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Accountants for Making Tax Digital

Do I Need an Accountant for Making Tax Digital?

Unsure if you need an accountant for MTD? Discover how accountants help with Making Tax Digital compliance, software setup, and quarterly submissions for small businesses.

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How Accountants Can Help with Making Tax Digital

With the phased rollout of Making Tax Digital (MTD), many small businesses and sole traders are asking: “Do I need an accountant for MTD?”

While you can handle some of the MTD requirements yourself, working with an accountant can save you time, reduce errors, and ensure full compliance especially as the rules expand across VAT, income tax, and corporation tax.

Here’s how accountants help with MTD and what services they offer for UK businesses.

Do I Really Need an Accountant for MTD?

MTD doesn’t legally require you to use an accountant but in practice, most small businesses benefit from professional support. Accountants can:

  • Register your business for MTD with HMRC
  • Recommend and set up MTD-compatible software
  • Keep your records up to date and digitally linked
  • Submit quarterly updates, VAT returns, and End of Period Statements
  • Handle year-end declarations accurately and on time

If you’re unfamiliar with tax rules or digital systems, DIY MTD filing can lead to penalties, missed deductions, or non-compliance.

MTD Services for Small Businesses

A good accountant will tailor their support to your size and sector. Here are some of the MTD services typically offered:

ServiceWhat It Includes
MTD RegistrationRegistering for VAT or ITSA via HMRC
Software SetupChoosing and setting up tools like Xero, FreeAgent, or QuickBooks
Digital BookkeepingOngoing data entry, bank feeds, and expense tracking
Quarterly SubmissionsVAT or income tax updates submitted through HMRC’s MTD API
End of Year SupportPreparing and filing your EOPS and Final Declaration
Training & AdviceHelping you stay informed and in control

Specialist UK Small Business Accountants

 Corporation Tax Returns

MTD Quick Links

What is Making Tax Digital
Do I Need to Register for Making Tax Digital?
Making Tax Digital Timeline and Rollout
How to Sign Up for Making Tax Digital
Making Tax Digital Deadlines and Dates
Making Tax Digital for VAT
MTD Income Tax (MTD for ITSA)
Making Tax Digital for Corporation Tax
Making Tax Digital Exemptions
Common MTD Mistakes and Avoiding Them
Making Tax Digital for Partnerships
Making Tax Digital for Limited Companies
Making Tax Digital for Sole Traders
Making Tax Digital for Landlords
Making Tax Digital Compliant Software
Making Tax Digital Bridging Software
How Accountants Can Help with MTD

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Accounting Wise - How Accountants Help with Different MTD Phases

How Accountants Help with Different MTD Phases

Making Tax Digital isn’t just a one-time change it’s a phased transformation that affects VAT, Income Tax, and soon Corporation Tax. Each stage brings new rules, new deadlines, and new compliance challenges. At Accounting Wise, we act as your long-term partner through every phase of MTD, ensuring your records are accurate, your submissions are compliant, and your business is always one step ahead of HMRC.

MTD for VAT

Making Tax Digital for VAT is already mandatory for most UK VAT-registered businesses. Accountants play a crucial role in ensuring you remain fully compliant by:

  • Maintaining accurate VAT records that are digitally linked, so data flows seamlessly without manual re-entry.
  • Using HMRC-recognised MTD software to prepare and file VAT returns on time, every time.
  • Identifying and correcting errors quickly to avoid penalties, interest charges, and costly late submissions.
  • Advising on VAT schemes and reliefs to ensure you’re not overpaying.

MTD for Income Tax Self-Assessment (ITSA)

Due to be phased in from April 2026, MTD for Income Tax will bring major changes for landlords and sole traders. An accountant can ease the transition by:

  • Setting up structured digital record-keeping to track income and expenses throughout the year.
  • Preparing and submitting the required quarterly updates and end-of-year final declarations directly to HMRC.
  • Categorising allowable expenses correctly to maximise tax efficiency and reduce risk of HMRC queries.
  • Offering tailored advice to help you stay ahead of deadlines, avoid compliance headaches, and focus on growing your business.

Risks of Going It Alone with Making Tax Digital

At first glance, managing Making Tax Digital yourself may appear to save money but in practice, it often creates far greater costs and stress. Without expert guidance, many businesses find themselves facing:

  • Missed deadlines and HMRC penalties – quarterly updates and digital filings are unforgiving, and even a single late submission can trigger fines.
  • Costly errors in data entry or reporting – manual mistakes can ripple through your records, leading to inaccurate returns and HMRC investigations.
  • Overpaying tax – without professional oversight, it’s easy to miss allowable expenses, reliefs, or VAT schemes that could reduce your bill.
  • Software headaches – choosing non-compliant or poorly integrated tools means your returns may be rejected outright by HMRC.
  • Uncertainty and wasted time – every business faces unique rules under MTD. Without tailored advice, you risk applying the wrong approach, spending hours trying to fix problems that an accountant could have prevented from the start.

By working with a qualified accountant, you not only stay compliant but also gain peace of mind, efficiency, and often, genuine tax savings.

Accounting Wise - Risks of Going It Alone with Making Tax Digital

How Accounting Wise Supports MTD Clients

At Accounting Wise, we make Making Tax Digital straightforward turning what feels like a burden into a seamless part of running your business. Our dedicated MTD services for small businesses are designed to take the stress out of compliance and give you confidence that everything is handled correctly.

Our support includes:

  • Full MTD onboarding and registration – we’ll guide you through the HMRC sign-up process and ensure your business is properly registered from day one.
  • Cloud accounting setup with training – we’ll implement MTD-compatible software, tailored to your needs, and provide hands-on training so you feel in control.
  • Real-time bookkeeping and tax updates – no more last-minute scrambles. We keep your records accurate and up to date throughout the year.
  • Deadline reminders and compliance checks – we’ll make sure you never miss a submission date, avoiding costly penalties.
  • Fixed-fee support with no hidden costs – transparent pricing means you know exactly what you’re paying, with ongoing advice whenever you need it.

We support sole traders, landlords, partnerships, and limited companies helping each client meet their MTD obligations efficiently, accurately, and without unnecessary stress.

MTD Software: Choosing the Right Tool

We help you choose the best software based on your business type:

  • FreeAgent – great for freelancers and small businesses
  • QuickBooks – ideal for growing businesses
  • Xero – scalable and powerful for medium-sized firms

Need to keep using spreadsheets? We’ll also set up bridging software for a smooth transition.

Stay Compliant and Focused on Your Business

Whether you’re just starting with MTD or have been trying to figure it out alone, working with an accountant can save you time, hassle, and money.

Contact us today to see how our MTD services can help your business stay compliant and give you peace of mind.

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Making Tax Digital with an Accountant FAQs

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Yes. While MTD-compliant software handles record-keeping and submissions, it doesn’t replace the expertise of an accountant. An accountant ensures your records are accurate, helps with complex tax calculations, advises on allowable expenses, and provides strategic tax planning all of which software alone cannot do.

An accountant can:

  • Assess your current record-keeping process
  • Recommend and set up the right MTD-compliant software
  • Train you and your team on how to use it
  • Migrate your existing records into a digital format
  • Manage deadlines and submissions on your behalf

This ensures you’re compliant and confident before MTD reporting deadlines.

Yes. Accountants can act as your authorised agent with HMRC. This means they can file your VAT or MTD for Income Tax submissions directly through compatible software, ensuring everything is submitted correctly and on time.

Software ensures compliance with HMRC’s digital requirements, but accountants add value by:

  • Identifying tax-saving opportunities
  • Providing financial insights beyond compliance
  • Handling complex situations such as multiple income streams, property income, or overseas earnings
  • Giving you peace of mind that your submissions are accurate

Together, software and accountants provide a complete solution

Yes. Accountants work with a variety of platforms such as Xero, QuickBooks, Sage, FreeAgent, and The Balance App. They know which systems are best for your type of business, making sure you don’t waste time or money on software that doesn’t meet your needs.

Definitely. One of the main benefits of working with an accountant is deadline management. Your accountant will keep track of VAT and MTD for Income Tax quarterly reporting dates, ensuring you never miss a submission or face penalties.

For small businesses, accountants can provide affordable MTD support, including bookkeeping, VAT submissions, digital record migration, and training. They take away the stress of compliance so owners can focus on running and growing their business instead of worrying about HMRC rules.

At Accounting Wise, we combine expert advice with hands-on support. We help you move to the right MTD software, handle all HMRC submissions, and keep your records accurate and compliant. Rated Excellent on Trustpilot, our team ensures you save time, reduce stress, and make the most of digital accounting.

Switching to us for accounting services is easy

1 Choose Your Package

Select the accounting services that best suit your needs. Choose from our ready-made packages or build your own to see exactly how much you’ll be paying each month.

2 Sign up with Us

Once you’ve chosen your service level, just send over a few details using our quick sign-up form or give us a call to get started.

3 You’re ready to go

That’s it! We’ll get your accounting services set up, contact your previous accountant if needed, and begin the authorisation process with HMRC.

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Accounting Wise is a trading style of Accounting Wise Ltd, a limited company registered in England under company number 09365202. Our registered office is: The Carriages, Station Road, Ware, SG12 9PL UK.

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