If you’re a sole trader in the glazing industry, the way you deal with HMRC is about to undergo its biggest change in decades. The days of the “once-a-year” January tax scramble are coming to an end.

The UK government has officially rolled out Making Tax Digital (MTD) for Income Tax. Here is what it means for your business, your tools, and your weekends.

1. What is MTD and why does it matter?

MTD is a move to scrap paper records and manual data entry. Instead of filing one big Self-Assessment return every January, you will now use compatible software to keep your records and send quarterly updates to HMRC.

The goal? To reduce errors and give you a real-time view of how much tax you actually owe throughout the year, rather than being hit by a surprise bill in January.

2. When do I have to start?

The rollout is “phased,” meaning it depends on how much you earn (your gross turnover, not your profit).

Annual Turnover Start Date
Over £50,000 6 April 2026
Over £30,000 6 April 2027
Over £20,000 6 April 2028

Note: If you are a sole trader but also a landlord, your combined income from both counts toward the threshold.

3. The New “Five-Submission” Rule

Currently, you file one return. Under MTD, you will essentially have five digital touchpoints with HMRC each year:

  1. Four Quarterly Updates: Every three months, you’ll send a summary of your business income and expenses.

  2. A Final Declaration: By January 31st, you’ll confirm your final figures, claim any reliefs (like your van expenses or tool costs), and pay what you owe.

4. Can I still use my ledger book or Excel?

The short answer: No.

You must use “MTD-compatible” software. You can’t just type numbers into the HMRC website anymore.

However, if you love your Excel spreadsheets, you don’t necessarily have to abandon them. You can use “Bridging Software”—a digital link that takes your spreadsheet data and securely “talks” to HMRC’s systems. Most tradespeople, however, find it easier to switch to apps like Xero, QuickBooks, or Sage, which allow you to snap photos of receipts on-site so you don’t lose them in the van.

5. What if I’m already VAT registered?

If you’re already doing MTD for VAT, you’re halfway there. You already have the software! However, you will now need to ensure that the same software is set up to handle your Income Tax (Self-Assessment) updates as well.

6. What happens if I don’t comply?

HMRC is introducing a points-based penalty system.

  • If you miss a deadline, you get a point.

  • Once you hit a certain threshold of points (usually 4), you get an automatic £200 fine.

  • Further late submissions lead to more fines.

The “To-Do” List for 2026

  • Check your turnover: Look at your 2024/25 tax return. If it’s over £50,000, you are in the first wave.

  • Get the software now: Don’t wait until April 2026. Start using a digital app now to get used to it. Download the CIS Online app here: https://cis-invoice.co.uk/

  • Talk to your accountant: They can help you pick the cheapest or easiest software for your specific trade.

Bottom Line: It feels like extra paperwork, but once the software is running, it actually saves time. No more lost invoices or “box of receipts” stress. Stay ahead of the curve so you can stay focused on the job.

CIS Online app: https://cis-invoice.co.uk/

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