Making Tax Digital for Income Tax, explained
Making Tax Digital for Income Tax changes how sole traders and landlords report to HMRC. Here's what it means and how BusyBee Hub helps.
Built and tested against HMRC's test service. Connecting to HMRC and sending updates and returns opens once HMRC approves BusyBee Hub for live use.
What's changing
Instead of one figure once a year, HMRC expects a quarterly update on your income and expenses throughout the year, followed by a Final Declaration once the tax year ends.
Who it affects, and when
You need Making Tax Digital for Income Tax if your qualifying income — self-employment and property income before expenses — was over £50,000 on your 2024-25 return (from April 2026), over £30,000 on your 2025-26 return (from April 2027), or over £20,000 on your 2026-27 return (from April 2028). HMRC confirms your own status when you connect your account, and BusyBee Hub shows it too.
How quarterly updates work in BusyBee Hub
Add your National Insurance number
In tax settings, then connect to HMRC.
BusyBee Hub matches your businesses and quarters
Whatever HMRC already has on record for you.
Check the figures, then send
One confirmation, due 7 August, November, February or May.
The Final Declaration
Once the tax year ends, work through the same figures a step at a time: annual adjustments for each business, then other income such as PAYE, interest and dividends, then HMRC's own calculation shown next to ours, and finally the declaration itself. It's due by 31 January, the same date as your balancing payment, so the two arrive together rather than as two separate things to remember.
Need the how-to?
How BusyBee Hub connects to HMRC and sends a quarterly update, step by step.
Read: Making Tax Digital quarterly updatesTry BusyBee Hub free for 30 days. No card required.
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