will be required to submit quarterly updates to HMRC under Making Tax Digital.
The second announcement was that all tax payers who are required to submit under Making Tax Digital will also need to submit their end of year self assessment through the same software .
We are in the process of contacting all affected clients. If you have any immediate queries or think you may need our assistance please contact cat.whitten@oneaccounting.co.uk.
