From April 2026, the way Sole Traders report income is changing. Our dedicated MTD Sole Trader packages take the weight off your shoulders, ensuring you are fully compliant with the new MTD ITSA regulations without the stress.
Professional Bookkeeping
Get the underlying digital records correct & accurate
Quarterly Updates
We handle all four mandatory digital submissions for you
Year-End Finalisation
A complete service covering your final tax declaration
Get everything you need in one fixed monthly plan
Making Tax Digital: Key Facts
What It Is:
MTD ITSA is replacing the traditional annual Self Assessment, requiring a switch to an ongoing accountancy service.
Who It Affects:
Sole Traders and landlords with Qualifying Income (total income before expenses) exceeding:
£50,000 from April 2026.
£30,000 from April 2027.
£20,000 from April 2028.
What It Requires:
You must keep digital records (e.g., using accounting software) and submit four quarterly updates to HMRC detailing your income and expenses.
What's Included in Every Package?
Our Fixed Monthly Fee Packages include:
Digital Record Keeping
Complete setup of your cloud accounting software, ensuring you meet HMRC's mandatory digital record-keeping requirements from day one.
Monthly Bookkeeping
We assist with your essential bookkeeping tasks each month, keeping your records accurate and ready for quarterly filing.
Quarterly Updates
We use your digital records to prepare and submit the mandatory 4x quarterly updates of your income and expenses to HMRC.
MTD Final Declaration & Accounts
We handle the mandatory HMRC End of Year Declaration, including all final accounting adjustments. Full Profit & Loss and Balance Sheet included.
Every client also benefits from:
AAT Licensed Accountant
Profit & Loss and Balance Sheet
Software Support
Our MTD Sole Trader Packages
A Complete MTD Solution
Our MTD Sole Trader Packages are specifically designed to meet all of your MTD ITSA requirements.
All of your compliance needs throughout the year are included - in one monthly price.
How We Count Transactions
We count Bank Entries, not individual sales.
Example: 100 card sales in one day, settled as one daily lump sum - counts as 1 transaction, not 100.
Understanding Your Transaction Count
We count the single total amount that appears on your bank statement. This approach drastically reduces your costs.
Marketplace Sales (eBay, Etsy, Amazon)
You make 250 sales over two weeks. Because the marketplace sends you a single bi-weekly deposit, it counts as one bank entry.
1 Transaction
Card Payments (Stripe, Square, Zettle)
You process 100 card sales. Your provider settles the daily total into your bank. This counts as 1 entry per day (approx. 30 per month).
30 Transactions
Daily Cash Takings & Till Totals
You deposit the entire day's cash takings in one go. Providing a daily Z-Total summary means the deposit counts as one transaction.
1 Transaction
Monthly Business Expenses
You pay for electricity, internet, and water via separate Direct Debits. Each separate withdrawal shown on your statement is one transaction.
3 Transactions
ATM Petty Cash Withdrawals
You withdraw cash 5 times for petty cash expenses. Your bank statement shows 5 separate withdrawals, totaling 5 transactions.
5 Transactions
Service Rounds (e.g., Window Cleaners)
You visit 100 customers. 25 pay by card (1 daily settlement), 5 pay by bank transfer (5 entries), and 70 pay cash (1 weekly deposit). Despite 100 jobs, it is only 7 bank entries.
7 Transactions
Construction (CIS Subcontractors)
You submit a weekly or monthly invoice to a main contractor. They pay you one lump sum via bank transfer (after CIS deductions). This counts as a single transaction.
1 Transaction
In short: A single lump sum payment received in your bank account—which includes many sales and has already had fees/VAT deducted—is treated as one consolidated transaction for your package.
MTD Compliance
Cash Basis Sole Traders
Designed for cash-basis sole traders who need a cost-effective, fully compliant MTD ITSA package with activity-based scaling.
Perfect for: CIS Subcontractors, Online Sellers (eBay/OnlyFans), and Side Hustles.
Complete MTD Compliance
4x Quarterly Update Submissions
Annual End of Year Declaration
Cash Basis Accounting
Included Features:
Accounting Ledgers
VAT Returns
CIS Contractor Accounting
£25 per month
MTD Business
Accruals Basis Businesses
Designed for higher-volume traders and businesses using accruals accounting. Advanced bookkeeping support and optional VAT Returns.
Perfect for: Shops, Cafes, and Trades with materials and supplier accounts.
Complete MTD Compliance
4x Quarterly Update Submissions
Annual End of Year Declaration
Accruals Basis Accounting
Included Features:
Accounting Ledgers
VAT Returns (If Required)
CIS Contractor Accounting
VAT Registered
£65 per month
Compare our MTD Sole Trader Packages
Feature
Compliance
Business
Best For
Cash Basis Sole Traders
Accruals Basis or VAT Registered
Accounting Basis
Cash Basis
Accruals Basis
VAT Returns
Optional addon
Accounting Ledgers
CIS Contractor Accounting
Annual Accounts
AAT Licensed Support
Important: All MTD Sole Trader packages require a dedicated bank account (or a separate personal account used strictly for business only). This allows us to connect the bank feed to our software for automated import, ensuring efficient bookkeeping and an accurate transaction count.
FAQs on MTD ITSA Packages
What is the difference between Cash Basis and Accruals Basis?
Most small sole traders use Cash Basis, meaning you only record income and expenses when money actually enters or leaves your bank account.
Accruals Basis (included in our Business package) matches income and expenses to the date the invoice was sent or received. This is often required for businesses that:
Have a high volume of unpaid invoices at year-end.
Hold significant stock.
Need to track exactly what they owe suppliers (Purchase Ledger).
Are over the VAT threshold and use standard VAT accounting.
Why Choose Our MTD Sole Trader Package?
Our MTD Sole Trader Package is designed to help you transition smoothly to the new Making Tax Digital (MTD) requirements. It includes everything you need to stay compliant with HMRC, while also providing ongoing support for your accounting needs.
Fully MTD-Compliant – Stay ahead of HMRC’s digital tax requirements.
Quarterly Tax Submissions – No more last-minute tax stress.
Expert Support – Guidance from experienced accountants.
Cloud-Based Accounting – Access your financial data anytime, anywhere
What’s Included in Our Package?
Quarterly Tax Filing – Submit accurate reports to HMRC.
Bookkeeping Support – Keep your records organised.
