Making Tax Digital for Income Tax by ANNA

Yes – if you are a sole trader or a landlord and your combined gross income from self-employment and UK property exceeds £50,000 a year it’s time to go digital. That means swapping one big annual return for quarterly updates using compatible MTD software. You'll still do a final declaration and wrap-up, but MTD just changes how often you report – not what you owe.

HMRC looks at your income from the previous tax year – not month-by-month. So if your income tips over the threshold, you'll join MTD the next tax year. If it dips below, you might be able to leave later. HMRC checks once a year and lets you know where you stand.

Absolutely. ANNA keeps your records tidy and ready to go, so your accountant can swoop in and do their thing – fewer emails, fewer spreadsheets, and way less faff.

HMRC runs a points system. Miss a deadline? That’s one point. Rack up enough, and you'll get a penalty. But don't worry – ANNA sends you nudges and keeps everything in one place, so staying on track is easy-peasy.

Yep – HMRC has a pilot scheme for early birds. Once ANNA has all the tools ready, we'll be there to support early adopters. No worm required.

You can – as long as the data links are digital and automatic. Copy-pasting numbers is a no-no. HMRC wants everything joined-up and traceable.

Losses still get sorted at the end-of-period stage – just like under Self Assessment. The quarterly updates only show in-year income and expenses, not the full picture.

Just the day-to-day stuff. Capital spending (like buying a laptop or van) is handled in your year-end summary. Still needs recording though – digitally, of course.

You'll need to keep digital records for each and submit quarterly updates for both. One for your UK property, one for overseas. It’s a little extra admin, but ANNA makes it manageable.

Not really. Class 2 and Class 4 National Insurance will still be calculated and paid through your final declaration – not your quarterly updates.

No problem. Each owner submits their own update using their own software – as long as you each report your fair share, HMRC’s happy.

Yes – the rules for switching haven't changed. You make the move in your end-of-period statement and include any adjustments there. Quarterly updates carry on as usual.

Same as Self Assessment – they're business income. You'll need to keep digital records and include them in your quarterly updates.

Reconnect your feed and import anything you missed. If something’s still not showing, you can add it manually – as long as there’s a digital record before your update goes in, it’s all above board.

Easy fix. You can correct it in your next update or your end-of-period statement. Quarterly updates aren't final – the annual submission is where everything gets tied up with a bow.

If you've already paid for accounting software for your 2025/26 Self Assessment filing, we'll refund you up to £150 inc. VAT when you switch to ANNA.

To qualify for the refund, you need to:

• Be registered for MTD (Making Tax Digital)
• Sign up for the ANNA MTD service

Please note that accountant fees are not included in this offer.