The UK tax system is changing—and fast. With HMRC’s Making Tax Digital (MTD) initiative now well underway, businesses and individuals across Wales are being urged to adopt new digital processes to stay compliant. But for many, the transition is confusing, time-consuming, and full of uncertainty.
Fortunately, trusted Cardiff Accountants are helping clients stay ahead of the curve—offering tailored, compliant, and tech-savvy solutions for this digital tax revolution.
Whether you’re a sole trader, landlord, or business owner in Cardiff, this article breaks down everything you need to know about MTD, and how the right local accountant can make the shift seamless.
What Is Making Tax Digital?
Making Tax Digital is a UK government initiative to digitise the tax system. It aims to make tax administration:
- More effective
- More efficient
- Easier for taxpayers to get it right
Under MTD, individuals and businesses must keep digital records and submit tax information to HMRC through approved software, rather than paper or manual methods.
Who Needs to Comply With MTD?
As of 2025, MTD is being rolled out in stages. Here’s a breakdown:
Already in effect:
- VAT-registered businesses (taxable turnover above £85,000):
Required to keep digital records and file VAT returns through compatible software. - Voluntarily VAT-registered businesses:
Also expected to comply as of April 2022.
Coming soon:
- Self-employed individuals and landlords (earning over £50,000):
From April 2026, they must follow MTD for Income Tax Self-Assessment (MTD ITSA). - Self-employed & landlords earning £30,000–£50,000:
From April 2027. - Corporation Tax under MTD:
Expected from 2026 onwards (currently in pilot).
What’s Changing for Businesses?
Under MTD, businesses must:
- Maintain digital financial records using MTD-compliant software
- File quarterly summaries of income and expenses to HMRC
- Submit a final year-end statement (similar to a tax return)
No more paper records, spreadsheets, or manual uploads.
This requires new tools, new habits—and often, new accounting support.
Why Cardiff Businesses Are Seeking Local MTD Support
While large national firms offer MTD software, many business owners prefer the hands-on guidance of a local accountant who understands the unique challenges faced by Welsh businesses.
Benefits of working with local Cardiff Accountants include:
- In-person consultations and training
- Tailored advice for your sector (e.g. hospitality, trades, retail)
- Localised tax planning and grant knowledge
- Help choosing and setting up the right MTD software
Firms like AccountedFor are already helping clients across South Wales embrace MTD smoothly—with minimal disruption to day-to-day operations.
How Cardiff Accountants Are Making Tax Digital Work for You
Here’s how modern accountants are helping businesses prepare for—and thrive under—MTD:
1. Advising on Software Selection
Choosing the right MTD-compatible software (e.g. Xero, QuickBooks, FreeAgent) is essential. Cardiff Accountants help clients evaluate:
- Industry fit
- Budget
- Usability
- Integration with existing tools (e.g. POS, payroll)
2. Training & Support
Digital transformation doesn’t happen overnight. Accountants offer onboarding, training, and ongoing support so clients feel confident using new platforms.
3. Automating the Books
From bank feeds to receipt scanning apps, MTD software enables high levels of automation. Your accountant ensures systems are set up correctly to reduce manual entry and errors.
4. Quarterly Submissions Made Easy
Cardiff-based firms often manage quarterly MTD submissions on your behalf—so you remain compliant without lifting a finger.
5. Tax Planning & Forecasting
MTD isn’t just about compliance—it’s about real-time visibility. Your accountant can help you analyse live data, forecast liabilities, and plan better.
Real-World Example
“We were still using paper receipts and Excel,” says a local café owner in Cardiff.
“AccountedFor helped us set up QuickBooks, automated our expenses, and trained our team. Now we don’t fear VAT returns anymore—they’re done in minutes.”
This is the power of working with digital-ready Cardiff Accountants who speak your language and understand your pace of business.
Are You Ready for MTD?
Here’s a quick readiness checklist:
TaskCompleted?Know your MTD compliance deadline☐Have MTD-compatible software☐Keeping digital records☐Submitting quarterly returns digitally☐Accountant or advisor supports MTD☐
If you’re unsure about any of the above, it’s time to consult with a professional.
Why Work With a Cardiff-Based MTD Accountant?
Working with a local specialist like AccountedFor offers distinct advantages:
- Proactive compliance: Stay ahead of changes in HMRC rules
- Time-saving systems: Reduce paperwork and admin
- Cost efficiency: Avoid fines, errors, and late submissions
- Ongoing support: Get guidance when you need it—by phone, email, or face-to-face
You’re not just getting bookkeeping help. You’re gaining a digital tax partner.
Final Thoughts: Don’t Wait for the Deadline
Making Tax Digital is no longer a distant idea—it’s happening now. And waiting until the last minute can lead to rushed software choices, missed submissions, and avoidable stress.
Whether you’re a sole trader, a landlord, or a growing business in Wales, working with experienced Cardiff Accountants is the simplest way to stay compliant—and take advantage of the productivity benefits MTD offers.
Take the step now, and make digital work for your business.
