Links Referred to the webinar: 

Johann's Free pricing guide :https://engager.app/pg/ 

Book your place at Labs: https://engager.app/labs25/

Help Centre https://help.engager.app

Facebook Community: https://www.facebook.com/groups/1246323449327123/

Book a Demo: https://engager.app/book-a-demo/

Link to email Templates: https://help.engager.app/hc/en-gb/articles/23971663558034-MTD-IT-Email-Templates

Follow-up Q&A's. 

In our “getting ready for MTD” webinar, several questions were asked that I couldn’t answer, so I asked Sam Wood, HMRC Agent Engagement Lead, to help answer the questions, and he was very happy to help!

1 - Will Taxpayers auto enrol in MTD IT? No. Everyone has to either enrol themselves or be enrolled by their tax agent

2 - Once Enrolled, can a taxpayer exit MTD IT if their income drops below the threshold? Once you’re mandated, you are mandated for 3 years min. If your income drops below the threshold for three consecutive years, you can opt-out

3 - When will HMRC start communicating MTD IT to taxpayers? Comms to customers starting soon

4 - Are partnerships included in MTD IT? No, the Partnership income is reported annually and doesn’t count towards MTD IT Thresholds

5 - Which year is considered for the MTD IT income Threshold test? 2024/25 is the assessment year for 2026/27 – HMRC always runs 2 years behind  - Which provides stability as status is based on a full year’s tax return. So, in April, look back 2 months to the return, due 31 Jan; that’s the return to review for assessment each assessment.

So if the taxpayer’s landlord and/or self-employed turnover was over £50,000 in 2024/25, then they are required to be MTD IT registered in 2026/27 if in 2025/26 the taxpayer’s landlord and/or self-employed turnover was over £30,000 then they will be are required to be MTD IT registered in 2027/28

As a reminder, the four Quarterly returns report income and expenses, the annual return reports everything but should be more efficient because the annual report should be auto-populated with information already on record at HMRC such as PAYE

We will continue to deliver content and webinars on this topic ensuring you are ready for MTD IT

Useful Links: 

• Agent Toolkit V1 Get ready for Making Tax Digital for Income Tax – v2 in March (Target)
• YouTube - Video explanation for agents of Making Tax Digital for Income Tax. - https://youtu.be/2pMmtgpQ0NE?si=nmkotRxtWgI7zbaK
• YouTube - Watch this video to find out more about tips from agents regarding Making Tax Digital - https://youtu.be/wxAAP1m29uc?si=Nj5NzvcHip588p00
• Interactive tool – This tool helps agents assess who is likley MTD mandated -  Do you think you are digitally excluded? – Guidance – GOV.UK
• Guidance – MTD IT agent step by step - If you're an agent, find out how to use Making Tax Digital for Income Tax for your clients. Making Tax Digital For Income Tax As An Agent: Step By Step - GOV.UK
• Guidance – MTD manual -  Use Making Tax Digital for Income Tax - Guidance - GOV.UK
• Comms –Agent Updates - monthly calls to action and guidance if you're a tax agent or adviser - Agent Updates - GOV.UK
• Comms - Promotional material - Benefits of Making Tax Digital - GOV.UK
• Legislation – Secondary - The Income Tax (Digital Requirements) Regulations 2021
• Legislation – Tertiary -   Making Tax Digital for Income Tax: digital record-keeping notice - GOV.UK