Do I need an accountant for Making Tax Digital?
No. HMRC lets you send Making Tax Digital updates yourself with compatible software, and free products exist for simple tax affairs. Many landlords and sole traders still pay an accountant, with published fees from £35 a quarter for updates to around £62 a month plus VAT for a landlord package.
You do not need an accountant for Making Tax Digital for Income Tax. You can keep digital records and send your quarterly updates yourself with software that works with MTD, and HMRC says free products exist for people with simple tax affairs.
Whether an accountant is worth paying for depends on your time, how many properties or businesses you have and how comfortable you are with software. This article sets out HMRC's published rules and some published fees. It is general information. We do not give tax advice.
What does HMRC expect me to do myself?
Once you are in Making Tax Digital, you:
- Keep digital records of your income and expenses.
- Send a quarterly update by 7 August, 7 November, 7 February and 7 May.
- File your tax return by 31 January after the tax year.
HMRC's quarterly updates page, updated 16 October 2026, says an update is a summary of your records and that you do not need to make accounting or tax adjustments before you send it.
Can I do it with free software?
Often, yes. HMRC's software page, updated 13 July 2026, says "free products are available for those with simple tax affairs but there may be limits on how the product can be used". HMRC says every listed product has been through its recognition process and that it does not recommend any product.
If you already keep a spreadsheet, bridging software can connect to it and make your submissions. You keep your spreadsheet and send the updates through the bridging product.
What do accountants charge for MTD?
Published prices checked on 21 October 2026:
| Service | Published price | Firm |
|---|---|---|
| MTD readiness check and software setup | £99 fixed fee | Bohzo Accountants |
| Quarterly MTD submissions | From £35 a quarter | Bohzo Accountants |
| Full MTD service: software, quarterly updates and year-end | From £299 a year | Bohzo Accountants |
| Landlord package, 1 to 2 properties, personal ownership, MTD included | £62 a month plus VAT | Gorilla Accounting |
| Landlord package, 5 properties, personal ownership | £82 a month plus VAT | Gorilla Accounting |
Sources: Bohzo Accountants and Gorilla Accounting. Prices vary with the number of properties, joint ownership and how much bookkeeping you want done. Ask for a fixed fee in writing before you sign.
When does an accountant save time or money?
An accountant tends to help most if:
- You have several properties, joint ownership or a trade and rentals together.
- Your records are on paper or spread across bank accounts.
- You missed an update in 2026 to 2027 and want it sorted before penalty points start.
- Your current accountant does not file MTD updates.
The penalty rules matter here. From the 2027 to 2028 tax year, each missed deadline adds a point and 4 points bring a £200 penalty, then £200 for each further miss. HMRC's penalties page sets this out. In 2026 to 2027 there are no penalties for missed quarterly updates.
When can I skip both software and an accountant?
Some people are exempt. HMRC's exemption page, updated 28 May 2026, lists automatic exemptions such as qualifying income of £20,000 or less, no National Insurance number, or a power of attorney in place for someone who cannot manage their affairs.
Others can apply as digitally excluded if it is not reasonable for them to use software. HMRC gives three examples: age, a health condition or disability; membership of a religious society whose beliefs rule out digital records; or no internet access at home or work because of location. You apply by phone or letter, and HMRC aims to reply within 28 calendar days.
What should I ask an accountant before I agree?
- Do you file MTD quarterly updates for clients now?
- Which software will I use, and who pays for it?
- Is the fee fixed, and does it cover four updates and the tax return?
- Who is responsible if a deadline is missed?
- What do you need from me each quarter, and by when?
Next step
Answer six questions in the MTD check to see your start date and a checklist. If you want help, one accountancy firm that files MTD updates can call you to talk through a fixed fee.
Questions people also ask
Does HMRC provide free MTD software?
HMRC's software page lists commercial products that have passed its recognition process, and says free products are available for those with simple tax affairs, with some limits.
Can I keep using my spreadsheet?
Yes, with bridging software. HMRC says bridging software can connect to spreadsheets and send your submissions to HMRC.
My accountant has not mentioned Making Tax Digital. What should I ask?
Ask whether they file MTD quarterly updates, which software they use, what the fee covers, and who is responsible for each deadline.
Is there help if I cannot use a computer?
If age, a health condition or disability, your beliefs, or lack of internet access makes software unreasonable, you can apply to HMRC for an exemption as digitally excluded, by phone or letter.
Sources
- Find software that's compatible with Making Tax Digital for Income Tax, HMRC, GOV.UK (13 July 2026)
- Send quarterly updates, HMRC, GOV.UK (16 October 2026)
- Penalties for Making Tax Digital for Income Tax, HMRC, GOV.UK (30 March 2026)
- Making Tax Digital, Wolverhampton, Bohzo Accountants (21 October 2026)
- Accountants for buy-to-let landlords, Gorilla Accounting (21 October 2026)
- Find out if you can get an exemption from Making Tax Digital for Income Tax, HMRC, GOV.UK (28 May 2026)