Making Tax Digital for Income Tax

MTD ITSA software for sole traders and landlords

From 6 April 2026, sole traders and landlords with gross income above £50,000 must keep digital records and file quarterly to HMRC. AccLedger is HMRC-recognised software that handles your quarterly updates, end-of-period statement, and final declaration — without the spreadsheet panic.

Get MTD ITSA-readySee pricing

HMRC-recognised · 90-day free trial · From £7.50/month for sole traders, £5/month for landlords

Quarterly updates, automated

AccLedger compiles your business income and expenses each quarter and submits the update directly to HMRC — five business days before the deadline by default, so you never miss a window.

Digital records that meet HMRC's rules

Every transaction is captured digitally with an unbroken link to its source — bank feed, receipt photo, invoice, manual journal. No paper trail, no spreadsheet bridge required.

Real-time tax estimate

See your projected income tax liability after every quarter so there are no surprises in January. AccLedger applies your tax bands, allowances and reliefs automatically.

EOPS and final declaration

When the year ends, AccLedger prepares your end-of-period statement and final declaration — pulling in employment, dividend, and savings income as needed.

Multi-business support

Run a sole trade and rent out a property? AccLedger keeps the two income sources separate, files each as HMRC requires, and rolls them up into one final declaration.

Cash basis or accruals — your choice

Switch between cash basis and traditional accruals on a per-business basis. AccLedger handles the calculation and reports correctly for each scheme.

Are you in scope? Here are the thresholds

Making Tax Digital for Income Tax is being phased in by gross income from self-employment and property. AccLedger gets you ready well before your wave begins, so the transition is a non-event.

  • April 2026: gross income over £50,000 (sole traders & landlords)
  • April 2027: threshold drops to £30,000
  • April 2028: threshold drops to £20,000
  • Below £20,000: continue with the existing self-assessment route

Built for landlords with multiple properties

Track rental income and allowable expenses per property, with automatic split between UK and overseas property businesses as HMRC requires. Mileage, repairs, mortgage interest, agent fees — all categorised.

  • Income and expenses tracked per property
  • Automatic UK vs overseas property business split
  • Mortgage interest restriction for higher-rate landlords applied automatically
  • Property allowance calculation included

Built for sole traders running real businesses

Whether you are a contractor, consultant, freelancer, or trade — AccLedger captures the full picture. Bank feeds via open banking, mileage, home-office allowance, simplified expenses, and CIS deductions where they apply.

  • Open banking bank feeds via GoCardless
  • Mileage and use-of-home claims
  • Simplified vs actual expenses comparison
  • CIS deductions tracked and reconciled

Quarterly update, end-of-period statement, final declaration

AccLedger walks you through every MTD ITSA milestone — five quarterly updates per year (one cumulative final), an end-of-period statement to confirm the year, and a final declaration that wraps in your other income.

  • Quarterly update preview before submission
  • EOPS workflow with adjustment journal support
  • Final declaration includes employment, dividends, savings and pensions
  • Submission receipts stored and retrievable from HMRC

Frequently asked questions

When does MTD ITSA become mandatory for me?
From 6 April 2026, sole traders and landlords with combined gross income from self-employment and property over £50,000 must comply. The threshold drops to £30,000 from April 2027 and £20,000 from April 2028. Eligibility is based on the tax year before the start date.
Is AccLedger HMRC-recognised for MTD ITSA?
Yes. AccLedger is on HMRC's list of recognised software for Making Tax Digital for Income Tax, supporting quarterly updates, end-of-period statements and final declarations through the official HMRC endpoints.
What does AccLedger cost for MTD ITSA?
Sole trader plans start at £7.50 per month (or £75 per year). Landlord plans start at £5 per month (or £50 per year). Both include unlimited MTD ITSA submissions, automated bank feeds, and an invite for your accountant.
I have both a sole trade and rental property — is that supported?
Yes. AccLedger keeps the two income sources separate, files each quarterly update as HMRC requires (one for the trade, one for property), and combines them into the final declaration.
Can I use cash basis?
Yes. Cash basis is the default for unincorporated businesses under MTD ITSA from April 2024. AccLedger supports both cash basis and traditional accruals on a per-business basis — switch the setting and reporting follows.
How do bank feeds work?
AccLedger connects to your bank via open banking through GoCardless. Transactions flow in automatically, AccLedger suggests categories, and a tap-to-confirm workflow lets you reconcile your week in minutes.
What about my accountant?
Invite your accountant to your AccLedger account at no extra cost. They can review and approve quarterly updates before submission, run reports, and prepare your final declaration. Accountancy firms can manage all their MTD ITSA clients from a single dashboard via the partner programme.
Do I still file a self assessment under MTD ITSA?
The self assessment SA100 is replaced by the new MTD ITSA workflow — quarterly updates, end-of-period statement, and final declaration. AccLedger guides you through each step at the right time of year.

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Get ahead of the April 2026 deadline

MTD ITSA is here. Start your digital records in AccLedger today and let the quarterly deadline come and go without drama. Free for 90 days, no card required.

Get MTD ITSA-readySee pricing

HMRC-recognised · 90-day free trial · From £7.50/month for sole traders, £5/month for landlords