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?
Comprehensive Support as Standard
We take the stress out of compliance by providing a complete end-to-end service. From setting up your software to filing your final declarations, everything is included in one transparent monthly price—with no hidden surprises.
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.
All-Inclusive MTD Sole Trader Support
MTD Compliance Package
A complete, stress-free MTD ITSA compliance package tailored dynamically to your specific accounting method and transaction volumes.
Complete MTD Compliance
4x Quarterly Update Submissions
Annual End of Year Declaration
Cash Basis Accounting
Advanced Systems Included:
CIS Subcontractor Accounting
Accruals Basis Double-Entry Ledgers
MTD for VAT Returns Filing
Accruals Basis
VAT Registered
£30.00 per month
How It Works: Your Path to MTD Compliance
Our MTD Process is Stress Free
Transitioning to Making Tax Digital for Income Tax (MTD ITSA) doesn't have to be complicated. Here is how our all-inclusive packages keep you on top of your obligations through April 2026.
1
Discovery
Get in touch to see if our MTD Sole Trader packages are the right match for your business.
2
Onboarding
Complete our simple digital onboarding process and identity checks to get started.
3
Software Setup
Accept your invitation to our cloud accounting software, fully configured for MTD compliance.
4
Connect Bank
Link your dedicated business bank account for automated, secure transaction imports.
5
We Process
We handle your monthly bookkeeping and send a quarterly summary for your approval.
6
Filing
Once approved, we submit your mandatory 4x quarterly updates directly to HMRC.
7
Finalisation
We prepare and file your approved End of Year Declaration, including accounting adjustments, to complete your compliance.
MTD Package Overview
Service Details
Included
Suitable for Sole Traders & Self-Employed Businesses
Supports both Cash Basis & Accruals Basis accounting frameworks
Flexible Bookkeeping Transactions (Scales automatically to your monthly bank volume)
Flexible
Making Tax Digital (MTD) Compliance (4x Quarterly Update Submissions to HMRC)
Annual Tax Calculation & End of Year Finalisation Declaration
Optional VAT Returns Module (Available for both Cash and Accruals structures)
Advanced Accounting Ledgers & CIS Contractor Adjustments (Included when Accruals Basis is toggled)
Dedicated Support from an AAT Licensed Accountant
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.
