What making tax digital for income tax means for you
How you organise, save and submit your UK tax and VAT returns continues to change and evolve, for both individuals and companies.
The government’s Making Tax Digital (MTD) scheme simplifies the tax paying and record keeping processes.
Digitising your documentation makes it easier to organise your financial information, get your tax right first time and have greater transparency of your company data.
| Stage | MTD Deadline | Who It Applies To |
|---|---|---|
| 1st | 6 April 2026 | All sole traders and landlords with an annual gross income over £50,000 |
| 2nd | 6 April 2027 | All sole traders and landlords with an annual gross income over £30,000 (up to £50,000) |
| 3rd | 6 April 2028 | All sole traders and landlords with an annual gross income over £20,000 (up to £30,000) |
Businesses using MTD for VAT save 26–40 hours on average per annum on business finances and record‑keeping compared to before MTD.1 |
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What you can gain from going digital
Digitising your paperwork:
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Removes document clutter whilst integrating with MTD-compatible accounting software
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Ensures compliance by creating and maintaining a clear digital audit trail aligned with HMRC requirements
- Improves accuracy through high quality OCR data capture, reducing manual data entry errors in VAT and tax records
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Saves time through automated workflows, making bookkeeping and tax preparation more efficient, so it is it quicker to find exactly what you want
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Ensures your important financial documents don’t get lost or damaged
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Increases your productivity and gives you more time to grow your business by making it easier to search, retrieve and share tax information
Two-thirds of businesses noted at least one way MTD had reduced the potential for mistakes.2 |
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How scanning digitises your paperworkDigitising your paperwork is the first step to becoming MTD compliant. Scanning is the simplest way to do it.
Scanning technology makes it quick and easy for individuals and companies to start the digital transformation journey. From invoices, receipts and expenses, to business cards and other financial documents, it’s simple to save, secure and access all your important financial information and submit timely updates on compatible software.
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Scanning is the first step to becoming MTD compliant
ScanSnap scanners make everything easy!Digitising your paperwork is the first step to becoming MTD compliant. Scanning is the simplest way to do it.
ScanSnap scanners make digitising your paperwork fast and simple. Combining high speeds with excellent image quality, the ScanSnap iX2400 and ScanSnap iX2500 feature powerful, intuitive technology that easily converts paper documents into searchable electronic files.
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Three out of four businesses reported increased confidence in getting tax right with MTD.3 |
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