Am I Registered for Making Tax Digital? [How to Check]

With Making Tax Digital for Income Tax expanding to more taxpayers, one of the most common questions is simple: am I registered for MTD?

It sounds straightforward, but in reality, it’s easy to get confused. You might be registered for one type of tax but not another, or you may be using compatible software without being officially signed up with HMRC.

In this guide, we’ll explain how to check your MTD status, what registration actually means, and what to do next depending on your situation.

Key points

• Being registered means signing up with HMRC ✅
  Using accounting software alone doesn’t make you compliant – you’re only registered if you’ve officially enrolled with HMRC to submit digitally.
• You need to check VAT and Income Tax registration separately 🧾
  MTD for VAT and MTD for Income Tax are different systems. You can be registered for one and not the other, so it’s important to verify both in your HMRC account.
• Not registering when required can lead to real issues ⚠️
  If you should be registered for MTD but aren’t, you risk penalties, failed submissions, and last-minute stress.
• MTD significantly increases ongoing admin 🗄️
  Moving from annual filing to quarterly updates means constant record-keeping, regular reviews, and more deadlines. Most software still relies on manual work to keep everything accurate.

What does ‘registered for MTD’ actually mean?

Being registered for Making Tax Digital means you have officially signed up with HMRC to submit your tax information digitally under MTD rules. If you’re using accounting software without having registered, you’re not compliant.

There are currently two main MTD schemes:

• MTD for VAT
• MTD for Income Tax (ITSA)

You can be registered for one and not the other, so it’s important to check each separately.

How to check if you are registered for MTD for VAT

If you are VAT-registered, there’s a strong chance you’re already registered for MTD for VAT, as it’s now mandatory for most businesses.

But just in case, here’s how to check:

1. Log in to your HMRC account

Go to your Business Tax Account or Agent Services Account.

1. Check your VAT section

If you’re registered for MTD for VAT, you’ll typically see:

• Confirmation that you’re signed up for MTD
• Your VAT returns being submitted through software

1. Look at how you submit VAT returns

If you are submitting VAT returns:

• Through MTD-compatible software: you’re registered
• Directly via HMRC’s old online portal: you’re probably not (or were previously exempt)

Since HMRC has closed the old VAT portal for most users, submitting outside MTD is now rare.

How to check if you are registered for MTD for Income Tax

MTD for Income Tax isn’t fully live yet, as it’s set to expand over the next few years, with the qualifying income thresholds dropping from the current £50,000 to £30,000 in 2027 and £20,000 in 2028.

However, many users have already switched to digital reporting for ease of use.

To check your status:

1. Log in to your HMRC online account

Access your Self Assessment section.

1. Look for MTD enrolment

If you’re registered, you’ll see:

• References to Making Tax Digital for Income Tax
• Access to submit quarterly updates

1. Check your software connection

If your accounting software is connected to HMRC for MTD for ITSA, this usually means you’ve signed up.

If you don’t see any of these, you’re likely not yet registered, even if you’re preparing for MTD.

What happens if you aren’t registered but should be?

If you meet the criteria for Making Tax Digital but haven’t registered, the issue goes beyond just ‘missing a step’. You’re effectively failing to meet HMRC’s requirements, which can create both compliance risks and practical problems with your tax filings.

Here’s what that can lead to:

1. Non-compliance with HMRC rules

Once MTD applies to you, you’re required to keep digital records and submit returns using compatible software. Filing outside the system, for example, via spreadsheets or manual entry, is no longer acceptable.

2. Penalties and enforcement action

HMRC can issue penalties if you:

• Submit returns using non-compliant methods
• Miss your deadlines
• Fail to maintain proper digital records

As MTD expands, enforcement is expected to become stricter, particularly for repeat issues.

3. Submission failures and delays

If you aren’t registered, your software won’t be authorised to submit data to HMRC. This can result in:

• Failed submissions
• Rejected returns
• Last-minute filing issues close to deadlines

In practice, many businesses only discover this problem when they try to submit, which creates unnecessary stress.

4. Administrative disruption

Leaving registration too late often means rushing setup, learning new systems under pressure, and trying to fix errors at the same time. This increases the likelihood of mistakes and missed obligations.

MTD isn’t something you can switch to overnight. Checking your status early gives you time to register properly.

How to register for Making Tax Digital

If you’ve confirmed that you aren’t registered but fall within scope, you’ll need to sign up directly with HMRC. Registration is a separate step from using software, and both are required for compliance.

The process differs slightly depending on the type of tax you’re trying to register for:

Registering for MTD for VAT

If you’re VAT-registered and not yet signed up (for example, if you were previously exempt), you’ll need to:

• Sign up through HMRC’s MTD for VAT service
• Wait for confirmation from HMRC (this can take a few days)
• Authorise your MTD-compatible software to connect to HMRC
• Begin submitting VAT returns through that software

It’s important to complete registration before your next VAT return is due. Otherwise, you may not be able to submit on time.

Registering for MTD for Income Tax

MTD for Income Tax is being introduced in phases, so you’ll only be able to register once your income level brings you within scope.

When eligible, the process will involve:

• Signing up for MTD for Income Tax through HMRC
• Choosing MTD-compatible software
• Linking that software to HMRC
• Starting to keep digital records of your income and expenses
• Submitting quarterly updates instead of a single annual return

Unlike VAT, this is a completely different reporting system, so early preparation is essential.

Key things to keep in mind:

• Registration isn’t automatic: Even if you use accounting software, you must still enrol with HMRC.
• Software authorisation is required: Your tool must be connected to HMRC to submit data.
• Timing matters: If you leave registration too close to deadlines, there can be submission issues.
• Each tax is separate: If you have a combined income, you need to register for VAT and Income Tax individually.

Getting registered correctly is the first step, but staying compliant under MTD is where most of the ongoing work sits. That’s why choosing the right setup early on can make a significant difference in terms of how much time and effort you spend managing your taxes.

Why most MTD setups become time-consuming

Many sole traders and landlords find that once they are inside the system, their workload increases rather than decreases. There are a few possible reasons for this:

The shift from annual to continuous admin

Under the old system, it was possible to leave bookkeeping until the end of the tax year, or even just before the Self Assessment deadline. With MTD, that approach no longer works.

You are now expected to:

• Keep records digitally, and in near real time
• Submit updates every quarter
• Ensure your data is accurate throughout the year

This turns tax from a once-a-year task into an ongoing responsibility.

Record-keeping becomes a constant task

MTD requires digital records to be complete and up to date. In most setups, this means:

• Logging income regularly
• Uploading or matching receipts
• Keeping track of business expenses
• Checking for missing or incorrect transactions

If you fall behind, catching up becomes time-consuming very quickly, especially before a quarterly deadline.

Manual categorisation still does most of the work

While many MTD-compatible tools promote automation, in practice, much of the work remains manual.

You are often expected to:

• Review and categorise each transaction
• Correct misclassified expenses
• Apply the right tax treatment

Over time, this becomes repetitive and exhausting, particularly if you have a high volume of transactions.

Quarterly submissions add pressure

Instead of one annual deadline, MTD introduces multiple submission points throughout the year.

This means you need to:

• Review your records every three months
• Make sure everything is accurate and complete
• Prepare and submit updates on time

Even if each submission seems small, the cumulative time and mental load can be significant.

Multiple deadlines increase the risk of errors

With more deadlines comes more opportunity for mistakes.

You may find yourself:

• Rushing to meet submission dates
• Submitting incomplete or inaccurate data
• Spending additional time correcting errors later

For many people, this creates a cycle of ongoing admin.

Software solves compliance, not workload

Most MTD software is designed to make you compliant with HMRC’s requirements. It allows you to submit updates digitally and maintain records in the correct format.

However, it typically still relies on you to do everything listed above. In other words, the system is digital, but it still needs your input.

A simpler way to handle MTD – for FREE

Quarterly updates, record-keeping, categorising expenses, tracking deadlines…even with software, it still adds up.

But ANNA is designed differently.

Instead of giving you more tools to manage, it removes most of the work altogether. MTD compliance runs in the background, so you aren’t constantly maintaining your books or preparing submissions.

Here’s what ANNA can do:

• Prepare and file your 2025/26 Self Assessment for free: No extra software or add-ons. Once connected to HMRC, your return is handled as part of the system.
• Refund your filing fee when you register: Already filed with someone else? No problem – we’ll refund the filing fee when you open an ANNA account.
• Automatically prepare your MTD updates: Quarterly submissions are ready in the background, without manual prep or last-minute stress.
• Track your income in real time: Payments are recorded as they happen, so your qualifying income and tax position are always up to date.
• Categorise expenses the smart way: Transactions are automatically sorted, reducing the need to review and fix entries.
• Provide real-time tax estimates: You can see how much you owe as you earn, instead of waiting until the end of the quarter or year.
• Manage finances with a built-in UK business account: Cash flow and tax live in one place, with no need to connect multiple tools or reconcile data.
• Create and send invoices with integrated payments: Now you can get paid faster while keeping everything organised in the same system.
• Run simple payroll for one employee: PAYE and NICs are calculated and submitted automatically, without extra admin.
• Stay on track with automatic reminders: Deadlines are handled for you, so nothing slips through the cracks.
• 24/7 human support: Get help whenever you need it, without waiting days for answers

So try ANNA today and get the best of MTD functionality for free.