Identify the Making Tax Digital question first
Making Tax Digital is not a single setup that applies identically to every business. Yudey helps review the relevant regime and your current record process before proposing a readiness plan. We ask whether the concern is VAT, Income Tax or a misunderstanding about another obligation. That distinction matters when choosing software, allocating responsibilities and assessing the appropriate reporting timetable.
The first phase of mandatory MTD for Income Tax began in April 2026 for qualifying sole traders and landlords, with further start dates depending on the relevant income and circumstances. HMRC's guidance explains how to check applicability and exemptions. [1] We assess the facts rather than assume everyone is still preparing for a future start or that a limited company follows the same Income Tax route.
Establish the information behind applicability
The agreed assessment can identify the business structure, relevant income sources, tax years and official correspondence. We distinguish turnover or qualifying income questions from profit figures and ask for the supporting records needed. Where several activities or property interests exist, their treatment requires appropriate analysis. The scope states what is being assessed and which facts remain outstanding.
Possible exemptions need their own consideration; a preference for paper records is not treated as an automatic exemption. We can identify the question and the relevant professional route without promising that an application will succeed. If a requirement already applies, the plan records that urgency and distinguishes catch-up action from a prospective implementation project.
Map the record process from entry to reporting
The review can examine how income and expense information is captured, categorised and transferred between tools. We ask where spreadsheets, manual adjustments and separate records are used. The objective is to identify the actual workflow rather than judge readiness by whether the business owns an accounting subscription. Missing or disconnected records may need attention before reporting functions become useful.
The plan can identify responsibilities for record updates, corrections and review. If the business relies on an adviser, the handover between you and that adviser should be clear. Digital reporting does not remove the need to establish the underlying facts or review unusual transactions. A process that transfers incomplete information more quickly is not necessarily ready for dependable compliance.
Check software against the required functions
HMRC's software guidance explains considerations for MTD for Income Tax products and their relevant functions. [2] We identify what the business needs before assessing a proposed product or combination of tools. Compatibility for VAT should not be treated as proof of compatibility for Income Tax, and a product label does not confirm suitability for every activity or workflow.
The review can record required features, access arrangements and any gaps needing supplier confirmation. It does not purchase subscriptions, connect accounts or submit live information unless those implementation steps are expressly included. Current product capabilities should be checked at the point of selection rather than assumed from an old feature list or an unrelated business's setup.
Plan authorisation and ongoing responsibilities
The readiness plan can identify registration or authorisation steps, the proposed reporting process and responsibility for each action. We distinguish the review from actually completing those steps. Protected credentials are handled through an appropriate route after scope agreement; they should not be included in the initial enquiry form. The business should know who approves information before any submission.
Periodic updates and the relevant year-end tax work need to be considered together without being treated as interchangeable. The plan identifies the functions and services still required for your circumstances. It does not promise that a single quarterly task settles every annual tax obligation or that a readiness report itself provides continuing reporting support.
Receive an actionable readiness report
The agreed output can include the assessed facts, gaps, dependencies and a prioritised implementation list. It records which questions require professional advice, software configuration or improved bookkeeping. A one-off review has a defined endpoint. Setup, ongoing records, submissions and exemption applications are separately scoped if you want assistance with implementation.
Fees depend on activities, systems and the depth of applicability analysis. The written GBP proposal states applicable VAT and separate implementation or recurring services. Start with the business structure, income categories, current tools and any HMRC letter or reporting date. We will clarify a focused information request and realistic timetable before accepting the work.
Official information behind this service
Sources checked on 7 September 2026. Use the linked guidance for subsequent changes.