Making Tax Digital: What it means for you and your clients
A Quick Refresher on Making Tax Digital
Making Tax Digital (MTD) is HMRC’s initiative to modernise the UK tax system by moving it fully online. Its aim is simple in principle: make tax easier, more accurate, and more efficient.
So far, MTD has already affected VAT-registered businesses above the £85,000 threshold, requiring them to keep digital records and submit VAT returns using compatible software. But next year brings the next big step: MTD for Income Tax Self Assessment (ITSA). This means that millions of self-employed individuals, landlords, and partnerships will soon have to comply, making quarterly digital updates instead of annual returns.
In short, MTD is no longer a “future project” it’s here, and it’s expanding.
What This Means for Accountants
For accountants, the reality is clear: change is coming, whether we’re ready for it or not. And unfortunately, the government hasn’t made it easy. Advice has been thin on the ground, and official guidance is often vague.
This leaves accountants juggling not just numbers, but time, resources, and client communications. Re-jigging workflows, adopting new software, and retraining staff all demand hours that accountants simply don’t have. Instead of focusing on advising clients and growing their practices, accountants now face the administrative headache of ensuring compliance in a shifting landscape.
And What About Clients?
If accountants are feeling the strain, their clients are even more in the dark. Many still don’t fully understand what Making Tax Digital means, or how it affects them. For small business owners and landlords, the shift from a once-a-year tax return to quarterly updates can feel overwhelming.
Clients worry about the impact on their costs, the risk of penalties if they get it wrong, and how much extra work will land on their shoulders. This is where accountants are expected to step in and guide them—but accountants themselves are still trying to make sense of the rules.
How Our Beanies (and houbeanie) Can Help
That’s exactly where our beanies and houbeanie come in. We designed them to take the sting out of industry changes like this, giving both accountants and clients a smoother transition.
Our beanies act as extra pairs of hands, easing the workload by handling repetitive tasks, digitising processes, and keeping everything compliant with the latest HMRC requirements. Meanwhile, houbeanie, our AI agent, ensures seamless communication and collaboration, so that accountants and clients are always on the same page.
Think of them as your safety net: whatever curveballs the government throws, our beanies are already set up to catch them.
The Bright Side of Change
Yes, change can feel daunting. But with the right tools in place, there’s nothing to fear. Making Tax Digital doesn’t have to mean chaos—it can mean clarity, efficiency, and even growth.
With our beanies by your side, you don’t just adapt to industry changes—you get ahead of them. And that means more time spent doing what accountants do best: supporting clients, offering expert advice, and building lasting relationships.
Change isn’t something to dread. With the right solution already in place, it’s an opportunity to step into a more efficient, digital future.
