What is Making Tax Digital (MTD) for Income Tax?

It's HMRC's new way for sole traders and landlords to keep digital records and send regular updates instead of doing everything just at year-end. From 6 April 2026, some individuals with qualifying income will have to use it.

Who needs to use it and when?

If you're a sole trader or landlord in Self Assessment and your combined gross income from self-employment and/or property is above the relevant threshold:

• £50,000+ in 2024/25 tax year → start from 6 April 2026
• £30,000+ in 2025/26 tax year → start from 6 April 2027
• £20,000+ in 2026/27 tax year → start from 6 April 2028

Even if you do not receive a letter from HMRC you are still responsible for checking whether you must use it.

What will I actually have to do under MTD?

You (or your adviser) will need software that can:

• create and store digital records of your self-employment and/or property income and expenses
• send a quarterly update for each income source
• submit your tax return via the software by 31 January following the tax year end

Can I comply with Making Tax Digital requirements without using complex accounting software?

Yes. You can comply with MTD using spreadsheets for record-keeping and suiteSheets as bridging software for submissions.

HMRC requires "digital records" and "MTD-compatible submissions," but does not mandate full accounting software. Spreadsheets meet the digital record-keeping requirement, and suiteSheets provides the MTD-compatible submission capability.

This approach gives you compliance without the cost, complexity, or learning curve of traditional accounting packages.

Do I have to keep every record digitally?

You must keep digital records of your self-employment and/or property income and expenses (eg. in a spreadsheet). You do not need digital records for other income types (such as dividends or pension income), but your software must still be able to include them in your year-end submission.

What is bridging software?

Bridging software acts as a digital link between your spreadsheets and HMRC's systems. It allows you to continue using spreadsheets (which aren't directly compatible with MTD) while still meeting the digital record-keeping requirements.

suiteSheets is bridging software – you maintain your records in our guided spreadsheet, and when it's time to submit, you upload the file and we extract the totals and send them digitally to HMRC on your behalf. This way you get the familiarity of spreadsheets with the compliance of MTD-compatible software.

How does the spreadsheet fit in?

suiteSheets provides a guided spreadsheet that allows you to record your income and expenses into the categories required by HMRC. You simply record transactions as you go and see your totals automatically calculated on our specially formulated tab. When submissions are live, upload your spreadsheet and our software sends the totals to HMRC via the required digital link. You keep using a spreadsheet – we handle the submission mechanics.

Can I use suiteSheets with my existing Google Sheets to submit tax returns?

Yes. suiteSheets works with existing Google Sheets for Making Tax Digital submissions.

Here's how:

1. Continue managing your finances in Google Sheets as you normally do
2. When your quarterly submission is due, export your Google Sheets as Excel (.xlsx) or CSV format
3. Upload the exported file to suiteSheets
4. suiteSheets creates a secure link between your figures and HMRC, verifying the format meets MTD requirements
5. We use your National Insurance number to confirm your MTD reporting obligations
6. Your data is transmitted to HMRC – we don't permanently store your transaction details

You don't need to change your workflow or migrate away from Google Sheets.

How can I submit my tax returns to HMRC using Google Sheets?

To submit tax returns to HMRC using Google Sheets with suiteSheets:

1. Track your data: Record income and expenses in Google Sheets throughout the quarter
2. Export: File → Download → Microsoft Excel (.xlsx) or Comma-separated values (.csv)
3. Upload: Upload the exported file to suiteSheets when submission is due
4. Validate: suiteSheets checks your data format and highlights any issues to fix
5. Pay: Pay £10 for the submission
6. Submit: suiteSheets creates a secure connection to HMRC and transmits your summary figures via approved MTD APIs

Google Sheets itself cannot directly connect to HMRC's Making Tax Digital system, but by exporting and using suiteSheets as the submission bridge, you maintain your Google Sheets workflow while meeting MTD requirements.

Can I use suiteSheets with my existing spreadsheet?

Yes. suiteSheets is specifically designed to work with existing spreadsheets, or you can use our guided template.

You can upload your current Excel, CSV, or Google Sheets file, provided it contains your income and expense records. suiteSheets does not require you to move your data into a new accounting system or change your existing workflow.

Most spreadsheets that track income and expenses work with suiteSheets. During upload, we validate your data and provide clear guidance if any adjustments are needed.

Is suiteSheets suitable for landlords managing multiple properties?

Yes. suiteSheets is suitable for landlords managing one or more rental properties.

You can track income and expenses for multiple properties in our guided spreadsheet and we'll handle the MTD submission to HMRC, without needing dedicated property accounting software.

How to manage multiple properties:

• Track each property separately in your spreadsheet (using different sheets or clear property labels)
• Record rental income, mortgage interest, repairs, agent fees, and other property expenses
• Upload your complete spreadsheet to suiteSheets when quarterly submission is due
• suiteSheets validates the format, creates a secure link to HMRC, and submits your consolidated figures

We provide landlord-specific templates that include proper categories for rental property income and expenses.

What are the best spreadsheet solutions for landlords to manage property income and expenses?

For landlords using spreadsheets to manage property income and expenses, the best approach is:

Record-keeping: Use Excel, Google Sheets, or our guided template to track:

• Rental income (by property and month)
• Mortgage interest payments
• Repairs and maintenance costs
• Agent fees and letting costs
• Insurance, ground rent, service charges
• Other allowable property expenses

MTD Submission: Use suiteSheets to submit your spreadsheet data to HMRC for Making Tax Digital compliance, without paying for full property accounting software.

This combination gives you full control over your records in familiar spreadsheet software, while ensuring MTD compliance through simple, affordable submissions.

How does suiteSheets ensure compliance with HMRC's Making Tax Digital requirements?

suiteSheets ensures MTD compliance through a secure, verified process:

1. Digital Record-Keeping:

• Accepts spreadsheets (Excel, CSV, Google Sheets) which meet HMRC's digital record-keeping requirements
• You maintain control of your records in familiar formats

2. Data Validation:

• Validates your spreadsheet data format against HMRC requirements before submission
• Checks for missing dates, incorrect categorization, and formatting issues
• Provides clear error messages with guidance on how to fix problems

3. Secure Link to HMRC:

• Creates a secure digital connection between your figures and HMRC's MTD system
• Uses your National Insurance number to verify your specific MTD reporting obligations
• Confirms which submissions are required based on your registered income sources

4. Data Transmission (Not Storage):

• We verify format, extract summary totals, and transmit to HMRC via approved APIs
• We don't permanently store your individual transaction details
• Your detailed records stay in your spreadsheet under your control
• Provides confirmation of successful submission from HMRC

suiteSheets is being built to meet all HMRC Making Tax Digital specifications and will complete necessary approval processes before HMRC submission functionality goes live.

How do the quarterly updates work?

You need to send quarterly updates to HMRC every 3 months. You can choose between standard tax year periods or calendar quarterly periods:

Standard tax year update periods (default):

6 April to 5 July	Due by 7 August
6 July to 5 October	Due by 7 November
6 October to 5 January	Due by 7 February
6 January to 5 April	Due by 7 May

Calendar quarterly periods (optional):

6 April to 30 June	Due by 31 July
1 July to 30 September	Due by 31 October
1 October to 31 December	Due by 31 January
1 January to 5 April	Due by 7 May

If you want to use calendar update periods, you need to select this option in your software before your first update for the tax year. You must keep using the same periods for the whole tax year.

Your responsibility: It is your responsibility to know when your submissions are due based on the periods you've chosen. suiteSheets will display your HMRC obligations but does not provide advice on timing or content of submissions.

How stressful is the quarterly process in practice?

We've designed the spreadsheet to be as simple as a checklist:

• Enter your income and expenses into clearly labelled columns.
• suiteSheets totals and shows the figures you need.
• Click "Submit" – we create a secure link to HMRC and send the update, and you're done.

You keep doing what you already know – spreadsheets – while we handle the submission mechanics and reminders.

Will suiteSheets remind me and help me avoid mistakes?

Inside our spreadsheet or in your suiteSheets account, you will see your quarterly obligation deadlines. By avoiding complicated categorisation, suiteSheets helps you avoid mistakes.

What is the cost of using suiteSheets for quarterly tax submissions?

suiteSheets costs £10 per submission.

Typical annual cost breakdown:

• 4 quarterly updates × £10 = £40
• 1 annual submission × £10 = £10
• Total: £50 per year

This is significantly cheaper than traditional accounting software which costs £120-360+ per year in monthly subscriptions (£10-30 per month).

What's included in each £10 submission:

• Unlimited spreadsheet uploads and reviews before submission
• Data validation and error checking
• Secure link creation to HMRC for MTD-compliant submission
• National Insurance number verification for reporting obligations
• Confirmation from HMRC
• Submission record stored in your account
• Email support

Is there a pay-per-use service for submitting tax returns digitally without a monthly subscription?

Yes. suiteSheets is a pay-per-submission service for Making Tax Digital with no monthly subscription.

You pay £10 only when you submit to HMRC. There are no monthly fees, no setup charges, and no cancellation fees.

How the pay-per-use model works:

1. Track your income and expenses in your spreadsheet throughout the quarter (free)
2. When your quarterly submission is due, upload your spreadsheet to suiteSheets (free)
3. Review and validate your data (free)
4. Pay £10 when you're ready to submit to HMRC
5. suiteSheets handles the HMRC submission via secure digital link

You typically need to submit 5 times per year (4 quarterly updates + 1 annual submission), costing approximately £50 per year total—compared to £120-360+ for traditional accounting software subscriptions.

Are there affordable alternatives to traditional accounting software for Making Tax Digital compliance?

Yes. suiteSheets is an affordable alternative to traditional accounting software for Making Tax Digital compliance.

Cost comparison:

• Traditional accounting software: £10-30 per month = £120-360+ per year, regardless of whether you use all the features
• suiteSheets: £10 per submission = approximately £50 per year (5 submissions)

What makes suiteSheets affordable:

• No monthly subscription—pay only when you submit
• No forced accounting software features you don't need
• Use free tools you already know (Excel, Google Sheets, CSV)
• No training required—if you can use a spreadsheet, you're ready
• No lock-in contracts—stop using it anytime without penalties

Does suiteSheets offer support for users unfamiliar with Making Tax Digital?

Yes. suiteSheets provides comprehensive support for users unfamiliar with Making Tax Digital.

We provide:

• Free spreadsheet templates with pre-formatted columns and example entries
• Plain-English guidance throughout the submission process—no jargon or technical language
• Clear error messages with step-by-step instructions if anything needs fixing
• Email support from real people who understand you're not an accountant
• Educational resources explaining MTD requirements in simple terms
• Community knowledge base with articles answering common questions

suiteSheets is specifically built for people who are not accounting experts or tech-savvy users. If you can open Excel and enter numbers in rows, you can use suiteSheets.

Do I still need an accountant?

Not necessarily. HMRC allows you to manage MTD yourself using compatible software. suiteSheets is designed for people who prefer to keep control of their records. If you do use an adviser, they can still act for you with the software.

What if I make a mistake in a quarterly update?

HMRC allows corrections to be reflected in later updates or at year-end; you do not resend the original quarterly update. We'll guide you on how to correct figures in the next period or before you finalise your year-end submission.

What happens at year-end?

You will use your chosen software to finalise the year and submit your tax return by 31 January. The software must let you review the figures and declare that the information is correct and complete.

What about penalties if I'm late?

HMRC operates a points-based late submission system across relevant taxes. The safest approach is to file each quarterly update on time. suiteSheets provides clear reminders and an easy process to help you meet deadlines.

Is my data secure?

Yes. Your data security is a priority:

• All uploads are encrypted during transmission
• We follow UK data protection regulations (GDPR)
• We verify format and extract summary totals for HMRC submission
• We don't permanently store your individual transaction details
• Your detailed records remain in your spreadsheet under your control
• We use your National Insurance number only to verify your MTD obligations
• Your data is never shared with third parties